Does any AR nurses know of any student loan forgiveness programs available post-graduation, yet still in the grace period? I went to the arsbn site but only found info. avail. to current students. I took the advise of others and borrowed $ while I was in school and was told it would be "the cheapest $ I would ever borrow"......I about fainted when I received my repayment notice and saw how much my payments were going to be. I thought the loans were going to be based on the interest rate the loan was incurred, not the interest rate when repayment began. The interest rates where much lower when I took out these loans. I am continually receiving offers to consolidate my loans but am afraid they might be a scam. Any advise would be greatly appreciated!!!
Nov 30, '06
Be careful on loan consolidation companies. If your interest rate is not lowered to a FIXED rate by a minimum of a full 1%, then it's not worth it.
You have already paid for origination and school fees, commissions, etc, on the loans you already have...refinancing ANYTHING regardless of what it is always costs money (you have to pay origination fees all over again)...may make your monthly payments lower but RARELY save you money...the payments are just stretched out and in the end, actually cost you more money ie. debt consolidation loans that are so popular in the last few years.
This year was the first year that new student loans were issued at a fixed rate of interest for the life of the loan. That is a GOD-SEND to students. They used to be figured on prime plus whatever margin was included into the loan, so this fluctuated year after year, so in essence, what you had was an adjustable rate loan.
What you saw in your paperwork was the RATE change...the prime rate has increased dramatically in the last 2 years, and that is why you have seen the change. However, you probably have a varying interest rate loan (that fluctuates with prime), and if you do, you need to seriously consider consolidation, but ONLY if you can get a fixed rate.
Last edit by BSNtobe2009 on Nov 30, '06