We all know you can refinance a vehicle note, a mortgage, etc. But did you know that you can refinance a student loan as well? If you are struggling because of your student loans, which were necessary for you education- you might be a good candidate for a student loan refinance. This is especially true if you look more than one student loan to pay for your schooling or education related expenses. If you’re drowning in a sea of high loan payments, and you’re struggling to make ends meet, you may be able to get a student loan refinance.
If you’ve got several loans out, a student loan refinance will actually consolidate your loans.
By refinancing student loans and consolidation your student debt, this will help you to get a single interest rate and you’ll only need to make one payment a month. Before you get too excited thought, it’s important to do your homework first! Make sure that you’ve got a decent credit score first- you can get copy of your credit report for free, there are several ways to do this, and you need only do a search on a search engine to find free credit reports online. Once you’ve got a copy of your credit report, make sure there aren’t any major outstanding debts, past due bills/payments, and make sure your correct name and address are on it.
Making sure your credit report looks pretty good is the key to getting a student loan refinance, this will help you get lower interest rates, and you’re likely to get approved much quicker. The lower your interest rate on a student loan refinance, the better- this is because the lower your interest rate is, the smaller the actual amount you end up paying over the entire loan term. This can save you unbelievably large amount of money, so it’s definitely important to make sure your credit score is good as possible before trying to get a student loan refinance.
Make sure you got to reputable bank other financial institution to get your student loan refinance, although there are reputable lenders online. Before you agree to any terms of any loan agreement, make sure you’ve done your homework on the company- check with the Better Business Bureau, Consumer Reports, etc- the last thing you want is a shady lender costing you more money! Make sure you’ve compared rates, prices and terms with at least three or four different lenders before choosing on- this is your money and you want to make sure that it’s worth it to refinance your student loans after all! A small tidbit of information concerning private student loans versus federal student loans and consolidation: Usually federally-backed student loans and private student loans must be consolidated separately.
That being said, federal student loans are usually much easier to get consolidation and the interest rates on these types of student loan consolidations usually are much lower. This is because federal student loans are guaranteed by the government- which means if you can’t repay the money loaned, then the government will pay it back to the lender directly.
Private student loans
If you feel that student loan refinance would be the best options for you, then, talk to a reputable lender as soon as possible, so you can get the process started.
However, just as vehicle notes, mortgages, and other loans can be defaulted on- so can student loan refinance and consolidation. Regardless of whether you’ve done a student loan refinance and consolidation or not, not repaying your student loans will adversely affect your credit score, your financial health and possibly even future employment.
student loan refinance If you default on a student loan refinance (or any type of student loan!), the debt will most certainly be reported to one of the three credit reporting agencies, attempts will be made to collect the debt (up to and including wage garnishment, court judgments against you, tax refunds can be seized, etc.), and you will be unable to get any kind of student loans or student loan refinance until the debt has been paid or some other agreement has been reached with the original debtor.
If you’ve got more than one student loan or one student loan with extremely high interest rates and payments, and your monthly loan repayments are too high and breaking your budget then a student loan refinance could be the right option for you. Just make sure you are aware of all possible pitfalls when it comes to refinancing your student loan(s), and that you are realistic about what you can or can’t afford to do. And by all means, definitely make sure that you make your payments on time- timely payments will make a world of difference in the long-run, even more so than a student loan refinance will.
If you’ve got several loans out, a student loan refinance will actually consolidate your loans.
By refinancing student loans and consolidation your student debt, this will help you to get a single interest rate and you’ll only need to make one payment a month. Before you get too excited thought, it’s important to do your homework first! Make sure that you’ve got a decent credit score first- you can get copy of your credit report for free, there are several ways to do this, and you need only do a search on a search engine to find free credit reports online. Once you’ve got a copy of your credit report, make sure there aren’t any major outstanding debts, past due bills/payments, and make sure your correct name and address are on it.
Making sure your credit report looks pretty good is the key to getting a student loan refinance, this will help you get lower interest rates, and you’re likely to get approved much quicker. The lower your interest rate on a student loan refinance, the better- this is because the lower your interest rate is, the smaller the actual amount you end up paying over the entire loan term. This can save you unbelievably large amount of money, so it’s definitely important to make sure your credit score is good as possible before trying to get a student loan refinance.
Make sure you got to reputable bank other financial institution to get your student loan refinance, although there are reputable lenders online. Before you agree to any terms of any loan agreement, make sure you’ve done your homework on the company- check with the Better Business Bureau, Consumer Reports, etc- the last thing you want is a shady lender costing you more money! Make sure you’ve compared rates, prices and terms with at least three or four different lenders before choosing on- this is your money and you want to make sure that it’s worth it to refinance your student loans after all! A small tidbit of information concerning private student loans versus federal student loans and consolidation: Usually federally-backed student loans and private student loans must be consolidated separately.
That being said, federal student loans are usually much easier to get consolidation and the interest rates on these types of student loan consolidations usually are much lower. This is because federal student loans are guaranteed by the government- which means if you can’t repay the money loaned, then the government will pay it back to the lender directly.
Private student loans
If you feel that student loan refinance would be the best options for you, then, talk to a reputable lender as soon as possible, so you can get the process started.
However, just as vehicle notes, mortgages, and other loans can be defaulted on- so can student loan refinance and consolidation. Regardless of whether you’ve done a student loan refinance and consolidation or not, not repaying your student loans will adversely affect your credit score, your financial health and possibly even future employment.
student loan refinance If you default on a student loan refinance (or any type of student loan!), the debt will most certainly be reported to one of the three credit reporting agencies, attempts will be made to collect the debt (up to and including wage garnishment, court judgments against you, tax refunds can be seized, etc.), and you will be unable to get any kind of student loans or student loan refinance until the debt has been paid or some other agreement has been reached with the original debtor.
If you’ve got more than one student loan or one student loan with extremely high interest rates and payments, and your monthly loan repayments are too high and breaking your budget then a student loan refinance could be the right option for you. Just make sure you are aware of all possible pitfalls when it comes to refinancing your student loan(s), and that you are realistic about what you can or can’t afford to do. And by all means, definitely make sure that you make your payments on time- timely payments will make a world of difference in the long-run, even more so than a student loan refinance will.
