FYI on student loan rates going forward

(Rankings, Profiles, Tuition, Student Life, . . . )

User avatar
Bronck
Posts: 2025
Joined: Fri Jan 27, 2012 1:28 pm

Re: FYI on student loan rates going forward

Postby Bronck » Thu Jul 25, 2013 10:36 am

Thanks for the post Prof Campos. Student loans are a mess, and it looks like the gov't wants to make them even worse

User avatar
jbagelboy
Posts: 9646
Joined: Thu Nov 29, 2012 7:57 pm

Re: FYI on student loan rates going forward

Postby jbagelboy » Thu Jul 25, 2013 10:48 am

What does this mean for 2014 and 2015 staffords? I thought they were going for ~6.1% this year, but do we think it will spike back over 6.8 within 2 years?

dstars823
Posts: 327
Joined: Thu Mar 24, 2011 12:51 am

Re: FYI on student loan rates going forward

Postby dstars823 » Thu Jul 25, 2013 10:54 am

as long as the recovery remains slow, students borrowing in the near term may actually see a slight reprieve say like 70-100 basis points, but if interest rates go back to historical averages we're all screwed.

dstars823
Posts: 327
Joined: Thu Mar 24, 2011 12:51 am

Re: FYI on student loan rates going forward

Postby dstars823 » Thu Jul 25, 2013 10:54 am

drops our rates to 5.41% for unsubsidized and i think plus drops to lik 6.5 this year

timbs4339
Posts: 2733
Joined: Sat Apr 02, 2011 12:19 pm

Re: FYI on student loan rates going forward

Postby timbs4339 » Thu Jul 25, 2013 11:22 am

MAF

timbs4339
Posts: 2733
Joined: Sat Apr 02, 2011 12:19 pm

Re: FYI on student loan rates going forward

Postby timbs4339 » Thu Jul 25, 2013 11:22 am

dstars823 wrote:drops our rates to 5.41% for unsubsidized and i think plus drops to lik 6.5 this year


Good thing law school is a one-year commitment right?

Paul Campos
Posts: 644
Joined: Mon Dec 12, 2011 9:44 am

Re: FYI on student loan rates going forward

Postby Paul Campos » Thu Jul 25, 2013 11:40 am

My guess is that people enrolling this fall will end up with a blended interest rate for their loan school loans similar to, or perhaps slightly lower than, the previous 6.8/7.9 structure. It will be lower in their first year (5.4/6.5) but almost certainly quite a bit higher in their second and third years. People who enroll from 2014 forward are going to end up paying higher rates than 6.8/7.9 and probably much higher.

User avatar
francesfarmer
Posts: 1409
Joined: Mon Sep 10, 2012 11:52 am

Re: FYI on student loan rates going forward

Postby francesfarmer » Thu Jul 25, 2013 11:44 am

Well this makes me pissed that I deferred. Now part of me hopes the economy doesn't get better until I graduate.

User avatar
Tiago Splitter
Posts: 15506
Joined: Tue Jun 28, 2011 1:20 am

Re: FYI on student loan rates going forward

Postby Tiago Splitter » Thu Jul 25, 2013 11:47 am

Will the rates at least be fixed once the loans are taken out? If so I just need Bernanke to hang in there for another 18 months.

User avatar
t-14orbust
Posts: 2066
Joined: Tue Jul 31, 2012 4:43 pm

Re: FYI on student loan rates going forward

Postby t-14orbust » Thu Jul 25, 2013 11:48 am

Tiago Splitter wrote:Will the rates at least be fixed once the loans are taken out? If so I just need Bernanke to hang in there for another 18 months.


Yes

User avatar
untar614
Posts: 646
Joined: Mon Feb 04, 2013 1:01 pm

Re: FYI on student loan rates going forward

Postby untar614 » Thu Jul 25, 2013 11:52 am

francesfarmer wrote:Well this makes me pissed that I deferred. Now part of me hopes the economy doesn't get better until I graduate.

But a poor economic recovery could have a negative impact on hiring. THERE IS NO WINNING!

User avatar
jbagelboy
Posts: 9646
Joined: Thu Nov 29, 2012 7:57 pm

Re: FYI on student loan rates going forward

Postby jbagelboy » Thu Jul 25, 2013 11:54 am

Paul Campos wrote:My guess is that people enrolling this fall will end up with a blended interest rate for their loan school loans similar to, or perhaps slightly lower than, the previous 6.8/7.9 structure. It will be lower in their first year (5.4/6.5) but almost certainly quite a bit higher in their second and third years. People who enroll from 2014 forward are going to end up paying higher rates than 6.8/7.9 and probably much higher.


For those of us with savings & scholarships and not taking out the full loan amounts, its probably still best to take the minimum this year though? Or will they rise significantly enough by 2015 to merit taking out additional loans this year and applying savings to future years? I cant see the latter being the case after capitalization but theres a big difference b/t 5.4 and 10.5

User avatar
jbagelboy
Posts: 9646
Joined: Thu Nov 29, 2012 7:57 pm

Re: FYI on student loan rates going forward

Postby jbagelboy » Thu Jul 25, 2013 11:55 am

t-14orbust wrote:
Tiago Splitter wrote:Will the rates at least be fixed once the loans are taken out? If so I just need Bernanke to hang in there for another 18 months.


Yes


As a corrolary to TS, will the 5.41 apply to loans taken out for the 2013-2014 (the ones I just requested)?

User avatar
francesfarmer
Posts: 1409
Joined: Mon Sep 10, 2012 11:52 am

Re: FYI on student loan rates going forward

Postby francesfarmer » Thu Jul 25, 2013 11:57 am

untar614 wrote:
francesfarmer wrote:Well this makes me pissed that I deferred. Now part of me hopes the economy doesn't get better until I graduate.

