Student Loans

I was just wondering when you guys graduated.. if you consolidated you loans? Is it a good deal?

I do not have any loans, but my wifetobe does, and I just want to make sure we get off on the right foot.. thanks!

It is not a bad idea, it will lock you into a fixed rate. Most of the government organized ones are variable and it doesn't look like interest rates are going down so . . .

I consolidated mine when I got out of school. It worked out very well for me. The best thing is its only one check a month instead of several!

I consolidated as well. It's definitely the way to go: you get a lower rate over a longer period, but you still have the option to pay more every month if you want to.

I consolidated at 3.5 % or whatever it was. Definitely do it.

How much do you guys owe? I managed to get away with only $6000 in loans, been out of school for 4 months and down to $5400. Still sucks though, probably could have made it without the loan, but man, it helped.

Im down to 6500 as well......

I only pay 72 bucks a month so its going to be a while more

Yeah, def. consolidate, especially if you have DoE loans. I had a bunch of DoE loans, and not only did consolidation get me a lower, fixed rate, it also made me feel better because I wasn't giving any more of my hard-earned money to the government. They already take way too much every 1st and 15th.

I graduated in spring 2003, perfect time for low interest rates. Consolidated at 2.875% fixed, with my autopay sign up that's down to 2.625%. Definately saving me lots of money and most importantly it is fixed.

Consolidation is a good idea to get the fixed rate, but it depends on the rate. I heard they are much higher now than a few years ago. It also seem like the rates get lower the closer we get to an election, so it migh be worth waiting a year. My $.02.

uwmgdman said:

I graduated in spring 2003, perfect time for low interest rates. Consolidated at 2.875% fixed, with my autopay sign up that's down to 2.625%. Definately saving me lots of money and most importantly it is fixed.

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I hope you are paying more than the required monthly amount. If not then you are giving away your money by paying those extra interest charges.

I put $75k down on my house and managed to pay it off in 2 years 2 months. Last check I wrote was for $48K.

I happened to grad-e-ate the month before the rates went up for the first time in a while. They were at all-time lows in 2005 and I graduated in late June. On July 1 they were rising a few percentage points. I got it consolidated at about 2.8% and then it it gets lower if you use direct deposit and even lower after you make your first x amount of payments in a row (cant remember the exact number).

Definately good to consolidate.

homebrewer_99: did you hit the lottery or sumthin?

SOB said:

...homebrewer_99: did you hit the lottery or sumthin?

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HAHA! Nah. The trick to saving is to NEVER live outside your means. Another is brown bag your lunches. Of course, I don't always follow that rule, actually, for several years I used to eat out every day and go drinking, etc. I still managed to save money at the end of the paycheck though.

Anywho, I had enough cash on-hand to pay off the house when I purchased it. It was just hard to let go of...

I was paying double payments to keep the interest paid in as low as possible. Once I had enough (more $$$) saved up to where I felt comfortable again I wrote another large check...debt-free!! I even paid cash for my last 2 cars.

well, we owe 22,000, but luckily we are going to have it payed off in a year and a half if every thing works out like we planned.. the fixed rate is something like 7%... should be great motivation to get rid of this thing...

anyone ever listen to Dave Ramsey?

The only plus of the student loans is that the intrest is tax deductable! After I paid off all my loans, I had to start paying in, because I have no deductions. Taxes SUCK!!!

damn, i owe almost $40,000 for an mfa in painting (with loans too for aa and ba degrees). what am i gonna do with that degree? i teach one course a semester at the local community college right now. just a foot in the door and experience until i can get a tenured postion making $50,000 a year in 5 years.

but yeah i consolidated, locked in the interest rate at like 2.5% forever. good deal. and i still pay more than the minimum monthly payment to get it down quicker.

i agree with not spending more than you have, but sometimes you have to invest in the future. had i not gone to grad school, i would have been a sad high school teacher forever. but even though i owe lots of money after grad school, i can have a much more rewarding career that i love in the future. it's all give and take. i drive a 24 year old car to save money to pay back my school loans (cheap insurance, taxes, and gas). soo worth it. i'll pay whatever it takes to reach my dreams. like they say, you can't take it with you (when you die). as long as i am doing what i love, i don't care what it costs. my happiness is far more valuable than monthly statements. if it takes 40 years to pay back my student loans, i'll be happy to be border line impoverished as long as i am happy in life!

barrett

I'm not paying anything extra right now. I am buying a house at the end of the summer when my lease is up so right now I need money for down payment. Plus the 2.6% or so interest rate is nuthin! I think I pay just under $200 a month for the next X number of years to pay off $20,000.

Debt is a way of life here in America! I love it!

SOB said:

Debt is a way of life here in America! I love it!

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You mean "THE" way of life...

So call me unpatriotic...I won't even buy a bond. Most people don't know it, but part of our National Debt is the interest we owe ourselves from those bonds.

So help your country out of debt by stop buying bonds!!

Change it around. We were prosperous before. We can do it again. Get out of debt and live the American Dream instead of worrying about the nightmare.