Distill Your Student Loans
That’s why we accelerated our student loan payments AND refinanced our loans to take advantage of lower interest rates. They won’t be this low for much longer, especially given the recent rate hikes by the Fed.
Paying 5% or more on interest is the same as giving money away to banks or financial institutions.
We’ve distilled our loans by extracting out the excess interest payments and applying those savings to our principal.
While we’re more than happy to be saving money and building wealth by optimizing our cash flows, we’re just happy in general that these types of services are so readily available to the public.
None of this would have been possible without the free, easy to use services provided by LendEDU.
With their 3 minute questionnaire, we were able to find lower rates with multiple refinancing companies. All of this was FREE and without having ANY impact on our credit scores.
We trust LendEDU and are happy to announce we’ve partnered up with them to bring you more savings. I encourage you to find your rates via my exclusive link.
And yes, seriously, the questionnaire only takes 3 minutes to see what rates you qualify for.
For us, we know our $117k in student loans is quite a large mountain of debt, but at least we have people out there who can support us and provide us with better options.
Back in the day, finding ways to pay less in interest would have required hours of paperwork and multiple interviews. Today, we can find out if we’re qualified by answering 12 questions, all while avoiding the hassle of paperwork or credit inquires.
We were on the fence for refinancing for about 3 years. Here’s our list of Pros and Cons as we see it.
Pros to Student Loan Refinancing
Lower interest rate. As I mentioned above, if you are paying 5% or more on interest, then you’re paying too much money to the banks and financial institutions that hold your loans. Take those savings and let them work for you, instead of for someone else.
Changing the Payment Terms. This benefit can swing one of two ways. Either you want to increase the time you hold loans and therefore have a lower monthly payment. Or, if you’re like us, you want to shorten the lifespan of the loans.
Release a Cosigner. If financial independence is your goal, then standing on your own two feet is the first step. It can be scary to put all the pressure on your shoulders, but we view that as being an extra layer of motivation to sticking with our financial goals.
Change Providers. If you don’t like your provider, you can switch.
Cons to Student Loan Refinancing
Losing Your Federal Benefits. There are many benefits with federal loans, so be aware you will lose those benefits when you refinance. This is worth repeating as you will lose the ability to renegotiate the payment schedule or the ability to qualify for loan forgiveness.
Lower interest rate. I list this as a pro and a con because student loan interest can be a tax benefit. The interest amount can reduce your modified adjusted gross income (MAGI) on your tax return by up to $2,500.
Obviously, the final conclusion is we’re happy we refinanced and are thrilled to be promoting such a helpful app.
10 Questions to Find Your Rates
Once you complete the questionnaire, LendEDU will provide you with the next steps on refinancing with the most credible refinancing companies in the industry.
Use my exclusive link to get started or click on the image below:
Best of luck and I look forward to hearing about your loan distilling journey!