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Author Topic: How do you consolidate private loans?  (Read 1044 times)

Shira

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How do you consolidate private loans?
« on: May 02, 2005, 06:08:33 PM »
I just found out my private loans are at 9% interest!!! They make up the bulk of my student loans because my parents look like they make money on paper. Now I have about $45K in private signature loans and I can't consolidate it with a federal consolidation loan!

so how do I consolidate it at all, and will it affect my credit rating for applying for loans in the fall?
3.4ish, mid-160's
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Re: How do you consolidate private loans?
« Reply #1 on: May 03, 2005, 12:25:18 PM »
If you're worried about the potential effects, you may want to apply for the new loans and the consolidation at the same time. I'm not sure of a lender that will assist you in consolidating private loans, but there's gotta be someone ouot there. It certainly won't be as easy as the Federal program though. Unfortunately most of us don't have access to the other consolidation sources (home equity is an example). And to make matters even worse, there's been talk of the Federal consolidation program being altered and/or eliminated, meaning you wouldn't be able to easily consolidate those either.

More bad news..you will almost certainly make sufficient income so as to disallow the student loan interest deduction (unless you pursue a public interest career). So not only will many of us incur a substantial sum in these loans, but we will not be getting any tax breaks as a result. Happy Tuesday.

linquest

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Re: How do you consolidate private loans?
« Reply #2 on: May 04, 2005, 12:02:46 PM »
I didn't think you could consolidate private loans at all.
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HippieLawChick

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Re: How do you consolidate private loans?
« Reply #3 on: May 06, 2005, 06:26:46 PM »
Maintain a really excellent credit score and you may be able to find some credit union who will consolidate these for a lower rate, but only after you have demonstrated ability to repay them (after you graduate).

It sucks!  I am sorry that this happened to you.  Perhaps you want to take a year and work to pay them off before LS?

Shira

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Re: How do you consolidate private loans?
« Reply #4 on: May 07, 2005, 01:23:32 PM »
Maintain a really excellent credit score and you may be able to find some credit union who will consolidate these for a lower rate, but only after you have demonstrated ability to repay them (after you graduate).

It sucks!  I am sorry that this happened to you.  Perhaps you want to take a year and work to pay them off before LS?

Nah. Already took a year off to work -- the whole "having any money left over to save or pay down student-loan debt after paying rent, bills, and credit card bills" idea makes me laugh and laugh and laugh... and cry.
3.4ish, mid-160's
Accepted: UCLA, Loyola (Los Angeles)
Rejected: USC (whatever!)

*YAY!!!!!!!!*

Are we there yet?

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Re: How do you consolidate private loans?
« Reply #5 on: May 12, 2005, 02:33:10 PM »
Apparently E-Loan offers private loan consolidation for prime +1% or something similar...you can check it out at www.eloan.com.

Shira

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Re: How do you consolidate private loans?
« Reply #6 on: May 12, 2005, 06:11:03 PM »
Apparently E-Loan offers private loan consolidation for prime +1% or something similar...you can check it out at www.eloan.com.

doh. I got all excited and then found out that they don't do in-school deferral. There goes that option. :-/ thanks though. I'll have to check it out when I graduate.
3.4ish, mid-160's
Accepted: UCLA, Loyola (Los Angeles)
Rejected: USC (whatever!)

*YAY!!!!!!!!*