Student loan interest still accruing.

[rs37982]

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So apparently interest rates are supposed to be reduced to 0% temporarily during this whole coronavirus situation. However, I've been checking my Nelnet and my loans are still accruing interest... is this something they're going to fix eventually? I thought this would be in effect since it was announced. Just wondering if anyone's noticed any change in their account yet.

 

[pharmacy_sucks]

no. 0% is the bank lending rate. the rate FED lending to banks. banks will add marginal rate on top of that for profit.

so FED would need to drop rate to negative to have near effective 0% interest rate, which is unlikely.

 

[ValeRx]

From my understanding, the only rates that would actually go down would be variable interest rate loans, not fixed.

 

[zona2016]

They will backtrack starting on friday 3/13/2020. Knowing loan servicers it will take a couple of days for it to reflect. I will probably use my next check to give a hit to my student loans.

 

[gwarm01]

For those who are unaware, the federal government has decided to halt interest on federal student loans for the immediate future. My understanding is this was all just announced last Friday, so you may still see interest accruing until they sort it out. My loan holder sent a note about this yesterday.

 

[VictorOfHungerGames]

Just got approved for refinancing on my car with 2% 3 year interest. Not bad. I may just get a new car at that rate haha