AES (MyRichUncle) - Modifying student loan to extend term?

[Anonymous]

Has anyone with AES has any luck requesting a modification of their loan term?

I am trying to get them to extend from 15 years to 30 years.

 It would be nice to get a little more breathing room right now, and I will be putting in extra payments as my salary increases so I think it can be a OK financial move.

[Anonymous]

When I graduated school I was horrified at the proposed monthly payments that were scheduled with my terms. I have about $50,000 in loans, but I locked in my interest rate at one of the lowest in history (2.48%), so I extended the terms to 30 years. It is good debt to have from what I have learned. It's essentially a mortgage with a very low rate.

Anywho, I did this with AES, and it was very easy to do. This was a few years back, but I think it should still be fine because it ultimately increases their bottom line big time.  

[Anonymous]

Interesting, glad to hear that this was once a possibility.

How did you "lock in" your rate?

My loan is a private loan that is variable, pegged to an index (can't remember if it is prime or libor). My rates are very low now but I would jump at the oppertunity to lock them in and make them fixed, even if it was at a higher rate that I am currently paying at thanks to the bad economy.

I see a interest rate crap shoot in the near future thanks to all of the current fiscal and economic policy in the US. Hellllloooooooo stagflation, it has been a while, nice to see you old friend.

[Anonymous]

I think locking in is a result of consolidation. When I graduated I had something like 12 or 14 different loans. I called AES to consolidate and that's the rate I got. I think the rate is tied to when you first took out loans, but I'm not quite sure. There is no harm in calling them to get the answers. 

I too think rates are about to skyrocket due to the extraordinarily huge increase in the supply of money that the current presidential administration is pushing, without a match in demand and high unemployment. When the economy and housing markets start to recover I expect our money to be worth a lot less. That's why I'm currently buying a home (amongst many other reasons). The more long term investments you can lock into, the better in my estimation. If you lock into your student loan rate now your low payment will look REALLY low if/when the price of everything goes up.  

[Anonymous]

I just called them. Unfortunately they don't offer a modification of loan term because my disburment date was in 2006. I guess newer loans qualify.

They don't consolidate private loans, so no option there.

Lovely credit climate we are in.