With student loan debt reaching near 1.7 trillion, it’s no surprise that they are a frequent topic of discussion. Many want to offer some form of repayment methods, or even canceling the debts entirely. Of course on creditalcarte, we are focused on a different topic involving student loans… how can we relate it to credit cards?
If you happen to have a student loan from Sallie Mae, you may be in luck with regards to earning points of meeting minimum spend. While some student loan originators offer the ability to pay with a credit card, many don’t. Sallie Mae is now giving us that option.
There’s a few things to keep in mind here. Of course, first and foremost, you should never go into debt to earn points, it’s never worth it! However, there are instances where it does make sense to spend money, even paying a fee, if it means that you’ll come out ahead. This could be one of those opportunities where it may make sense to at least charge student loans to a credit card for the sign up bonus, but not necessarily for every monthly purchase.
Keep in mind, there is a lot of talk about student loans being in forbearance right now. The forbearance was only for federally back loans, which Sallie Mae is not part of. Still, if you are still required to pay these student loans, you may as well see if paying with a card makes sense for you.
Does your loan originators allow you to use credit cards to pay off student loans? Fill us in on who you use and what sort of rates you’re looking a right now.