Bad Economic Advice

*Dear Dave,* I'm a senior in college, and I'll be doing my student teaching next semester. The tuition for student teaching has dropped, so I just got a $2,300 refund on my university loan. An economics professor told me I should invest the money in the stock market, let it grow and then use it to pay off my student loan. What do you think? Brett *Dear Brett,* That's really bad advice, especially coming from an economics teacher. You should never invest money in the stock market unless you're going to stick it in there and leave it alone for at least five years. The market is just too volatile to play around like that for a shorter period of time. Now, the stock market is a great place to invest over the long haul. But I don't want you to stay in student loan debt for five years or more. I want you to get out of school, get your teaching career in gear and get this loan paid off as fast as you can. If I were, you, Brett, I'd apply this money directly to the student loan principal now. If you stick it in your checking or savings account you'll probably end up blowing it on something you'll wish later you hadn't bought in the first place! Dave ********************* For more financial advice plus special offers to our readers, please visit www.davesays.org or call 1-888-22-PEACE.
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