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Old 12-15-08 | 06:29 PM
  #51  
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Machka
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Originally Posted by Asymmetriad
Sorry, I'm an ignorant ******* (even for a student), but how exactly does a credit card allow you to pay back what you borrowed for your education in a couple years where a student loan does not? I'm not aware of any restrictions on how quickly you pay back an OSAP loan, for instance.

I took out a student loan this year and got a part-time job, after studying two years of engineering without either. I don't carry a balance on either of my credit cards so I don't even know what my rates are (although I think one of them is around 18.5%/ann) but I don't see why it would be an advantage anyway vs. deferred interest on a government loan. Not counting, of course, the fact that the paperwork alone is a colossal pain in the ass.
First, 18% on a credit card is really high.

Second, my ex had a student loan, and they would not allow him to pay it off while he was still in school, and not until he had been out of school 6 months, and then they locked him into a payment plan, tried to con him into letting them increase his interest rates, and generally screwed him around. Whereas I pay my tuition with my card, and then immediately start paying it off by working through the school year. By the end of the summer, my card is paid off and I'm ready to pay for my next year ... no fuss, no hassles, and for less interest than he was paying.
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