The Money Coach
  • About
    • Meet Lynnette
    • Media Kit
  • Contact
  • Subscribe
  • QR Code
  • Books
  • Categories
  • Coaching
  • Hire Lynnette
  • Money Coach University™
  • The Money Coach Recommends™
No Result
View All Result
The Money Coach
  • About
    • Meet Lynnette
    • Media Kit
  • Contact
  • Subscribe
  • QR Code
No Result
View All Result
The Money Coach
No Result
View All Result

How to Negotiate Your Student Loan Payment

Lynnette Khalfani-Cox, The Money Coach by Lynnette Khalfani-Cox, The Money Coach
in Student Loans
Reading Time: 2 mins read
8
SHARES
126
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn

By Lynnette Khalfani-Cox, The Money Coach

Did you know that you could negotiate loan rates and terms on any new federal student loans? To learn more, read below for my Tip #6 in a series of “Seven Smart Ways to Pay Off Student Loans Fast.” Read also Tip #1, Tip #2, Tip #3, Tip #4, and Tip #5.

Tip #6: If you’re willing to negotiate and ask for more favorable rates and loan terms than you’re first offered, you can find many lenders that will agree to charge a lower rate than the federal maximum interest rate.

Every July 1st Congress adjusts the interest rate caps charged on federal student loans. However, contrary to popular belief, Congress doesn’t “set” the rates for federal student loans. Instead, the feds impose a “maximum” interest rate that lenders can charge, then lenders set their own rates based on what the market will bear.

Interest rates are currently being reduced for federally subsidized Stafford loans. (With subsidized loans, the government pays the interest on the loans while the student is in school). As of this writing, the interest rates on new subsidized Stafford loans are:

  • 6.0% for loans first disbursed July 1, 2008 to July 1, 2009
  • 5.6% for loans first disbursed July 1, 2009 to July 1, 2010
  • 4.5% for loans first disbursed July 1, 2010 to July 1, 2011
  • 3.4% for loans first disbursed July 1, 2011 to July 1, 2012

Bonus Tip: Ask a lender for lower interest rates based on:

  1. having payments automatically deducted from your checking or savings account,
  2. making a set number of ‘on time’ payments (24 to 48 months of on time payments often qualifies you for a rate cut, and a few lenders will give you a break even sooner), or
  3. earning good grades, or qualifying for any other incentive programs a lender offers

Tip #7: Consolidate

Previous Post

Pay Off Student Loans Fast: Volunteer, Teach, or Serve the Sick

Next Post

Pay Off Student Loans Fast: Consolidate Them

Related Posts

Adult Student Loans

Simple Reasons To Pay Your Adult Child’s Student Loans

by Lynnette Khalfani-Cox, The Money Coach

If you’re considering paying your adult child’s student loans here are 10 scenarios to consider saying YES, NO or MAYBE to repaying that college debt. 

Question About For-Profit Colleges and Student Loan Forgiveness

by Lynnette Khalfani-Cox, The Money Coach

After I posted 15 answers to Biden’s student loan forgiveness plan,  I received a lot of questions on my social media accounts about student loan forgiveness. I received the following question about the plan's impact on certain for-profit colleges.

Student Loan Forgiveness

Student Loan Forgiveness: The Biden Plan Explained

by Lynnette Khalfani-Cox, The Money Coach

Here's what is known so far about the new student loan cancellation program, how you can get student loan forgiveness, the surprising ways that past and future generations of college students will benefit, and what’s NOT included in the Biden plan.

CARES Act: Student Loan Relief

Get Your Employer to Pay $5,250 of Your Student Loans in 2020: FAQs About the CARES Act

by Lynnette Khalfani-Cox, The Money Coach

I recently posted a student loan tip on social media that went crazy viral! It racked up tons of traditional media coverage, plus many thousands of likes and shares (not to mention comments and questions!) across Twitter, Facebook and Instagram -- far more than any other single post I've shared....

COVID-19 Private Student Loans

COVID-19: Getting Relief From Your Private Student Loans – VIDEO

by Lynnette Khalfani-Cox, The Money Coach

In this video Lynnette shares good news for people who need help paying their private student loans during the COVID-19 pandemic.

Economic Relief Bill

COVID 19: A Good News Surprise in the Coronavirus Economic Relief Bill – VIDEO

by Lynnette Khalfani-Cox, The Money Coach

In this video Lynnette dives deep into the CARES Act and shares a pleasant surprise in the economic relief bill.

student loan relief covid-19

Are You Eligible for Student Loan Relief Under The CARES Act?

by Lynnette Khalfani-Cox, The Money Coach

The CARES Act, which includes a provision that decreases student loan interest to zero-percent, and allows individuals to suspend payments without penalty until September 30, 2020. 

Load More

Popular Posts

  • Car repair

    What to Do If You Can’t Afford a Car Repair Bill

    1376 shares
    Share 550 Tweet 344
  • What to Do if Your Spouse Stole Money From You

    1165 shares
    Share 466 Tweet 291
  • What to Do If You Can’t Afford to Leave Your Spouse

    1102 shares
    Share 441 Tweet 276
  • Here’s Why I Pay My Kids For Good Grades (And Maybe You Should Too)

    1008 shares
    Share 403 Tweet 252
  • What Do All Those Strange Codes In My Credit Report Mean?

    813 shares
    Share 325 Tweet 203
  • Do This Now If Your Wages Were Not Reported

    743 shares
    Share 297 Tweet 186
  • How to Find Out if a Debt Collector is Licensed to Collect Your Debt

    722 shares
    Share 289 Tweet 181

All information on this blog is for educational purposes only. Lynnette Khalfani-Cox, The Money Coach, is not a certified financial planner, registered investment adviser, or attorney. If you need specialty financial, investment or legal advice, please consult the appropriate professional. Advertising Disclosure: This site may accept advertising, affiliate payments or other forms of compensation from companies mentioned in articles. This compensation may impact how and where products and companies appear on this site. AskTheMoneyCoach™ and Lynnette Khalfani-Cox, The Money Coach® are trademarks of TheMoneyCoach.net, LLC.

©2009-2023 TheMoneyCoach.net, LLC. All Rights Reserved.

RSS / Sitemap /Submit an Article / Privacy Policy / LynnetteKhalfaniCox.com

No Result
View All Result
  • Books
  • Categories
  • Contact Lynnette
  • Get Coaching
  • Hire Lynnette
  • Money Coach University™
  • The Money Coach Recommends™
  • Home
  • Subscribe to Newsletter
  • QR Code

©2009-2021 TheMoneyCoach.net, LLC. All Rights Reserved.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist