Investment is the dedication of an asset to attain an increase in value over time. Investment requires a sacrifice, such as time, money, or effort. In finance, as in life generally, the purpose of investing is to generate a return from the invested asset.
Good debt is about borrowing money for something that will appreciate or increase in value. Good debt is borrowing for investments. It is also the expectation that the return from that investment will be able to cover the debt.
A student loan is designed to help students pay for post-secondary education costs, such as tuition, books and supplies, and living expenses. This type of loan can easily be classified as an investment, with much sacrifice of time and effort. It also qualifies as “good debt”. This type of debt pays for something that does not typically lose value over time. Mortgages or loans to start a business can also be considered good debt. These, however, can lose their value as a result of varying factors, some of which are outside your control. An education, however, will never loses its value.
A student loan provides an opportunity to attain a tertiary education. This can either help you climb the career ladder, achieve higher earnings or gain a sense of accomplishment. It also provides you with the opportunity to help those who need your talent, skills, or work. Having a degree makes you more marketable, and that debt would pay itself off over time with a lucrative career in place.
The Students’ Loan Bureau, established in 1970, is Jamaica’s premier student loan financing organization, providing funding to Jamaican students pursuing tertiary level education. Since its inception, the Bureau has disbursed approximately $51 billion in loans to 330,000 beneficiaries and paid over $1.9 billion in grants.
The Students’ Loan Bureau offers loan products to meet the needs of the aspirants who are pursuing tertiary/higher-level education.
- There is the Targeted Loan, which has an in-school moratorium period. This product allows you to focus on your academic pursuits while SLB takes care of your tuition financing.
- The Pay as You Study Loan (PAYS) offers customers who can afford to start repayment while studying. It can also be combined with the Targeted Loan to supplement tuition costs.
- Post Graduate Loan (PostGrad) is for students pursuing a post-graduate degree. This is offered to customers who can afford to start repayment while studying.
To reward your good investment choice, at the SLB, we promote and support efforts for attaining and maintaining high grades. For example, students with a grade point achievement (GPA) of 2.5 and above are rewarded with a reduction in their interest rates, which will reduce the interest cost of the loan and, ultimately, the overall repayment amount; an even better return on your investment.
A good education can take you anywhere in the world. So, let the SLB clear the path towards a brighter tomorrow for you.