Best school loan consolidation rates

[BigBadMunky]

Hey all,

I'm sure there are a fair number of us who have graduated from college but have plenty in school loans. Although low, the interest on these suckers surely is not a hot deal. However consolidating at a lower fixed can be and that's what this thread is for.

The best deal I can find is from: <a target=_blank class=ftalternatingbarlinklarge href="https://secure.educationalloancompany.com/consolidationloans.asp">https://secure.educationall......olidationloans.asp</a>

They state that all programs have the same initial rate, but its the benefits that matter such as rate reduction for auto-debit etc..

The federally set starting rates are: (http://www.studentloanconsolid...onsolidation/faq.shtml)
Stafford Loans in grace: 2.875%
Stafford Loans in repayment: 3.375%
Stafford Loans in repayment prior to 7/1/98: 4.25%
PLUS Loans: 4.25%
Perkins Loans: 5%
HEAL Loans: 4.125%

This company offers 1% off after 24 payments (most of the others seem to be 36)
and 0.5% for auto debit.
and another 0.6% for being in grace.

Let me and other graduates know if you find better companies to consolidate with or have reason not to go with a company like this.

Let the lowest interest rate win!


Edit - Link fix

 

[fallenangel99]

i consolidated my loans with Nelnet. 1% deduction after 24 straight payments, .5% if u use debit deduction. Most companies offer something like that... Never heard of the .6% grace deduction!

but the only catch i've found is that you cannot consolidate your private loans. i've been able to consolidate my federal loans and thats it.

private loans have higher interest rates (~5% for sallie mae and ~4.5% for key lend)

 

[alm4rr]

I went into school during mid 90s with average interest rates
were paid off before interest rates plummeted

now I will be going back to school next year

when interest rates go up!

My timing sucks.

 

[bjamm2]

Originally posted by: alm4rr
I went into school during mid 90s with average interest rates
were paid off before interest rates plummeted

now I will be going back to school next year

when interest rates go up!

My timing sucks.

or obviously there is a reason you're going back to school heh

 

[KrustyVT]

Iowa Student Loan

They offer a 0.75% interest rate deduction after the first (6) on-time payments, and a 0.25% deduction for using automatic electronic payments.

I consolidated with them last year and I am down to a rate of 2.125%.

EDIT: That 0.6% "in-grace" claim is bogus, as in it is nothing different than anyone else offers ... the interest rates themselves are ALWAYS lower if you consolidate while in your grace period vs. being in your "repayment" phase.

-=K=-

 

[Rumpltzer]

The mother of all Student Loan COnsolidation threads.

Enjoy!


Utah Higher Education Assistance Authority (UHEAA) Borrower Benefits Information
* 1.25% percentage point interest rate reduction when you repay your loan with automatic payment
* Variable timely payment benefits after 48 payments

 

[3point14]

Good info. I am getting screwed by my school with the way they handle loans. Maybe this will help with my Grad school debt. Thanks OP!