Refinancing Graduate Student Loans
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How the New Federal Student Loan Forgiveness Plan Affects Refinancing Graduate Student Loans
Do You Have to Pay Undergraduate Loans in Graduate School?
How to Refinance Graduate School Loans
Review the requirements. Most lenders require strong credit and a stable source of income for graduate school loan refinancing. Before applying, request your credit report and check your credit score to see if it measures up. A good goal is 700. If you can’t qualify on your own, some lenders let you apply with a cosigner. Prequalify with multiple lenders. It’s a good idea to shop around for refinancing offers so you can find the best rate. Many lenders let you prequalify online with no impact on your credit score. Prequalification means the creditor has done at least a basic review of your creditworthiness to determine if you're likely to qualify for a loan or credit card. Choose your loan offer. As you’re reviewing your offers, consider what repayment terms would work best for your budget. You might use a student loan calculator to estimate your monthly and long-term costs. Submit an application. Once you’ve selected an offer, you’ll fill out and submit a full application and consent to a hard credit inquiry. You’ll likely need to provide supporting documentation, such as pay stubs and student loan statements. Start paying back your new loan. If you’re approved, your lender will pay off your old loan(s) and set you up on your new repayment plan. Don’t stop making payments on your old loans until you’re certain that the accounts have been closed.
Pros of Refinancing Graduate Student Loans
Lower your interest rate
Choose new payoff terms
Cons of Refinancing Graduate Student Loans
Lose access to federal repayment plans
Make your federal loans ineligible for forgiveness
Miss out on the emergency federal forbearance
Frequently Asked Questions
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