Hello,
During the course of her undergraduate career, my wife borrowed close to $60,000 (including capitalized interest) in private loans from Sallie Mae. When the loans started coming due about 1.5 years ago, we set up an extended repayment plan; thanks to the low federal interest rate, the payment hasn't been too bad (about $430 / month).
I'm aware, however, that the Fed is considering an interest rake hike within the next several months, and that the general economic forecast for the near-/mid-term suggests higher rates as the economy pulls itself out of recession.
Thus, I'm wondering if it would be sensible for my wife to apply for consolidation? Would we likely save on our monthly payment if she consolidated her loans? Could she "lock in" a lower interest rate now - before the Fed raises rates?
I've read that many loan vendors are no longer offering consolidations for private loans. Are there any reputable banks that still do this?
Any suggestions?
