New Member
FIM16
Posts: 5
Registered: ‎08-10-2012
Re: What is the best way to pay off my Sallie Mae loan?

laz98 wrote:

Welcome to the forums!  :smileyhappy:

 

It's up to you.  Is it more important to you to have that money in savings, or to have your loan paid off?  Installment accounts are a very small portion of your overall credit score, so it's not going to make a drastic difference either way.  Personally, I would just keep making my small payments.

 

If you paid a big chunk, you would reduce the principal owed, not your interest rate.  It should not affect your interest rate at all.

 

I have yet to pay off any of my student loans, so I can't tell you what the most "hassle-free" way to pay one off would be :smileyhappy:


It's definitely more important for me to have the loan paid off, I only created the savings so that I can save up the full amount, while earning interest on it to help me out a little. I just don't get how sallie mae works since I've read so many different things in which people had a hard time with them particularily when they wanted to pay more than the minimum amount to decrease their principal and there was a complex process involved--I guess that's my real question..

 

Thanks for answering my other question and the addtional information: I didn't realize what it would do to my credit score but it's nice to know not much would happen :smileyhappy:.