Why student loan debt forgiveness makes more sense than paying - Business Insider

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Why student loan debt forgiveness makes more sense than paying - Business Insider
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A financial counselor swamped with $350,000 of student debt explains why he's banking on loan forgiveness — and shares how he managed to pay $0 in 2019

"All of the debt came from law school; specifically Duke University School of law in Durham, North Carolina — and then an LLM, which is basically a one-year masters in tax law that I got at NYU the year after I finished at Duke," he said on "." "To pay off $250, $300, $350,000 in debt, plus interest, that's going to be a nightmare unless I somehow started making a million bucks a year.""The balance continues to rise and go up and up and up," he said.

He continued: "As someone who's growing a small business right now, that would be a debilitating payment amount to make." Kol soon realized that paying his loans back in full wasn't a realistic option — and he started to vet other options. The goal was simple: keep his payments as low as possible. "Along the way, just looked at my options with my debt and said: 'You know what? I think that the economically advisable thing here is to pay as little as I can.'"

Kol's inkling to skimp on his debt payments was confirmed by a student loan specialist and his accountant. Despite a swelling outstanding balance, it actually made more sense for him to pay less and adopt the loan forgiveness route.

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