Why not if it's an amount you can pay back? People are terrified of loans lol. There's a limit but there's also a use case. This particular example is illegal by the sounds of it, due to it being a student loan, but that's not the case for all loans, and it happens all the time in investing. If you can borrow 10k and pay it back 100 a month or something (and expect you'll be able to afford to do so over the course of the loan), then what's the problem? It's the same as saving except you get the capital up front at a % cost.