Hey guys, first time posting on the site and was just trying to get some advice. I was just about to refinance my student loans and wanted to make sure it was a good idea before I did so since I know I will be giving up all the potential loan repayment perks such as IBR, PSLF etc.
So basic info, currently looking to refinance 147k of student loans with avg interest rate of 5.5%, (have another 31k also but these are interest deferred for a year so I am going to sit on them for now). I have accepted a job in a private practice and will be starting September 3rd. Job has a base pay of 104k but with bonus structure the practice owner believes it will work out to be around 120k for the first year (pretax).
I am planning to live at home for atleast the first year which should really reduce my living expenses. Since I do plan on being in private practice for the long term I think refinancing my loans and paying off fairly quickly is the best option. I was offered a rate of 3.98% on a 7 year term ($2,063 monthly payment) through laurel road which was the best rate by far of any lender. I like that I don't need a cosigner, they have options for delaying payments if I ever am unemployed and that the loans are forgiven in the circumstance of death or permanent disability. I basically, just wanted to run this past some people with experience with this to make sure I am not making a huge mistake and that I am not doing this too early. I know I haven't even started working yet, but the refinancing company would honor the 6 month grace period so I would have time to build up a small emergency fund anyways.
Thanks for any feedback you have.
So basic info, currently looking to refinance 147k of student loans with avg interest rate of 5.5%, (have another 31k also but these are interest deferred for a year so I am going to sit on them for now). I have accepted a job in a private practice and will be starting September 3rd. Job has a base pay of 104k but with bonus structure the practice owner believes it will work out to be around 120k for the first year (pretax).
I am planning to live at home for atleast the first year which should really reduce my living expenses. Since I do plan on being in private practice for the long term I think refinancing my loans and paying off fairly quickly is the best option. I was offered a rate of 3.98% on a 7 year term ($2,063 monthly payment) through laurel road which was the best rate by far of any lender. I like that I don't need a cosigner, they have options for delaying payments if I ever am unemployed and that the loans are forgiven in the circumstance of death or permanent disability. I basically, just wanted to run this past some people with experience with this to make sure I am not making a huge mistake and that I am not doing this too early. I know I haven't even started working yet, but the refinancing company would honor the 6 month grace period so I would have time to build up a small emergency fund anyways.
Thanks for any feedback you have.
