nockmdead asked:
I consolidated my loans with Nextstudent on 03/21/06 before I graduated on 05/01/06. I’m supposed to get a .6% reduction on my interest rate for consolidating before the end of my grace period. Well, apparently, my loan consolidation just went through and my payments are $21 higher than I was orginally quoted. I was first told I would have payment of $257 per month, and an interest rate of 4.5% but when I got my repayment schedule, my payments are $278 a month and the interest rate 6.5%!!!! I don’t think nextstudent takes credit scores into account, but my credit score is 793 and I would have thought they could have given me a better interest rate. Plus, my intention was to consolidate before the 07/01/06 deadline when interest rates could no longer be locked in after that date. Nextstudent isn’t open until tomorrow and I just want to what my options are. I’m supposed to make my first payment by 10/14/06 (even though the disbursement didn’t happen until 09/20 and I’m not even g
This is a consolidation loan and the purpose of signing and completing a consolidation loan was to lock in my interest rate and not have a variable interest rate. I believe nextstudent duped me by having the sign the application again after the 07/01/06 deadline; had I realized what was going on, I never would have signed the application a second time. (So much for being financially savvy.) I think I am pretty much screwed.
I consolidated my loans with Nextstudent on 03/21/06 before I graduated on 05/01/06. I’m supposed to get a .6% reduction on my interest rate for consolidating before the end of my grace period. Well, apparently, my loan consolidation just went through and my payments are $21 higher than I was orginally quoted. I was first told I would have payment of $257 per month, and an interest rate of 4.5% but when I got my repayment schedule, my payments are $278 a month and the interest rate 6.5%!!!! I don’t think nextstudent takes credit scores into account, but my credit score is 793 and I would have thought they could have given me a better interest rate. Plus, my intention was to consolidate before the 07/01/06 deadline when interest rates could no longer be locked in after that date. Nextstudent isn’t open until tomorrow and I just want to what my options are. I’m supposed to make my first payment by 10/14/06 (even though the disbursement didn’t happen until 09/20 and I’m not even g
This is a consolidation loan and the purpose of signing and completing a consolidation loan was to lock in my interest rate and not have a variable interest rate. I believe nextstudent duped me by having the sign the application again after the 07/01/06 deadline; had I realized what was going on, I never would have signed the application a second time. (So much for being financially savvy.) I think I am pretty much screwed.
It sounds like you may have a variable interest rate loan?
Here are some aspects to consider for anyone wanting to consolidate student loans.
Student loan consolidation has a lot to offer. That is what many experts often say. To find out what consolidation has to offer, let’s read on.
Overall Interest Savings
Over time, the student loans you have borrowed have been assigned with different variable interest rates. Note that the key word here is variable. While the loan you received may have offered, say, 3.5 percent at first, the rate will actually go up as the interest rates go up. So, if you have two or more of these loans, there is a great possibility that you may have owed amounts at different rates, and these rates can rise and fall yearly. Considering that the interest rates have nowhere else to go but up, it is no doubt a safe bet that the debt you have accumulated will mount faster than it would if you consider a student loan consolidation.
By considering consolidation and remaining on your 10 years payment plan, it is possible that you can lock your interest at today’s current loan rates and save some bucks over the long haul. Aside from that, all of those loans that may have come from different lending companies or banks can be a burden to deal with. So, if you consolidate, it means that you only deal with one single company and one payment rather than several. Other than that, you have the great chance to receive added bonuses like payment and interest rate reductions in case you pay your debts on time over a period of months. These benefits are also possible to come if you have automatically withdrawn your monthly payment from a checking or savings account.
Left by sunnyday11 on February 20th, 2010