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dapperfied · 01-23-2017, 02:14 PM

A friend is asking me a question about the situation she is currently in. I told her I don't have the proper answers, thus me creating this thread since it kinda got my curious and I will certainly forward her this link to read upon it.
The situation is that her student loans (provincial & federal) has been defaulted to the CRA. I don't know what she's been spending her money on but she wants to turned it around.

As of now her Provincial loan sits at about 10k, needs to pay around 2k to get the loan back to National Student Loans and come up with monthly payments and good standing.

The same applies with Federal loan (23.6k) but with the lump sum of about 5k.

She got about 16k (with 5k of that being in TFSA/mutual funding) right now in her bank account.

Interest rate as of now for both loans sits at 5.2%.

Should she withdraw all her TFSA/mutual funding and pay off the loans or keep it?

Pay off all of Provincial or pace it out and pay off the lump sum of both loans to regain status with National Student Loans?

What would you guys do if you we're her? I was never in her position and not good with financial stuff.

01-23-2017, 02:14 PM	#1
dapperfied 14 dolla balla aint got nothing on me! Join Date: Jan 2014 Location: Vancouver Posts: 694 Thanked 654 Times in 193 Posts Failed 16 Times in 11 Posts	Prioritizing loans to pay off A friend is asking me a question about the situation she is currently in. I told her I don't have the proper answers, thus me creating this thread since it kinda got my curious and I will certainly forward her this link to read upon it. The situation is that her student loans (provincial & federal) has been defaulted to the CRA. I don't know what she's been spending her money on but she wants to turned it around. As of now her Provincial loan sits at about 10k, needs to pay around 2k to get the loan back to National Student Loans and come up with monthly payments and good standing. The same applies with Federal loan (23.6k) but with the lump sum of about 5k. She got about 16k (with 5k of that being in TFSA/mutual funding) right now in her bank account. Interest rate as of now for both loans sits at 5.2%. Should she withdraw all her TFSA/mutual funding and pay off the loans or keep it? Pay off all of Provincial or pace it out and pay off the lump sum of both loans to regain status with National Student Loans? What would you guys do if you we're her? I was never in her position and not good with financial stuff.