student loan refinance

[dddunit]

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what are your guys thoughts on sofi. I thought they were good but now having bad experiences.

any other lenders you would recommend thanks. thinking of moving on from sofi

 

[air bud]

How so? My opinion is all the same, whoever gives you the best rate. Credible will give you a bunch of options, can also go directly though lenders like earnest, lendkey, etc.
I have refinanced 3 times now. Currently with Earnest at 2.15% variable got a 500 dollar sign up bonus. Have also been with citizens Bank and another one I can't remember. One time got a 1k signup and another a 600 dollar signup bonus.

To get best signup bonus go through link on white coat investor page

 

[dddunit]

any have experience with Splash Financial? Seems like they are offering one of lowest rates.

 

[proudofmykids]

I know this is an old thread, and it seems there are many refinance options out there.
I was hoping you experienced people can tell me whether there are similar better options to the Stafford and Plus loans (6-7% rates and initiation fees).
What can you recommend?
TIA
EDIT - this is for a new med student

 

[air bud]

I know this is an old thread, and it seems there are many refinance options out there.
I was hoping you experienced people can tell me whether there are similar better options to the Stafford and Plus loans (6-7% rates and initiation fees).
What can you recommend?
TIA

first of all, you should have already refinanced unless you are going for PSLF.
second of all, they are all the same - go with whoever gives you the best rate
third of all, get the paid off in 5 years, get the best rate
fourth of all, do a variable rate to get the best rate. Fixed rates are just like buying insurance. Thats why they are higher rates. Guess what, sometimes the rate goes down. My 5 year rate has decreased from 2.75 with autopay to 1.64% currently. Thats pretty awesome. Not sure if they can go lower, so maybe there is an argument to get fixed. Regardless, you can always refi later. I have refinanced mine 4 times. It doesn't cost you anything and I have gotten 1800 worth of signup bonuses...if I was smart I would have put that towards the loan.
Finally - do it asap there is ZERO reason to have a federal loan

 

[air bud]

Easy Refinance Student Loans Guides and Tools is your bible

 

[proudofmykids]

I edited original post and should have been more clear.
This question is for a new med student. So, what non government loans would you recommend over the government options for new loans?

 

[DexterMorganSK]

I edited original post and should have been more clear.
This question is for a new med student. So, what non government loans would you recommend over the government options for new loans?

None. FAFSA is better in the long run than any private loans, even at a lower interest rate.

 

[proudofmykids]

None. FAFSA is better in the long run than any private loans, even at a lower interest rate.

Can you please explain. There seems to be lower and fixed interest (not just variable options) with zero initiation fees.

 

[DexterMorganSK]

Can you please explain. There seems to be lower and fixed interest (not just variable options) with zero initiation fees.

I would consider the private loan if this was a short-one time thing but since you are asking for someone entering medical school (4-years), the federal loans are the way to go due to: loan forgiveness and income-driven repayment options.

You can read more here: You are being redirected...
or talk to the financial aid office at meds school.

 

[air bud]

I edited original post and should have been more clear.
This question is for a new med student. So, what non government loans would you recommend over the government options for new loans?

Do everything you can to NOT take out loans. You are welcome

But seriously. The most important thing you can do is go to a school with a low cost of living and lower tuition..

 

[DYK343]

Do everything you can to NOT take out loans. You are welcome

But seriously. The most important thing you can do is go to a school with a low cost of living and lower tuition..

this x 1000. Keep costs as low as possible. It's easy to spend government money.... until you have to pay it back. I probably spent 50-75k more than I should have in school. One of the dumbest things i've ever done.

Think of it this way. Every dollar you take out you will repay 2-3 in return.

 

[GreenHousePub]

I edited original post and should have been more clear.
This question is for a new med student. So, what non government loans would you recommend over the government options for new loans?

Absolutely none. You don't know what your financial situation is going to be during residency or afterwards. There are a ton of protections with the FAFSA loans that you won't find in private loans. The time for refinancing is when you are stable.

 

[proudofmykids]

Thanks. Unexpectedly, the version of this question is a more active thread in the Premed forum. I’ve learned a lot.

 

[air bud]

Absolutely none. You don't know what your financial situation is going to be during residency or afterwards. There are a ton of protections with the FAFSA loans that you won't find in private loans. The time for refinancing is when you are stable.

for students it is when stable, for people with jobs it is NOW - rates are too good. again i am paying 1.67 percent right now. thats like what the mustache pods paid when they went to school in the 80s

 

[HaimFeldman]

When I applied to refinance, 6 months ago, the offered rates weren't much less than my current FAFSA loan rates, and the monthly payment on a 10 year standard repayment timeframe were somehow higher than what I currently pay even with that marginally reduced rate.

That may have changed with the COVID-19 recession and rates may be better now, but also loan forgiveness is becoming more and more popular amongst progressive presidential candidates. Now with COVID-19, that seems to be gaining some more traction. If you refinance you won't qualify.

