Mortgage and Insurance

Can someone please help me?

 

I have been a reader/lurker/minimal poster here for about two years. DH and I are in our 20s (me, 22, him, 26) and both in college. I am going for my RN and he is going for His AAS in Automotive and Diesel. He is going to a tech school that is very expensive but he was in the navy for 6 years so the GI Bill is paying for it for us (thank goodness!!) – I made the mistake of applying and attending one semester at an out of state univeristy and had to take out $6.5k in student loans just to pay for tuition for that semester. I decided against doing that and figured I will just go to a local state school to save money.

 

DH on the other hand is not afraid of student loans. He has been approved for Stafford loans and we have already taken out $9.5k this year, and he plans on taking out $12.5k next year!  The GI Bill is paying for 100% of his school plus we are getting $1100 to live off of. I lost my job, and DH lost his a while ago also. We have enough $$ to live on (barely, but enough), and I am planning to go back to work FT.

 

DH wants to take out all the student loans – we have about $17k left that we have not received yet but are approved and able to take out over the next 1.5 years – and put it in savings to buy a TRUCK!

 

Now, I know and he knows that is perfectly ILLEGAL but I think he is not too worried about it. What I am worried about is the impact of taking out over $20k in student loans, plus my $6.5k, which will total about $30k probably when its all said and done, that are mostly unnecessary and uneeded! He says he woudl rather take out the loans because unlike a auto loan, who if you are one month late they will come and take your vehicle, student loans are more willing to work with you. He also thinsk he might be able to get on with a company that does tuition reimbursement – which i told him he will NOT qualify for, since it is loans that are already taken out – but he doeesn’t believe me. I tried to explain that this is probably 10-25 YEARS of paying back these loans but he said it’s such a small amount esp. if we opt for the 25 year plan, that it won’t be a big deal.

 

I am sick with worry over this. DH doesn’t have as good fo a grasp of money/credit/debt that I do – but I am so nervous about this. This is a BAD IDEA, right? He keeps saying its a great one, I seem to disagree though. Any input anyone, please?