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If you’re considering refinancing your student loans and want to make sure you don’t miss something major this strategy guide is your place to start. It covers everything you need to know to decide if refinancing is the right choice for you. By reading the posts you’ll get a solid walk-through of the refinancing process from start to finish.
Decide if Refinancing is Your Best Option
This is the place to start.The best refinancing candidates are high earners with good to excellent credit and predictable income. If you’re considering student loan forgiveness refinanced loans aren’t eligible for forgiveness so refinancing might not be best for you. Check out the post to start thinking about the pros and cons of student loan refinancing.
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Find a Refinancing Company that Offers the Benefits You Need
When you refinance your student loans those loans are now private. That means you can lose important federal benefits. Refinancing companies vary widely on which benefits they offer to borrowers. For example some refinancing companies will forgive your remaining student loan balance if you die but some don’t. Depending on your life insurance situation this may be a benefit you need. Check out these posts to get an idea of how borrower benefits can change when you refinance.
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How to Choose the Refinancing Benefits You Need
Eight Questions to Ask Refinancing Companies
Avoid Refinancing Disasters
Now that you know you’re a good candidate for refinancing you’ll want to make sure to avoid pitfalls. You don’t want to get scammed, lose benefits you need, or miss out on student loan forgiveness because you refinanced. Read through these posts to build your confidence.
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Four Refinancing Disasters to Avoid
How to Know if Student Loan Refinancing is Legit
Find the Lowest Student Loan Refinancing Rate
Interest rates can vary widely between refinancing companies. You’ll want to use the quick rate estimator on the refinancing websites to get an estimate of their rates. Put in accurate information so you get accurate estimates. A word of caution: I haven’t had much success with companies that claim to take your information once and supply all your rates, in my experience these sites left out my most competitive offers. Read through this post for a list of the top refinancing companies and a quick-start guide to shopping for the best student loan refinancing interest rate.
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Top Student Loan Refinancing Companies
Find the Lowest Refi Rates Fast
Submit your formal applications
Choose two or three of the companies with the lowest interest rate estimates and offering the benefits you need and submit formal applications. Formal applications will pull a hard credit check and show up on your credit history. That’s why it’s helpful to do the rate estimators first to narrow down the playing field to the most competitive interest rates. You’ll want to have all the required information ready to go to speed the application process along.
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The Information You Need to Refinance Your Student Loans
That’s it. Follow these steps and you’ll be ready to snag a lower interest rate on your student loans. I’ve saved tens of thousands of dollars refinancing and I’m a huge believer in refinancing your student loan debt if it’s the right choice for you. How was your refinancing experience? Leave me a comment below!
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