Is it smart to take out a little higher school loan to pay on debt on your credit report?

Ok so you would want to add an additional $2600.00 to your student loan and use that to pay off everything you owe, correct? If that is the case then I think it would be a good idea because your interest rate is going to be less with a student loan and the additional $2600.00 is not going to increase your monthly payment by much. You will not be expected to pay this back until you are out of school for a predetermined amount of time.

Debt consolidation companies almost never do what is in the best interest of the client and should be avoided at all costs (ha ha I made a joke). Seriously though stay away from the debt consolidation companies especially since your debt is so minimal compared to most.

"to pay on debt on your your credit report" does not make sense. Your debts are NOT on your credit report (unless you defaulted).

"owe 19.5" - do you mean $19,500?? How close are you too earning your degree and getting a job? How much more will you be borrowing before you are done?

After all of these probing questions; YES, go ahead. Borrow more and "get rid of" your small debts by consolidating them. {But what are you doing for money to live on, especially when more small debts come along? Should you be in the workforce instead of college??}

B said it well.

Here are the facts that you need to know.

1. School loans will follow you for the rest of your life. You can't discharge them in bankruptcy. You can't run from them.

2. All other debts are dischargeable in bankruptcy.

Now, decide for yourself what's best.