I currently am still enrolled in college in a graduate program, but I have become eligible for some financial aid as I am now considered independent for the purposes of financial aid, so I can afford my tuition as an out of pocket expense (sub $1,000 a semester).
I was wondering if I should refinance the student loans that I had taken out through Sallie Mae. I currently have $20,000 in undergraduate loans financed at 5.5% and $5,000 in graduate loans financed at 8.8% (pretty high). Is there a reasonable way to refinance these at a solid rate without damaging my credit too much? I plan to still be applying for new credit cards throughout the next few years.
Thank you for your help!
Income sits at about $38,000 individual income. Hopefully that will be enough to get decent rates. Do you have any advice on how that might impact me since I'll be killing 4 credit lines in the loans and be consolidating into one?
Thanks for your response. I checked credible and could refinance all loans at around 4% together, but I'd have to start paying them right now I believe (I currently am on interest repayment since I am still a student). I could likely get a bit lower with asking my dad to co-sign, which he would gladly do.
I didn't know the installments stayed on the report for 10 years. That was my biggest fear, since my SLs are more or less the backbone of my credit at the moment.
They are all private loans fro Sallie Mae, so I'm getting railed on monthly interest repayment still, not benefitting from the frozen fed loans.