[AFireInside]

Well, with the elimination of my credit card or the majority of my credit card debt next week, it looks like I may be in a position to really start putting more than the minimum amount of money on my student loans.

I have two, (Alberta, and Federal), the federal is in the range of about 20,000, and the Alberta is in less than 1000 (I'm sure I can eliminate that within a couple months as well) with the Alberta loan gone, and the credit card gone, I could probably put another 100 - 200 on the federal loan. *Note: I think interest on federal student loans is about 6% right now.

Just curious on how people here have payed down their loans.

Some say its best to pay the minimum on student loans, and put extra money in an RRSP or possibly the new tax free savings account. From what I understand the interest paid on a student loan is tax deductible, (up to a point I'm sure), so this is why some say pay the minimum, and get the tax credits. To be honest I don't know a whole lot about any of this, so I'm just curious, what people here think the best option is. I feel like just getting rid of this student loan because I hate having it over my head. Of course I realize this is most likely not the best course of action overall.

I've been out of school for about a year and a half, so I believe I still have a lot of tax credits from when was going to school that I will be able to claim for this year, so I expect a rather large tax return (which I was planning on just putting on my student loans).

Any opinions?

I'm thinking a good plan would be to put savings in an RRSP and take the tax return each year and put it on the student loans? Problem is that that whole time I accrue interest on the fed student loan.

Should also note, I'm thinking RRSP may be better as well, because the gf and I are looking to buy a house within the next couple years. (The RRSP can be pulled out without being taxed for a first time home buyer. Of course this has to be repayed within a certain time frame as well.)