Also, let me know what rate you got if you it is better than mine (Federal 6.5%, private 8.0%)
2006-12-11 05:40:31 · 5 answers · asked by Tommy G. 2 in Education & Reference ➔ Financial Aid
Hello Tommy,
When you consolidate, your interest rate is determined by what is called a "weighted average" if your current rates..
Its not like mortgages where different companies can offer different rates...
Whether you go to sallie mae, nel net, student aid lending, or anyone for that matter, the rate you get is the same at every company...
The FFELP consolidation loan is a federal regulated loan so ther eisnt a lender that can do anything better for you...
Here's an example..
If you have 1 loan for $10k at 7%, and you have a second loan for $20k at 3%... Your weighted average would be 4.375%..
The reason is because the majority of your loans are under the 3% rate, so the WEIGHTED average is determined by the amount of loan per rate...
Another example... If you have 1 loan for $10k at 2%, another at $10k at 3% a third for $10k at 4% and a $40k at 9%...
Your WEIGHTED average is 6.5%... Even though you have loans at 2, 3, and 4% the majority of your loans are at the 9% mark..
So, ill stress again, it doesnt matter which lender you go through, they all have to follow this same formula to determine your interest rate..
The only differences you can find from one lender to the next is the rate discounts being offered.. This again is determined by the government though.. The government currently offers 3 seperate rate discounts...
>>>.60% off for consolidating 3 months prior top graduation..
>>>1.0% off for 36 on time payments
>>>.25% off for automatic debt from checking
These are the ONLY discounts that the Departmen tof education allows studne tlenders to give..
Its up to the individual lender to decise which discounts to offer..
Big companies like Sallie Mae will typically ONLY offer 1 or 2 of the discounts, and alot of the time will not offer them unless you ask..(this is because they make more money)
My company on the other hand offers and honors all 3 discounts...
What i suggest is that you give me a call and i can pull up your loan files on the NSLDS (National student loan database system)
This wil show all of your current loans and will let me know whether or not you can consolidate...
I work with Student Aid Lending, we are a nationwide title IV lender administered by the department of education...
I would be happy to assist you at any time...
Feel free to call or email me!
Jason Fry
Student Aid Lending
800-964-0642 ext 114
jasonf@StudentAidLending.com
2006-12-12 03:34:21 · answer #1 · answered by Student Loans 4 · 0⤊ 0⤋
It certainly doesn't hurt to call and find out. I have no idea what my rate is but I already consolidated them. You can also go online at:
www.americanstudentloan.com
www.salliemae.com
www.educationalloancompany.com
educationfinancepartners.com
http://www.nextstudent.com/
This is only a partial list of the ones that I found. GOOD HUNTING & Happy Holidays!!
Eds
2006-12-11 06:26:33 · answer #2 · answered by Eds 7 · 0⤊ 0⤋
It relies upon. Is the speed a demanding and quick price or one that can decision? The charges of pastime keep going up and with that so can the loan, so be careful, in problem-free words do it in case you will get a demanding and quick loan at a decrease price. even if it truly is not fixed do not do it.
2016-11-25 20:59:06 · answer #3 · answered by ? 4 · 0⤊ 0⤋
i got 2.78% for the life of the loan
Now, I have to figure out how to get a man. (LOL)
2006-12-11 06:36:03 · answer #4 · answered by sunshine23511 5 · 0⤊ 0⤋
sallie may gave me a 4.125% on my 41,000 loans.
2006-12-11 06:28:18 · answer #5 · answered by Jimena S 3 · 0⤊ 0⤋