Sallie Mae- did your interest rate change during grace period?

[golgi]

Hi-

I consolidated with Sallie Mae and asked them to delay my consolidation paperwork until the grace period. When I looked on my SM manage your loans info the rate on my student loans is now 4.575 (?) %. Is this because the loan hasn't been consolidated yet and so during the grace period the loans are at around 4.5%?

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[Wednesday]

The rate increased today. Since you haven't consolidated yet, your rates changed. After your grace period you can consolidate at the "current" interest rate ("current" is when you actually consolidate). I think you might have missed your chance to consolidate at the lower rate. If they told you something else you should call them ASAP to straighten it out.

 

[Blade28]

You should have filled out all the paperwork prior to July 1st...then after the grace period ends (Nov 15 for me), you would start paying your loan at your consolidated interest rate.

 

[kas23]

They made a mistake. As long as they received you application before July 1st, you will get the pre-July 1st interest rates. Just call them up and explain the situation.

 

[candycane]

no they did not make a mistake. What happened was that your ingrace interest rate is higher. You will not get the prejuly interest rate until after 12/05 when your loan is actually consolidated. You can opt out of your grace to get the prejuly interest rate. I would crunch the #'s and see if you will save $ in the long run before opting out of grace.

 

[hello23]

no they did not make a mistake. What happened was that your ingrace interest rate is higher. You will not get the prejuly interest rate until after 12/05 when your loan is actually consolidated. You can opt out of your grace to get the prejuly interest rate. I would crunch the #'s and see if you will save $ in the long run before opting out of grace.

Are you sure about this? Did you call them? Anyway, I am pretty annoyed about how SallieMae worked.

 

[golgi]

no they did not make a mistake. What happened was that your ingrace interest rate is higher. You will not get the prejuly interest rate until after 12/05 when your loan is actually consolidated. You can opt out of your grace to get the prejuly interest rate. I would crunch the #'s and see if you will save $ in the long run before opting out of grace.

Yeah this is what I was thinking too. I turned in my completed paperwork on June 5 but my school recommended us to delay processing till the grace period so I could take advantage of it. It just didn't occur to me that the grace period interest rate would change but I guess it makes sense. I just hope they don't forget to set it back to 2.7% after my grace period is up and the consolidation paperwork is approve! Hopefully, this won't interfere with deferring...?

 

[chauffeur]

The told me this while I was filing my consolidation application. They didn't volunteer this information b/c the higher rate means more $ for them. I had to inquire about it.

The interest rate goes up for us during the grace period. However, we'll still get the pre-July rate when consolidation takes place in November.