FYI: Some student loans rates will rise on July 1. There is still time to consolidate your loans into a fixed rate prior to that. This link has some info, but you can probably google to find out more. You should also contact your loan holder to see how to consolidate to the fixed lower rate. http://www.finaid.org/loans/
Can someone explain to me what consolidation mean? I keep getting message that urges me to consolidate my loans... I don't know much about these kind of things. Any help would be appreciated.
I'm assuming in this case, that most students have multiple student loans. You can consolidate them into one loan at a fixed amount. For a deifnitive answer, you should contact your student loan holders or your school's financial aid office.
If you have more than one loan, both loan rates are going up. This is the chance to lump the loans together (consolidate) and get better terms.
The folks at Sallie Mae were very helpful a few weeks ago when I decided to consolidate mine. Glad I did it, it will end up saving me thousands of dollars.
Dude, I know, this sucks! I'm going back for my MBA this fall, and the fixed rate is 6.8% on all Stafford Loans. Total bullsh*t. And, I didn't qualify for and ******* Subsidized Federal Loan money either. So I get two years of Unsubsidized loans at 6.8%. Not only that, but MBA tuition is going way up every f*cking year. Two years ago, McCombs was $17.2K annually, and now it's $19.5K annually. I couldn't attend Michigan, Cornell, or UNC due to financial concerns.
The only loans eligible for consolidation are FEDERAL loans, right (i.e. Stafford, Perkins, etc.)? So private loans aren't eligible? Is that correct?
TL -- that's right. I did my consolidation earlier this month, and my perkins and stafford loans were covered. Baqui -- I would KILL for only $19,5 . . . 3 semesters at CMU, and I'm leaving with 51K in student loans!!
This thread is just another reason why the college experience is just a huge crock of ****. I'd get into why but I'm tired and somewhat buzzed. Enjoy paying all of that money back!
Yeah, I wonder why they do that? I guess more money for them from the higher interest rates. Is it true that the federal government is soon going to permanently lock interest rates on federal student loans where it can't rise or fall any more?
Double check with your school or lender on that. I consolidated my loans last year even though i was only half way done with school. Last year may have been a one-time loophole, but I don't think so. The only downside was that I lost my grace period for those loans, but I saved 2 points on my interest rate.
Good reminder. I have to call my Grandma tomorrow to see if she'll co-sign on mine. I have to find somebody by July 7th. Hopefully, if all this co-signing things work out for me, I'll graduate school in 2008 at the age of 20, with only 6 grand in student loans. I'll only have an associate's, but I'll be certified in my line of work, and that is all I'll need. I might, later on down the line, decided to go back to school, though.
You lost your grace period, so you have to start paying them right when you get out of school? I called my loan provider and they said since I was in school still that it is not possible. Does anybody know if it I can go to another party and they take the loans and let me consolidate.
Exactly. I just graduated from business school, so let's pretend I had $10,000 of Federal loans in yr 1 of school. Last June, I sent in my consolidation application to my lender and consolidated at the 2.7x% rate. That $10K loan is now locked in at that rate for life, but rather than beginning payments in Jan 2007 (6 months after graduation), my first payment is due in a couple weeks. I separately consolidated my year two loans at the current rate (which is abt 4.8x%). I retain the grace period for those, and payments on those begin in Jan 2007, but the rate is locked in at the 4.8x% rate for the life of the loan. I know a couple people that are a year behind me in school and I know they just consolidated, too. So it's definitely possible. If you're willing to give up your grace period, check it out, because it's a good amount of cash saved. Google consolidation while in school and a bunch of stuff will show up. Otherwise, just call Sallie Mae or something to get the info.
Damn, $51k for 3 semesters?! I remember someone telling me that CMU's Tepper is the most expensive program in the country at $42k annually. http://business.tepper.cmu.edu/default.aspx?id=142137
