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Dec 11, 2008
The International Student Loan Cente
Each year over 200,000 Americans study abroad and nearly 600,000 international students come to the USA to study. However, studying abroad often requires financial assistance for extra expenses such as travel, accommodations and materials, which can make it a greater financial commitment. InternationalStudentLoan.com is here to help, by offering a range of international student loans and study abroad loans to international students and Canadian students in the USA and for US Students studying around the world.Why get an International Student Loan?
For the most part, students struggle to fund their international education. Scholarships and grants are always available, but if you are one of the lucky ones to receive one it will still not cover all your expenses. That is where an International Student Loan will help you. Our lender partners offer n o application fees or other out-of-pocket fees and preliminary approval in as little as 15 minutes. Normally, funding is very quick, but currently processing and funding times have slowed down.
Interest rates have gone up substantially! We are also experiencing processing and funding delays due to the turmoil in the student loan marketplace. Borrow as little as you can -- make sure you exhaust all other avenues for funding first. Use scholarships, personal and family funds, and any other money you can first. Read more about the Credit Crunch and how it impacts international students.
Please take the time to visit and learn more about our international student loans, canadian student loans and us student loans. We also have a dedicated customer support center to help students with your loan application and research - please contact us with any questions.
Does Consolidation hurt my credit?
NO. How bout that? You just read the world’s shortest blog. I may be a man of few words, actually just one word, but my words are even more powerful than the semi-popular teenage alien superhero duo of Zan & Jayna. That’s right, the Wonder Twins! Actually, by boasting about my one word blog I have now far exceeded that loneliest number, darn!
Consolidation is merely shifting your loans from piles A, B, and C and condensing them into pile D. That doesn’t hurt your credit at all, in fact in many cases it helps because your monthly payment is a lot lower after consolidation and your credit report will reflects a Paid status next to each loan involved in the consolidation which adds points to your FICO score.
Now if you were to do a debt settlement where a third party was involved in negotiating your amount of debt down, than that could impact your credit negatively. Instead of a Paid status it would carry a Settled or Settled for Less than Full Balance status.
Consolidation is merely shifting your loans from piles A, B, and C and condensing them into pile D. That doesn’t hurt your credit at all, in fact in many cases it helps because your monthly payment is a lot lower after consolidation and your credit report will reflects a Paid status next to each loan involved in the consolidation which adds points to your FICO score.
Now if you were to do a debt settlement where a third party was involved in negotiating your amount of debt down, than that could impact your credit negatively. Instead of a Paid status it would carry a Settled or Settled for Less than Full Balance status.
Federal Consolidation Interest Rate
Federal Consolidation interest rates are based on the weighted average of student loan interest rates. Federal Stafford loans disbursed between July 1, 2006 and June 30, 2008 have an interest rate of 6.8%*. Stafford loans disbursed after July 1, 2008 have a rate of 6.0%.
However, Federal student loans disbursed before July 1, 2006 will remain variable interest rate loans unless consolidated. These loans will re-adjust every July 1 based on the results of the 91-day Treasury Bill. The rates listed below go into effect on July 1, 2008 for variable rate loans:
3.60% - Stafford loans in grace (down from 6.62%)
4.21% - Stafford loans in repayment (down from 7.22%)
5.01% - Parent PLUS loans (down from 8.02%)
However, Federal student loans disbursed before July 1, 2006 will remain variable interest rate loans unless consolidated. These loans will re-adjust every July 1 based on the results of the 91-day Treasury Bill. The rates listed below go into effect on July 1, 2008 for variable rate loans:
3.60% - Stafford loans in grace (down from 6.62%)
4.21% - Stafford loans in repayment (down from 7.22%)
5.01% - Parent PLUS loans (down from 8.02%)
Private Student Loan Consolidation Rates
Interest Rate As Low As 7.9%
Private student loan consolidation offers borrowers the benefit of a first year introductory interest rate equal to 3-Month LIBOR (London Interbank Offered Rate) plus 5% to 8.5%.
Origination fees range between 1% and 5% depending upon your individual credit or the credit of a co-signer. Fees are due at loan closing and are capitalized (added to the loan), which increases the amount borrowed but avoids any out-of-pocket expenses at loan closing.
Private student loan consolidation offers borrowers the benefit of a first year introductory interest rate equal to 3-Month LIBOR (London Interbank Offered Rate) plus 5% to 8.5%.
Origination fees range between 1% and 5% depending upon your individual credit or the credit of a co-signer. Fees are due at loan closing and are capitalized (added to the loan), which increases the amount borrowed but avoids any out-of-pocket expenses at loan closing.
Debt Service
The past year has brought many changes to personal finance, from higher interest rates on student loans to higher rates on mortgages to higher rates... on pretty much everything. That's another reason student loan consolidation is so important - by locking in your rates, you insulate yourself from future rate increases. By lowering your monthly payment, you'll free up valuable cash to help pay down other, higher rate debts like credit cards, too.
The year ahead, according to experts at Bloomberg Financial, will be rife with interest rate increases, so consolidating your student loans now will free up money so that you can get rid of other debts as quickly as possible.
The year ahead, according to experts at Bloomberg Financial, will be rife with interest rate increases, so consolidating your student loans now will free up money so that you can get rid of other debts as quickly as possible.
Why Student Loan Consolidation Is Important
By now, you know that student loan consolidation saves you more money each month by reducing your monthly payment. However, did you know that consolidating saves you additional money by beating inflation and by helping you service other debt?
Inflation
Here's how it works. Inflation is essentially the de-valuing of money. Consider these simple facts:
A car you bought in 1998 for $20,000 would cost you approximately $22,980 today.
A college tuition you paid $25,000 today would have only cost $19,508 ten years ago.
The lesson is clear: a dollar in your pocket today is worth more than a dollar in your pocket tomorrow.
That's why consolidating your student loans is so important - student loan consolidation puts more money in your pocket today, now, when it can do more for you. Every monthly payment you make is lower after you consolidate, which lets you put the savings towards other things in life.
Inflation
Here's how it works. Inflation is essentially the de-valuing of money. Consider these simple facts:
A car you bought in 1998 for $20,000 would cost you approximately $22,980 today.
A college tuition you paid $25,000 today would have only cost $19,508 ten years ago.
The lesson is clear: a dollar in your pocket today is worth more than a dollar in your pocket tomorrow.
That's why consolidating your student loans is so important - student loan consolidation puts more money in your pocket today, now, when it can do more for you. Every monthly payment you make is lower after you consolidate, which lets you put the savings towards other things in life.
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