Why Paying Off Student Loans Early is Probably a Mistake

By the time you'd graduated from college, your student loans had likely reached a daunting amount. In fact, the average member of the class of 2016 had $37,172 in debt. But as scary as the total may sound, rushing to pay off those debts is usually a bad move.

Not all debt is bad debt. While experts offer differing opinions on exactly which types of debt should be considered good versus bad, everyone agrees that debt on something that will end up making you money in the long term is good debt. And by this strictest of definitions, student loans definitely qualify as good debt.

A 2013 study based on Labor Department statistics showed that Americans holding a four-year college degree made 98% more per hour on average than those without a degree. Clearly, that college education you just completed will end up making you far more money than you spent to get it. And "good debt" is typically a low priority to pay off, compared to other expenses you may be carrying.

Source: Fool.com