Asked by Anonymous
I managed to save up a bit over my uni days however it is not sufficient for me to pay off the bank loan in one lump sum.
As always, all investments carry risks and the returns are not guaranteed as compared to your study loan's interest. Therefore, you should try to clear off your loan asap before beginning investing and only invest with money that you can afford to lose.
Unless you can be sure that your investments can yield more than the 4.75 loan interest, I would suggest you just pay off the loan first, then think about investing!
I would prefer paying finish the loan first. Because the loan interest is guaranteed. Investments that are guaranteed pays like 2%-3% interest which i dun think is more that your student loan interest. Investments that have more interest than your student loan are not guaranteed. So my opinion is to finish paying the loan first and then start investing. Be frugal and pay finish debt as fast as you can so that it wont get more expensive.