There are many myths about student loan refinancing. Some of these myths may appear to be in your favor, while others aren't. But in most cases, consolidation can greatly benefit you, and make your academic debt much more manageable.
The truth is that each situation is unique, but there are some facts that hold true in just about any situation, and with most consolidation companies. Be aware that not every situation, loan, or lender is the same. Whatever you believe about refinancing, make sure you know the facts before dismissing or applying for the option.
Myth: You cannot refinance one student loan.
Fact: Any loan can be refinanced, but not every loan should be. You want to check into refinancing your student loan if you can get a lower interest rate.
Myth: You cannot refinance student loans that are in default.
Fact: This is simply not true. Refinancing student loans that are in default is not only possible, but it is a great help in improving credit. The old loans are paid in full, and as long as you keep up on the new loan, you will quickly see a difference in your credit score.
Myth: Student loan refinancing will always save on interest.
Fact: Some student loan companies will give you a lower interest rate when you first consolidate, but that rate may not be fixed. In the end, you could wind up with a higher interest rate. However, you will still save money by not having multiple finance charges.
Myth: Bad credit will stop you from refinancing student loans.
Fact: Just as most student loans are made regardless of credit, so it is with refinancing. Your credit will only come into play when the company determines your interest rate. Even this may not be an issue, depending on the company.
Myth: You can only refinance student loans when you have finished school.
Fact: Student loan refinancing can be done at any time. Most companies that offer refinancing options will offer the same academic deferment that the original loans carried. You still won’t be making any payments until you graduate, but you will be saving money on finance charges and possibly interest in the meantime.
Myth: Once you have refinanced, you cannot do so again.
Fact: In most cases, the agreement you sign for your consolidation will not have any provisions excluding future consolidations. Student loan refinancing can be done while you are in school, and again when you graduate.
Friday, May 29, 2009
Subscribe to:
Post Comments (Atom)
Blog Archive
-
▼
2009
(278)
-
▼
May
(56)
- Schooling You Longing To Know About Student Loans
- Some Considerations About Personal Loans
- Looking at Student Loan Debt Consolidations
- Subsidized and Unsubsidized Stafford Student Loans
- How to Refinance Student Loans: 5 Tips
- Little Known Student Loan Interest Rate Facts
- How To Repay Back Your Student Loans
- You Should Get A Student Loans If You Really Need It
- The Truth About Student Loans
- Myths about Student Loan Refinancing Dispelled
- No Credit Check Student Loans Explained
- How Consolidation of Student Loans Works
- Why Go For Student Loan Consolidation
- Student Loan Consolidation and Solve your Student ...
- How to Find Low Interest Student Loans
- Worried About Student Loans, Bad Credit Causing Pr...
- Personal Finance. Credit Agencies Refused Access T...
- Personal Finance. Student Loans Debts Do Not Go On...
- Student Loans And The Price Of An Education
- Student Loans And The Price Of An Education
- How Student Loans Work
- Student Loans – A Simple Guide
- Consolidate Private Student Loans - 4 Benefits You...
- Lead A Debt Free Student Life, Obtain Debt Consoli...
- Repayment to Begin on Student Loans; NextStudent o...
- Loans For Every Occasion: Home Loans, Payday Loans...
- NextStudent Offers PLUS Loans for Graduate and Pro...
- Plan a Bright Future ahead with International Stud...
- What Happens When You Default on your Student Loans?
- Refinance Your Student Loans
- How To Handle Student Loans Appropriatly
- Student Loans Consolidation Must Known Secrets
- What Are Plus Student Loans?
- How Consolidation of Student Loans Works
- No Credit Check Student Loans Explained
- UK Financials Ltd introduce Student Debt Consolida...
- College Student Loans - An Overall Guide
- Student Loans For Bad Credit Scores
- Financing Your Education: Your Future Is In Your H...
- What You Should Know About Student Loans
- Understanding Federal Student Loans
- Student Loan Consolidation Centers Should Have Com...
- Student Loan Consolidation Centers Should Have Com...
- Student Loan Consolidation: Make your Student Loan...
- Cheap College Loans: for a Stress-free Student Life
- Is Student Loan Consolidation on Private Loans Rea...
- Student Loan Consolidation Can Help
- All About Federal Student Loan Consolidation and I...
- Student Loans Come in a Variety of Types and Payme...
- Student Loans: Cut Monthly Payments on your Studen...
- How To Get A Bad Credit Student Loan or Student Lo...
- Student Loan Consolidation Info For Students
- Cheap College Loans: for an Uninterrupted Education
- Need A Student Loan? Three Kinds Of Student Loan F...
- Can’t Afford College Education? Applying for a Stu...
- Pursue Education With College Loan
-
▼
May
(56)
No comments:
Post a Comment