But if you can get a great rate, and have a good job with a good group or hospital, go for it. If you work for a greedy old-timey private podiatry pod your job is less secure, I'd stick with the FAFSA stuff.

 

[air bud]

When I applied to refinance, 6 months ago, the offered rates weren't much less than my current FAFSA loan rates, and the monthly payment on a 10 year standard repayment timeframe were somehow higher than what I currently pay even with that marginally reduced rate.

That may have changed with the COVID-19 recession and rates may be better now, but also loan forgiveness is becoming more and more popular amongst progressive presidential candidates. Now with COVID-19, that seems to be gaining some more traction. If you refinance.

But if you can get a great rate, and have a good job with a good group or hospital, go for it. If you work for a greedy old-timey private podiatry pod your job is less secure, I'd stick with the FAFSA stuff.

yes, rates have gone down significantly. If you think loan forgiveness is passing, you are crazy. If you think it is going to pass for someone at our income, you are especially crazy.

 

[HaimFeldman]

yes, rates have gone down significantly. If you think loan forgiveness is passing, you are crazy. If you think it is going to pass for someone at our income, you are especially crazy.

Yeah, well some of us fall into that camp of graduating pods that took crap jobs with greedy private practice old timey pods paying their associates a pittance. So we probably don't fall into that "our income category."

As for the forgiveness, we'll see Buddy.

 

[heybrother]

Hopefully your income will increase in the future. My memory of reading the private refinance sites was that you really needed to have good income ie. hospital income to qualify for the better rates. Otherwise you go through a bunch of bother to get offered a rate in line with what you already have without the protections.

 

[GreenHousePub]

they were trying to slip in 10k of loan forgiveness into that failed bill......great, the interest accused on my loans for a few months gets waived.

 

[HaimFeldman]

For the next 60 days, and possibly even longer, there is no student loan interest for the FAFSA loans anyway. So if you're thinking of refinancing now, take advantage of that and wait. Should be able to take a nice chunk out of the principle that will help lower rates for refinancincing even more when this pandemic passes. Given our government's inept response so far, it could be awhile.

 

[waqasbahi]

Does no interest for 60 days affect private loans student loan refinancing also?


Sent from my iPhone using Tapatalk

 

[HaimFeldman]

Does no interest for 60 days affect private loans student loan refinancing also?


Sent from my iPhone using Tapatalk

No.

 

[Scrantonicity]

If you have Federal student loans, not only is interest right now at 0%--you may also qualify for Forbearance for up to a year--the COVID-19 crisis qualifies it as "Natural Disaster Forbearance". So no payments for a year--No interest will be added to the principle after the forbearance. If you're on the income based plan, the only downside is the fact that the year you don't make payments will not count toward your years towards "loan forgiveness" (not looking forward to that tax nightmare any time soon anyways...). II just got off the phone with them at Navient, and they took care of it for me pretty quickly.

 

[HaimFeldman]

6 months no interest now.
Sucks for the folks that just refinanced.

 

[underwood]

Do we need to call loan provider to make sure interest does not accumulate, or is it automatic?
my balance is still going up..

 

[GreenHousePub]

Do we need to call loan provider to make sure interest does not accumulate, or is it automatic?
my balance is still going up..

If you financed through myfedloan follow the automated telephone number here:

MyFedLoan - COVID-19

 

[air bud]

When you gamble fixed vs variable sometimes you win. My rate is now 0.47% with auto-pay. Had to call in to double-check and make sure accurate.

 

[heybrother]

Jeez. That's just above the Applicable Federal Rate for 3-9 years which in June will be 0.43%. Normally a rate that low is associated with for example - a family member who wants to buy their kid a house, but sets it up as a intra-family rate mortage at as low a level as is allowed.

And you aren't even related to these people.

 

[underwood]

A bit off topic, but are there a good amount of podiatry jobs out there that qualify for PSLF? Currently in residency and was weighing my options
as to refinance or find a job that qualifies.
Thanks

 

[air bud]

A bit off topic, but are there a good amount of podiatry jobs out there that qualify for PSLF? Currently in residency and was weighing my options
as to refinance or find a job that qualifies.
Thanks

Basically none. Rural is your only option. Technically University jobs too. Let's hope that your residency was set up as 501c3 and those payments count. I get 20k a year for 5 years for my job. I know some places just give a large signing bonus and expect that to count for loans. I had friends get 100k from Avera which is a large system in the northern Midwest.

 

[underwood]

Thanks for the reply, seems like rural is the way to go to get the loans paid off. Ya my residency payments count, but I was debating about paying extra to at least try and pay off interest, or just pay minimum. If I was confident I was going to get a qualifying job after residency then I would continue to just pay minimum and not care about the interest racking up... thats the dilemma...

