I've been getting average 2.5 K refunded each semester 5x now. Part of me feels I should start refusing the excess
(I'll be enrolled PT for at least 3 more semesters) but part of me says just let it pile up. Im in a job that I can get PSLF after 10 years so feel like I may not end up paying it all back anyway. Is this wrong? Am I messing up my credit to keep adding student loan debt even if its subsidized for now?
Personally, I would take all I could get and put in savings if you have the discipline to leave it there for emergencies.
(or pay off any other debt you have)
No, your credit is not suffering.
My wife has 6 figure student loans (PSLF) and fico8 scores from 827-850 overall/auto/credit cards.
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^ Concur - put it in a HYSA that you don't have "easy" access to and let the interest just pile up. You'll have an e-fund and/or if you don't PSLF, you can just put it back into your student loans.
The advice offered so far was solid. I did the same thing.
Just remember: 98% eligible who applied for the PSLF were, and continue to be DENIED. You can NEVER consolodate those loans to lower the payments, or change the terms either. Also, its NOT 10yrs, its 120 qualifying payments. You could very well make payments that don't qualify. Check the website and terms. I know quite a few teachers who have learned after years that they have NO chance of PSLF, and even have trouble getting the regular TLF.
Unless you KNOW you can make that money work for you and get a return higher than your interest rate, it'd be better to return it and borrow less. 10 years from graduation, those loans can have grown to serious money.