Student Loan Consolidation Savings
How much can student loan consolidation really save you? Is it really true that SBS can lower your interest rate to
as low as 5.375%? Is it really worth the effort to consolidate?
These and many other loan refinancing questions can be answered by just looking at the numbers in several different ways:
Consolidation lets you
keep more cash each month!
At today's rates, see for yourself how consolidation can reduce your monthly payment by over 42%:
MONTHLY PAYMENT REDUCTIONS WITH SBS CONSOLIDATION |
||||
|
Loan Amount
|
$40,000 | $50,000 | $75,000 | $100,000 |
| Estimated Current Payment | $467 | $584 | $876 | $1,168 |
| Estimated New Payment | $271 | $339 | $508 | $678 |
| Extra Cash Each Month | $196 | $245 | $368 | $490 |
Estimated current payments are based on a 7.14% interest rate for a standard 10-year term. Estimated new payments are based on a 6.625% fixed interest rate and a standard repayment plan for the maximum term. Your actual rate and payments may vary.
Is a 5.375%
Interest Rate Realistic? Yes!
With all the interest rates floating out there, it may be difficult to believe that consolidation loan rates can be as low as they are. However, prove it to yourself that it's true, especially if you take advantage of all of SBS's interest rate reduction programs:
RATE REDUCTION SAMPLE |
|
| Current Loan rate** | 7.14% |
| .6% rate reduction earned for grace period application | -.60% |
| New rate for qualified grace period loans | 6.54% |
| Rate rounded up to nearest 1/8th percent weighted average* | 6.625% |
| .25% rate reduction for direct debit payments | -.25% |
| 1.00% rate reduction earned after 36 on-time payments | -1.00% |
| Net new interest rate | 5.375% |
All it takes for you to start earning these low interest rates is to contact Student Benefit Services now!
* Your new interest rate will be calculated according to the weighted average of the interest rates on all of the the loans you choose to consolidate, rounded up to the nearest 1/8th of one percent or 8.25%, whichever is less.
** This rate reflects the current loan rate for Stafford loans disbursed after July 2006. Your own rate may vary based upon when your loans were issued.
WHAT CAN YOU DO WITH THE EXTRA CASH FROM CONSOLIDATION ?
Pay off your education loans early when you make the same monthly payments as you did prior to consolidation.
Pay off your other debts, especially those with higher interest rates. Financial experts agree that paying off your higher interest debt, such as credit cards or mortgage, is a smart money move. The monthly cash turned up through consolidation lets you do that, for added peace of mind.
Invest in your business or practice.
Put the money you'd normally pay towards interest costs into improving yourself professionally and financially. Give yourself and your family a better way of life. Bonus Savings Calculator