I have a LARGE amount of student loans, both federal (consolidated) and private. My private loans are on a variable interest rate. I feel like I am spinning my wheels paying each month to a balance that doesn't seem to move.
What can I do? Should I put the fixed rate loans in deferrment and pay double on the variable rate loan?
2007-02-10 11:40:39 · 3 answers · asked by Lil Miss Answershine 7 in Business & Finance ➔ Personal Finance
It's a guessing game when you are trying to anticipate how much a variable rate loan will cost. I have a calculator on my website www.wfwellness.com that you can use. If either loan has a minimum payment that is a percentage of the balance, that's the bad one and the one to get rid of first. The best plan is usually to do a comprehensive budget including annual expenses, figure what you can pay to debt repayment and make sure there's savings too. Pay as much as you can very very consistantly. You need to be debt free as soon as possible, then there are other options avaialble than trying to figure out how to get out from under a huge debt.
2007-02-16 14:51:24 · answer #1 · answered by CJ 2 · 0⤊ 0⤋
You gotta give some more info on your interest rates. You always want fixed rates unless its a car loan, or another rate that doesn't move very much when it is variable. My best bet for you would be get a fixed interest rate at a local financial institution. Usually credit unions are pretty good with rates. If you have a car that you own free and clear you can do what is called a refinance and get that at a low interest rate. This might help but I need to know more....... percent that you are paying, amount of loans.......
good luck
2007-02-15 14:51:06 · answer #2 · answered by Svetik 1 · 0⤊ 0⤋
I handled both of my Sons' loans until well after they Graduated college. Yes. You just correctly answered your own question.
2007-02-17 12:02:14 · answer #3 · answered by Denny my Broth 2 · 0⤊ 0⤋