Cheapest Loan Consolidation Rate For 6-Figure Student Loans...
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1st Republic Bank had a 2.45% fixed rate for a 5-year consolidation just a few weeks ago. I hadn't seen that kind of rate in a long time.
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my DR bank consolidation loan is at 2.43% but that is variable and 5 year term, they wanted 3.5% for fixed 5 year term, I chose to roll the dice...will see if that pays off!!
First Republic offered me 2.45% fixed 5 years or 2.95% fixed 7 years.
1.7% for 25 years
but
that was 2005
but
that was 2005
God, I graduated at the wrong time.
My rate was offered 6/2015.
Do you have one of these banks locally? I don't, but that rate is awesome...
What if I reconsolidate at a lower percentage with a private company but then lose my job, will these private companies let me go into deferment like government Stanford loans?
Does reconsolidating with the private companies for a lower interest require you pay off your loans within 5-10 years? My goal is to pay everything off within 7 years, but I want to choose a longer repayment plan so my monthly payments aren't 2000+ just incase for emergencies.
I agree. I would love to refinance at a lower interest rate, but the lowest rate people post on here are for the shortest time periods. I mean what if something happens! Taking my loans from 10 years standard Stafford to 5 years seems risky!!! I want more people to post their thought processes on this matter.
You will have to choose the length of the loan when you refinance, but shorter loans will also give you a lower interest rate. It looks like 20 year fixed interest refi loans are around 5-6.25%, so these aren't that much better than federal direct loans at 6.55%. Whereas 5 year loans can be had with as low as 1.9% variable or 2.5% fixed (going off what was said in this thread by others).
You could refi just some of your loans. (They may not even approve you for too high an amount e.g. >$100k, or they may set a higher interest rate).
Let's say you refi $50k for 5 years at 2.5%. The monthly payment is $887.37 and you'll pay a total of about $3,200 interest.
The monthly payment for just this $50k if you left it on the 10 year plan at 6.55% is $569.01. About $300 lower, but it'll take you 10 years to pay off and you'll pay a total of $18k interest.
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Yes, I live in California.
Federal loans have a lot of borrower protections whereas private refi usually has nothing to mitigate loss of employment/reduced income. Some private companies do offer forbearance through a protection option.
It was an internal promotion the bank offered. Wouldn't hurt to call and ask if they're still offering it.
If people can get by on $35k/year, so can you! Monthly payments of $2k will leave you with more leftover cash than the majority of Americans make before taxes. However...eliminating your loans faster will cause you to pay less interest over time generally than just reducing your rate...so even just overpaying your federal loans at $2k/month without refinancing will do a lot for you, too (as long as you've told the loan coordinator to apply overages to the principle, not the interest), but leave you with a safety net in case you have issues.
Well right now I'm paying a total of 2,092.86 in student loans every month. These are all federal loans so they're on the standard 10 year repayment plan. Sucks when I'm only scheduled 3 days per week. That's 30 hours, but my travel time to the stores I float at don't usually come close to another 10 hours to get a 40 hour week. And If I'm working at my home store I don't get any travel time at all. So some weeks I just have low 30s as far as hours. It's usually 33-ish. And I'm rural so all these new students who think they can just go rural...
GOOD LUCK WITH THAT!
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Yeah, as long as you apply extra towards principal, every little bit helps.
Just to give others an idea-
100k in loans @ 7% is ~$19/day
200k " $38/day
300k " $57/day
Just verify that your refi has zero origination and no prepay penalty.
Just to give others an idea-
100k in loans @ 7% is ~$19/day
200k " $38/day
300k " $57/day
Just verify that your refi has zero origination and no prepay penalty.
Paying off loans early is hard, but it is highly worth it. There is a certain cutoff point, however, when one might be better off just going on IBR and getting on a long-term plan. I would say students should start thinking about IBR at any point after $250k.
https://www.firstrepublic.com/personal/personal-lending/eagle-gold-all-in-one
REQUIREMENTS:
- ATM Rebate Checking account with automatic loan debit, direct deposit and online banking
- Minimum 24 months in current industry
- Applicants must meet a First Republic banker in person to complete account and loan application paperwork. This can be done at any First Republic preferred banking office.
So just finished with First Republic: 2.75% for 5 years
What kind of payments are you looking at and how much in interest savings are you anticipating?
