Student Loan Consolidation- You're Screwed If You're Going to Wait!
If you're thinking about consolidating your student loans, you'd better get off your duff and get with it! Traditionally, there is a grace period so that as long as you've filed your paperwork before the deadline, you'll get the rate from the previous year. Pretty important if interest rates are rising, which, at this point, they are. Student loan interest rates adjust once every year. For the 2006 fiscal year (this year) it is at 4.7% for student currently attending school. This is set to increase to 6.8% for fiscal year 2007.
To illustrate how this can affect you, take a $45,000 example loan. Rather than enjoying the $300/month payment, you could find yourself paying almost $350/month!This year, because of the 2005 Budget Reconciliation Act, you may not get to enjoy the grace period. There is a strong chance that if you don't have the completed loan in hand by the deadline, it will just be too bad. You'll still get your loan, but you'll have to pay the increased interest interest rate from 2007. Bad news. So get off your ass and get down there man! This ain't no riddle, to me it makes good, good sense.
Please Subscribe to My Feed With Feeedburner