 

[newfeet]

Thanks for the reply, seems like rural is the way to go to get the loans paid off. Ya my residency payments count, but I was debating about paying extra to at least try and pay off interest, or just pay minimum. If I was confident I was going to get a qualifying job after residency then I would continue to just pay minimum and not care about the interest racking up... thats the dilemma...

Rural is the only way to go. I didnt know residency counted. I've been in a rural system for 5 years now. I submit a form pretty much every year. According to the my loan servicer my loan will be forgiven in July 2025.

 

[DexterMorganSK]

Rural is the only way to go. I didnt know residency counted. I've been in a rural system for 5 years now. I submit a form pretty much every year. According to the my loan servicer my loan will be forgiven in July 2025.

Is it just the direct loans that are forgiven and are there a limit? Thanks.

 

[underwood]

Rural is the only way to go. I didnt know residency counted. I've been in a rural system for 5 years now. I submit a form pretty much every year. According to the my loan servicer my loan will be forgiven in July 2025.

Ya that’s my plan at the moment. Are most hospital employed positions Considered non profit and would qualify?

 

[proudofmykids]

Ya that’s my plan at the moment. Are most hospital employed positions Considered non profit and would qualify?

Many hospitals do qualify and if employed directly by the hospital, you would qualify; But, you need to be very careful to make sure that it is a hospital employing you and not a hospital owned separate physician group etc! The key is they are a 501.c3.

 

[newfeet]

Ya that’s my plan at the moment. Are most hospital employed positions Considered non profit and would qualify?

You have to work directly for the hospital.

 

[newfeet]

Is it just the direct loans that are forgiven and are there a limit? Thanks.

Is it just the direct loans that are forgiven and are there a limit? Thanks.

There’s no limit.
From the website (Public Service Loan Forgiveness):

Any loan received under the William D. Ford Federal Direct Loan (Direct Loan) Program qualifies for PSLF.

Loans from these federal student loan programs don't qualify for PSLF: the Federal Family Education Loan (FFEL) Program and the Federal Perkins Loan (Perkins Loan) Program. However, they may become eligible if you consolidate them into a Direct Consolidation Loan.

 

[DYK343]

PSLF is risky. Most to date have been denied. From what I understand most to date that applied did not qualify in the first place or applied too early or didnt "notify the US government they were applying for PSLF in time" i.e 12 months before you are due for your loans to be forgiven you have to notify them of upcoming forgiveness.

I know the above is confusing - which is why most didnt get forgiven. My source is the white coat investor podcast which I listened to and if you do PSLF you should too.

If you do PSLF I agree with WCI on take the "savings" you would normally put toward loans invest it elsewhere. So if you do get screwed at 10 years at least you still have that money minus some potential loss in interest. If you get forgiven you get a big "bonus" on top of a bonus.

 

[dtrack22]

PSLF is risky. Most to date have been denied. From what I understand most to date that applied did not qualify in the first place or applied too early or didnt "notify the US government they were applying for PSLF in time" i.e 12 months before you are due for your loans to be forgiven you have to notify them of upcoming forgiveness.

I know the above is confusing - which is why most didnt get forgiven. My source is the white coat investor podcast which I listened to and if you do PSLF you should too.

He also broke it down and noted right off the bat, something like 50% of the people didn't complete the application and therefore were listed as "denied." And then another 20% didn't actually qualify. And then another 10% applied a year too early. Or something to that effect.

It was basically like the military academies where they will mention low acceptance rates (like 10-15%), but then when you figure out the acceptance rate of kids who actually completed the application, got the congressional nomination, etc. it jumps up to over 80%. Meaning, if you meet criteria for PSLF, do whatever yearly thing they require and fill out the application correctly, you will get the loan forgiven as promised.

 

[DYK343]

It was basically like the military academies where they will mention low acceptance rates (like 10-15%), but then when you figure out the acceptance rate of kids who actually completed the application, got the congressional nomination, etc. it jumps up to over 80%. Meaning, if you meet criteria for PSLF, do whatever yearly thing they require and fill out the application correctly, you will get the loan forgiven as promised.

Like the time I got rejected from a podiatry school after I told them I was not going to attend their school? HAHA

 

[newfeet]

He also broke it down and noted right off the bat, something like 50% of the people didn't complete the application and therefore were listed as "denied." And then another 20% didn't actually qualify. And then another 10% applied a year too early. Or something to that effect.

It was basically like the military academies where they will mention low acceptance rates (like 10-15%), but then when you figure out the acceptance rate of kids who actually completed the application, got the congressional nomination, etc. it jumps up to over 80%. Meaning, if you meet criteria for PSLF, do whatever yearly thing they require and fill out the application correctly, you will get the loan forgiven as promised.

If you submit once year. The servicer tells you if your payments qualify. So do that employer verification form at least once a year. I have copies of the letters they send with the list of qualified payments.