Benefit of consolidating student loans
LOAN CANCELLATION DEFERMENT, PRINCIPAL But if you do decide to consolidate your loans, CONSOLIDATED LOAN PAYMENT it's good to keep in mind that you always have the option ADDITIONAL PAYMENTS of paying more than your monthly payment which can save you money over time, while still having the flexibility of not THE FULL AMOUNT ON STANDARD 10-YEAR PAYMENTS having to make the higher monthly payments that you would have on a standard ten-year plan. BILL, PAST DUE, TOTAL AMOUNT DUE If you're struggling to make payments on your original loans, you might consider repayment options PAYCHECK other than loan consolidation, like an income-based repayment plan.
INCOME-BASED REPAYMENT Or if you run into a financial hardship and need short-term relief, you might consider deferment or forbearance.
,000, ORIGINAL PRINCIPAL Now let’s say you want to consolidate these loans.
Under your new loan terms, your loans will be consolidated into one fifty thousand dollar loan— ,000 FEDERAL LOANS and you’ll have one new fixed interest rate, 15000 X 3.5, 20000 X 4.0, 15000 X 5.0 which is determined by taking the weighted average of the interest rates on your previous loans, and rounding up to the nearest 207500 ÷ 50000 one eighth of one percent.
BANK Entering these numbers into the loan calculator LOAN CALCULATOR, YOUR LOANS SUBSIDIZED LOAN, UNSUBSIDIZED LOANS at gov— CALCULATE, 0/MO on a standard ten-year repayment plan, you’re going to be paying a little over five hundred dollars a month.
STANDARD 10-YEAR REPAYMENT PLAN 5/MO, 0/MO, 5/MO 0/MO Over ten years, you’ll pay about eleven thousand dollars ,000 INTEREST in interest on your original principal of fifty thousand dollars.
CONSULT WITH YOUR OWN FINANCIAL PROFESSIONAL WHEN MAKING DECISIONS REGARDING YOUR FINANCIAL OR INVESTMENT MANAGEMENT. "/The material provided on this website is for informational use only and is not intended for financial, tax or investment advice.
,250 TOTAL, ,250 MORE ,000 TOTAL You’ll also have new loan terms.