Something about the President changing the rates or something and we should consolidate or reconsolidate before June 30? I knew I should have taken a class in Personal Finance, lol.
2006-06-23 11:38:22 · 5 answers · asked by calebsdoodee 2 in Business & Finance ➔ Personal Finance
I'm still in grad school. I have a year to go before I complete my Master's degree. What should I do? [Obviously, I'm not an economist :-) ]
2006-06-23 15:46:44 · update #1
Student loan rates are reset every July 1st. Because central bank has been raising the interest rate over the last year, the student loan rate will most certainly increase as well comes July 1st. Consolidation allows you to lock in the old rate for the life of your loan, so if you have a lot of loans, it may be worthwhile to consolidate before the deadline so that you can pay less in interest every month. The only caveat is, you can only consolidate your loan once. So if you consolidate your loans now, you will not be able to reconsolidate the rest of your loans after you graduate. In my opinion, you should consolidate if you have a large amount of loans already. This way, you will lock in the lower rate for the biggest chunk of your outstanding loans. Conversely, if your existing loans is less than 50% of your total loan amount after graduation, you may want to wait to consolidate until after you graduate. The rate may be lower then (remember, interest rates cycle up and down).
2006-06-25 19:42:11 · answer #1 · answered by Self-Taught Finance 2 · 1⤊ 0⤋
Rates on all student loans are going up.
Bush's consolidation program forces former students to consolidate loans into a fixed rate instead of the variable rates that federal loans carry. This means that graduates should consolidate their loans now in order to save money down the road.
2006-06-23 18:43:14 · answer #2 · answered by Anonymous · 0⤊ 0⤋
...thanks Dubya! :(
Myself, I am a grad and need to consolidate my loans before the deadline! So I went on a google hunt (I mean search ;). But eventually, I did find a site that has rated a few student loan consolidators, and says they have checked them out. Here's the web page: http://lendersrated.com/studentloans.htm
Hope it helps you...
karateross
2006-06-27 04:19:55 · answer #3 · answered by PaymentKey.com 3 · 0⤊ 0⤋
rates go up. Consolidate now if you are out of school. You can get a fixed rate and it will be lower. check out www.salliemae.com
2006-06-23 18:44:17 · answer #4 · answered by bike bandit 2 · 0⤊ 0⤋
The interest rate increases.
2006-06-23 18:42:04 · answer #5 · answered by starr 4 · 0⤊ 0⤋