- Metajo Cum Dumpster
- Mar 20, 2005
-
|
I've run out of money for tuition/living expenses (my $3500 stafford is eaten up by tuition) and need to get my parents to do the PLUS Loan route for one semester or so, which of the following options is the best? I know very little about this besides the basics. All this loan stuff is too confusing for me and I don't want to pick an option that will rape me in the future. Help! 
Quote header is Lender/Servicer.
BankofAmerica/SallieMae posted:
# Payments can be deferred for a maximum of 48 months while student is enrolled at least half time.
# Principal reduction up to 3% as follows:
# 12 on time, consecutive payments in months 1-12 = 1% principal reduction
# 12 on time, consecutive payments in months 13-24 = additional 1% principal reduction
# 12 on time, consecutive payments in months 25-36 = additional 1% principal reduction
# On time is defined as up to 15 days late. Missing one payment does not disqualify other benefit periods.
# 0.25% interest rate reduction with auto debit.
Citibank/Citibank posted:
# .50% interest rate reduction with automatic debit (E-Z Pay)
# 50% principal reduction at start of repayment;
# Forbearance up to 4 years is available;
# In addition Citibank will pay the last six (6) months on time payments .
(Local Credit Union)/SallieMae posted:
# Credit Union Membership required
# Must enroll in Manage Your Loans at https://www.salliemae.com
Edamerica/EdfinancialServices posted:
# Save up to 16% of total loan cost through an immediate 1% interest rate reduction for all borrowers. This interest rate reduction is maintained during periods of deferment or forbearance.
# 0.25% interest rate reduction with auto debit.
# Payments are considered on time up to the 14th day past "due date".
# Postpone payments or make interest-only payments for up to 48 months while the student is enrolled in school at least half-time.
# Life-of-loan servicing. Your loans will not be sold.
# Chat with loan specialist online with Edlive.
NationalEducation/EdfinancialServices posted:
SAVE OVER 12% with National Education's Parent and Graduate PLUS Loans. We automatically REBATE 1% of the loan to you at repayment.
With National Education, your PLUS loan interest rate will be 6.25% when you take advantage of our great repayments benefits;
* 1% interest rate reduction after making your first 24 scheduled paymentson-time, increasing to a
* 2% interest rate reduction after making your first 48 scheduled payments on-time;
* 0.25% interest rate reduction for automatic withdrawal.
NOTE: Auto debit is NOT a requirement to receive other interest rate benefits.
SunTrust/ACS posted:
# 2% Principal Reduction of the original loan amount after the borrower makes their first payment.
# 1/4% Interest Rate Reduction when monthly loan payments are automatically drafted from a personal bank account.
# 1% Principal Reduction of the original loan amount by making the first 24 monthly loan payments on time and for the full amount.
# 1% Principal Reduction of the original loan amount by making the first 48 monthly loan payments on time and for the full amount.
# Parents can delay repayment through our Pay Now, Pay Later� option while student is enrolled in school at least half-time.
# No pre-payment penalties
# Consolidation options available
Wachovia/ACS posted:
Save 7.25% with Wachovia off your original loan amount with Triple Payback awards , when applying rebates to your principal balance.
Immediate 1% at repayment, 1% after first 12 payments, and an extra 1.5 % after the first 24 payments.
Payments must be made on time using auto debit.
Borrowers may also elect to receive the 3.5% rebate by check. Parents may defer all payments for up to four years with our forbearance options.
Sorry for such a long post.
|
#
¿
Dec 29, 2006 15:26
|
|
- Adbot
-
ADBOT LOVES YOU
|
|
|
#
¿
Apr 28, 2024 17:55
|
|
- Metajo Cum Dumpster
- Mar 20, 2005
-
|
Wiggy Marie posted:
Punch McRockGroin
Citibank - You can use a forbearance to pause the payments for up to 4 years. Remember that accruing interest!!!
Once you are in repayment, we will take down your principal by 50% (are you sure about that number? drat!)
1000 = 500
If you use autodebit, your interest rate will be 8%. We will pay the final 6 payments on your loan.
I would call Citibank to double-check on that principal rebate number, but hey, if it�s real...
Edamerica - You can use a forbearance to pause the payments for up to 4 years. Remember that accruing interest!!!
Your interest rate will be immediately reduced by 1%, which leaves you at 7.5% from the disbursement of your loans (remember, they accrue interest from the very first day). Once you are in repayment, we will reduce this by an additional .25% for using autodebit. Keep your payments on time the entire life of the loan, and you will stay at 7.25%. (Don�t believe that 14 day grace period, trust me. It�s gotta be on time or nothing.)
We will never sell your loans. This may not seem that important, but it�s actually pretty neat. It means you�ll always be dealing with the same people, same company, and will never have your principal balance change because your loan has changed hands. This situation happens a LOT with Wachovia. Don�t use Wachovia.
drat, this helps a lot. Thanks a ton! Based on your description of the benefits I think I'll have to go with one of these two.
I double checked the page I copied the text from to make sure that number was copied correctly, and it was. Then I went to the https://www.studentloan.com website it mentioned and it said this instead.
quote: * 8.50% fixed interest rate
* 0.75% automatic interest rate reduction as a graduation present
* 0.50% rate reduction for E-Z Pay auto-debit payments
* ZERO payments your last six months
* Borrow up to the full cost of education, less any financial aid received
* Flexible repayment options
o Extended repayment plans of up to 25 years are available for Stafford and PLUS loans with accumulated loans balances in excess of $30,000
I also noticed this though...
quote:Repayment Terms:
First payment will be due within 60 days after the loan is fully disbursed.
Standard repayment terms allow up to 10 years to repay a Federal PLUS Loan, in addition to any periods of deferment or forbearance.
With regards to the Edamerica one, does that interest rate reduction happen immediately even while in deferrment?
Thanks again, you've been a big help.
|
|
#
¿
Dec 30, 2006 09:17
|
|
- Metajo Cum Dumpster
- Mar 20, 2005
-
|
Wiggy Marie posted:
And Punch, Citibank is talking about the *other* deferments and forbearances available on student loans. These are standard, and will come with any lender, because this is a federal program. What differs are the incentives and the specific forbearance based on you, the student's, enrollment. Citibank doesn't have that, it seems. When you call them, ask to be sure.
The interest rate reduction with Edamerica is immediate upon disbursement. Remember to keep it on time; I can tell you right now that they won't reinstate it on the account unless it's their error.
Awesome, thanks again!
Got another question for you, but I don't know if it's in your field.
I know that you/your parents can't put down credit card debt on the FAFSA papers, but what about consolidated debt that includes credit card debt, would that count? It would be nice to get some better loan offers if they see how in debt my family really is.
|
|
#
¿
Dec 30, 2006 16:49
|
|
- Metajo Cum Dumpster
- Mar 20, 2005
-
|
I'm in grad school and the school pays my tuition + a stipend for TA'ing.
Is there any way to get subsidized loans if I still make less than a certain amount?
I really just want to borrow enough sub'd loans to pay off my undergraduate unsubbed loans.
|
|
#
¿
Jan 20, 2012 04:12
|
|
#
¿
Dec 29, 2006 15:26
