Is there a way to transfer consolidated school loans to another lender to get a better rate?
bwiley123 asked:
I have a large amount of school loans ($70k) that are consolidated at 4.25%. I hear now is a good time to get lower rates on your loans and am wondering if there is a way to transfer my consolidated loans to another lender with a lower rate. Any thoughts?
I have a large amount of school loans ($70k) that are consolidated at 4.25%. I hear now is a good time to get lower rates on your loans and am wondering if there is a way to transfer my consolidated loans to another lender with a lower rate. Any thoughts?
Tags: 70k, Consolidated School, Good Time
October 19th, 2009 at 7:21 pm
If you can find one better than 4.25%, go for it!
You’d go to a bank and borrow $70k using something (say, your house) as collateral, and use the proceeds to pay off the other loan.
However, I doubt you’re going to be able to get any rate anywhere near that good.
Student loans are very low interest generally. It doesn’t surprise me that even in today’s hideous interest market, your existing loan is still the best you’re going to get.
I’ve watched somebody try to get a fixed rate mortgage and they’re not doing any better than 5.5%.
October 22nd, 2009 at 1:28 am
You can only consolidate your loans once. 4.25 is pretty low though..
October 22nd, 2009 at 1:47 am
That’s pretty low already, and I don’t know if you can consolidate again, but here’s just another option to consider…
The company I represent,, lets you apply for a loan consolidation with 6 accredited lenders at the same time. You fill out one application, and the idea is that these banks will compete for your business so you’re more likely to end up with a lower rate. I don’t know if you’ll get offered anything lower than what you already have, but it could be worth checking out.
Good luck!