Mom owes Nelnet 7.5k with a 6.8% APR. Her credit score and history arw extremely good. Is it possible to take out a 7.5k loan at a bank/CU of sorts, pay the student loan off, and pay lower apr on her new loan? Thanks.
Theoretically yes, your mom may be able to get a personal loan for a lower rate then 6.8%, and she could use those funds to pay off the student loan. In practice? It's uncommon to see unsecured loans for a better rate than that. The other downside is that, if these are federal loans, she will be giving up benefits like deferment, forbearance and income-driven payment plans.
