I will be a junior starting this fall semester, and my school increased my financial aid package greatly for 2015-2016. My “free” money was increased by $2610 to $14250 for spring and fall, and I have been offered work study for $2400. For this current year, I have had $11640 of free money and have taken out 2250/semester in Sub. Stafford loans.
I think I can survive next year without the loans, but I’m not sure it makes sense to not take them out. With the 1.073% fee, 4500 is roughly 4451.70. I have a savings account that has an APY of 1.00%, so 4451.70 at 1 percent for 2 years turns into 4,541.5, which is essentially $90 dollars in free money.
I feel like I should add that I wouldn’t spend it “just because I have it,” I grew up in a poor family (I’m 0 efc) and am extremely frugal. I would just like some input from those with experience, thank you.