Law School Discussion

So who did everyone end up going with for their loans?

ElizaB

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So who did everyone end up going with for their loans?
« on: May 16, 2005, 03:48:57 PM »
I looked at some websites but they all looked pretty much the same.  I was wondering who everyone ended up going with?  Did you go with the same company for your Stafford and private loans?

Trel

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Re: So who did everyone end up going with for their loans?
« Reply #1 on: May 17, 2005, 09:52:27 AM »
Vandy recommends Access group but I may be going with THE...I'm looking at it now to see if the latter is going to be cheaper. 

Abevigoda

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Re: So who did everyone end up going with for their loans?
« Reply #2 on: May 17, 2005, 09:55:50 AM »
Should I be doing this stuff now?  I was going to wait until June, am I a retard?

Trel

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Re: So who did everyone end up going with for their loans?
« Reply #3 on: May 17, 2005, 10:25:24 AM »
The vandy letter says I should do it no later than June 1st, so I guess it varies by school, but I'd get started.

Trel

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Re: So who did everyone end up going with for their loans?
« Reply #4 on: May 17, 2005, 11:47:59 AM »
Thought I'd update this for anyone interested.  Some of this is specific to Vanderbilt, and will vary by school.  After comparing Access Group and THE loans, I'm going with THE even though Vandy recommends Access, and here's why:

Positives:
You get a credit immediately on entering repayment of 1.3% on stafford loans and 1% on private loans.  There's no need to make 48 consecutive payments.  You should take into account this number isn't guaranteed and can be changed at their discretion in the future, though customer service claims this is the historical number they've always offered.

More importantly...interest rates on private loans.  Access group offers 3 mo LIBOR + 2.55% for those with the best credit, or 3 mo LIBOR + 3.75% for "most" people.  THE offers 3 mo LIBOR + 1.75% for those with the highest credit, or 3 mo LIBOR + 2.75% for "most" people.  That's a big difference.

THE has no origination or guarantee fees.  Access has no origination fees, but a guarantee fee of up to 1%. 

Negatives:
Access group has a repayment period of 20 yrs on private loans, THE has one of 15 years.

Access group lets you borrow as much as necessary to complete your education, THE has a limit of $180,000

If you're applying for finaid, I'd definately go comparison shopping before going with the lender my school recommended.

Re: So who did everyone end up going with for their loans?
« Reply #5 on: May 17, 2005, 01:50:36 PM »
Which company does THE stand for?

Trel

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jimmyp

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Re: So who did everyone end up going with for their loans?
« Reply #7 on: May 18, 2005, 01:06:24 PM »
www.northstar.org

I don't really understand the stafford loan process yet.  Basically, I can call any bank, tell them I have been approved for a subsidized stafford loan, and they will offer me a rate that I have to pay when I get out?  Do only certain banks do this?  Where did you guys learn about this stuff?

Re: So who did everyone end up going with for their loans?
« Reply #8 on: May 18, 2005, 01:16:30 PM »
www.northstar.org

I don't really understand the stafford loan process yet.  Basically, I can call any bank, tell them I have been approved for a subsidized stafford loan, and they will offer me a rate that I have to pay when I get out?  Do only certain banks do this?  Where did you guys learn about this stuff?


Well stafford loans are government loans issued based upon your fafsa application and your COA (Cost of Attendance) less EFC (Estimated Family Contribution).  Most of the time a school will have a prefered lender who stafford loans are processed through, so you have to check with your school.  Call the Financial Aid Department.  They can give you complete description of all loans and what will be available to you. 

Where did I learn.  I have been taking out, both private and govermental loans since freshman year of Undergrad.  The only thing that I am now learning about and trying to process more is comparision shopping (interest rates, credits) I use to take what ever loan and just keep going.  Not this time around. 

Hegel

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Re: So who did everyone end up going with for their loans?
« Reply #9 on: May 18, 2005, 10:40:52 PM »
www.northstar.org

I don't really understand the stafford loan process yet.  Basically, I can call any bank, tell them I have been approved for a subsidized stafford loan, and they will offer me a rate that I have to pay when I get out?  Do only certain banks do this?  Where did you guys learn about this stuff?


Well stafford loans are government loans issued based upon your fafsa application and your COA (Cost of Attendance) less EFC (Estimated Family Contribution).  Most of the time a school will have a prefered lender who stafford loans are processed through, so you have to check with your school.  Call the Financial Aid Department.  They can give you complete description of all loans and what will be available to you. 

Where did I learn.  I have been taking out, both private and govermental loans since freshman year of Undergrad.  The only thing that I am now learning about and trying to process more is comparision shopping (interest rates, credits) I use to take what ever loan and just keep going.  Not this time around. 

One company might approve at the best rate while another might approve at a more unfavorable rate.  So, are you able to apply to multiple companies and compare the packages or is it a one shot deal once you pick a loan company?