Anyone have HECS debt and what do they think about new budget rates?

It goes up by 2.8%/year CPI.

My investments go up about 8%/year + positive cashflow. Why would I sink good money into paying off something so trivial any earlier?

I think you've wasted a whole lot of tax payers money.:eek:
 
I think you've wasted a whole lot of tax payers money.:eek:

I will be paying a whole lot of stamp duty and other taxes. I'm sure that will more than cover my share.

In the meantime they will get my interest payments until it is eventually all paid off. I never said I was not going to pay it off. I just said I was in no rush to throw my money into the lowest interest rate loan.
 
JIt was something like $60k (I failed subjects as well). UTS is 5 years full time. It's somewhere around low $40k now.

I earn a lot less than before as I usually take a few months off every few years and as of mid 2013, I've taken a year off to chill with fam and have since started the business.

So about 17K - 18K or thereabouts off the debt.

That's NOT barely making a scratch on your HECS.

Considering you're only 27... and you've been a full-time uni student for 7 years... and have been taking a few months off work every few years including having the last year off.. you've done extremely well in paying down what is a larger than average HECS debt :confused:.

You could be Abbotts poster boy :D.
 
You could be Abbotts poster boy :D.

Not if it came out I was rarely at uni. Very few of my mates and I did. But we finished up with a lot of experience, made getting work easier. I spent a lot of that time working full time and only showing up for exams. Far from a healthy lifestyle there was more than one of us who were rushed to hospital thinking we were having a heart attack.

Also as my mate put it. Not everyone invests or makes a 'good' income either.

Anywho. WAY to much personal information on this thread. You make one statement...

I wouldn't consider $17k in 7 years to be a big deal. It is ~$2.5k/year.

Now with a $200k debt at a max of 6% CPI... isn't that perpetual? Would still be better off leaving that $200k in an offset assuming average of 8% interest. What is it 20% of a $1M porfolio or $2M at 90% LMI. Where would you out your cash?
 
arrrgh this all makes my blood boil. These decision makers that had FREE education now dergulating university fees..beautiful good job:mad:. Talk about hypocrites. Lets calculate how much they should pay back to Australian taxpayers with indexation...

I have a hecs debt. Just getting it out of my pay each fortnight, I dont really feel it and have no plans to contribute further than that.

What will my 3 children in primary school be paying in uni fees..its a scary thought and even scarier is that they will probably stay home longer ...booo
 
arrrgh this all makes my blood boil. These decision makers that had FREE education now dergulating university fees..beautiful good job:mad:. Talk about hypocrites. Lets calculate how much they should pay back to Australian taxpayers with indexation...

I have a hecs debt. Just getting it out of my pay each fortnight, I dont really feel it and have no plans to contribute further than that.

What will my 3 children in primary school be paying in uni fees..its a scary thought and even scarier is that they will probably stay home longer ...booo

But those pollies never came from families with generous family tax benefits.

Probably going through this discussion in 10 years when all this middle class welfare gets canned.
 
That's not a good enough explanation
I don't see a problem with his argument. Why pay off the lowest charging debt first? It doesn't make sense. Just the same as we encourage paying off non-deductible debt first because there is no tax advantage, and to pay off credit card debt before personal debt before housing debt.

BR
 
In my view whatever works for you is good. Minimum repayments are a function of your income... The more you earn the quicker you pay , assuming no voluntary payments.
 
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