But a poor economic recovery could have a negative impact on hiring. THERE IS NO WINNING!

Ugh, our generation is so fucked, I am MAF about it

User avatar
t-14orbust
Posts: 2066
Joined: Tue Jul 31, 2012 4:43 pm

Re: FYI on student loan rates going forward

Postby t-14orbust » Thu Jul 25, 2013 12:06 pm

jbagelboy wrote:
t-14orbust wrote:
Tiago Splitter wrote:Will the rates at least be fixed once the loans are taken out? If so I just need Bernanke to hang in there for another 18 months.


Yes


As a corrolary to TS, will the 5.41 apply to loans taken out for the 2013-2014 (the ones I just requested)?


I don't know that, you're going to have to wait and see what your loan agreement states. Hopefully you're lucky and can snag the lower rate this year lol. I'm thinking yes but don't quote me on that

dstars823
Posts: 327
Joined: Thu Mar 24, 2011 12:51 am

Re: FYI on student loan rates going forward

Postby dstars823 » Thu Jul 25, 2013 12:14 pm

jbagelboy wrote:
t-14orbust wrote:
Tiago Splitter wrote:Will the rates at least be fixed once the loans are taken out? If so I just need Bernanke to hang in there for another 18 months.


Yes


As a corrolary to TS, will the 5.41 apply to loans taken out for the 2013-2014 (the ones I just requested)?


I think the rates are supposed to be retroactive so loans that we are going to take out this year should get these discounted rates. I think it would still be best to take out the minimum if possible because the savings of the 100 basis will not be enough to warrant allowing that interest to accrue for 1-2 extra years. Its best to take out more money on the back end.

User avatar
AreJay711
Posts: 3406
Joined: Tue Jul 20, 2010 8:51 pm

Re: FYI on student loan rates going forward

Postby AreJay711 » Thu Jul 25, 2013 12:17 pm

dstars823 wrote:
jbagelboy wrote:
t-14orbust wrote:
Tiago Splitter wrote:Will the rates at least be fixed once the loans are taken out? If so I just need Bernanke to hang in there for another 18 months.


Yes


As a corrolary to TS, will the 5.41 apply to loans taken out for the 2013-2014 (the ones I just requested)?


I think the rates are supposed to be retroactive so loans that we are going to take out this year should get these discounted rates. I think it would still be best to take out the minimum if possible because the savings of the 100 basis will not be enough to warrant allowing that interest to accrue for 1-2 extra years. Its best to take out more money on the back end.


Maybe. I would keep the liquidity for bar trip. This is a marathon not a sprint, and you might as well have fun as not.

dkb17xzx
Posts: 405
Joined: Wed Jan 20, 2010 6:25 pm

Re: FYI on student loan rates going forward

Postby dkb17xzx » Thu Jul 25, 2013 12:29 pm

francesfarmer wrote:
untar614 wrote:
francesfarmer wrote:Well this makes me pissed that I deferred. Now part of me hopes the economy doesn't get better until I graduate.

But a poor economic recovery could have a negative impact on hiring. THERE IS NO WINNING!

Ugh, our generation is so fucked, I am MAF about it



this might help: viewtopic.php?f=10&t=188008

User avatar
francesfarmer
Posts: 1409
Joined: Mon Sep 10, 2012 11:52 am

Re: FYI on student loan rates going forward

Postby francesfarmer » Thu Jul 25, 2013 1:16 pm

dkb17xzx wrote:
francesfarmer wrote:
untar614 wrote:
francesfarmer wrote:Well this makes me pissed that I deferred. Now part of me hopes the economy doesn't get better until I graduate.

But a poor economic recovery could have a negative impact on hiring. THERE IS NO WINNING!

Ugh, our generation is so fucked, I am MAF about it



this might help: http://www.top-law-schools.com/forums/v ... 0&t=188008

Only makes me M-erAF!

User avatar
Hufflepuffer
Posts: 33
Joined: Tue Jun 12, 2012 12:26 pm

Re: FYI on student loan rates going forward

Postby Hufflepuffer » Thu Jul 25, 2013 8:57 pm

Paul Campos wrote:My guess is that people enrolling this fall will end up with a blended interest rate for their loan school loans similar to, or perhaps slightly lower than, the previous 6.8/7.9 structure. It will be lower in their first year (5.4/6.5) but almost certainly quite a bit higher in their second and third years. People who enroll from 2014 forward are going to end up paying higher rates than 6.8/7.9 and probably much higher.


Ah, so they solved the student loan crisis by... popping the bubble faster?

Finally! Action in Congress

dstars823
Posts: 327
Joined: Thu Mar 24, 2011 12:51 am

Re: FYI on student loan rates going forward

Postby dstars823 » Thu Jul 25, 2013 8:59 pm

just hope for a super slow recovery so that bernanke has to keep the rates low and the money cheap

zman
Posts: 500
Joined: Tue Jul 31, 2012 9:31 am

Re: FYI on student loan rates going forward

Postby zman » Thu Jul 25, 2013 9:03 pm

dstars823 wrote:just hope for a super slow recovery so that bernanke has to keep the rates low and the money cheap


the economy will NOT recover as long as money is cheap and rates are low. The reason tuition is espensive is because lending to students is risk free because goverment is federaly insuring the loans.

User avatar
Louis1127
Posts: 817
Joined: Thu Jun 27, 2013 9:12 pm

Re: FYI on student loan rates going forward

Postby Louis1127 » Thu Jul 25, 2013 9:05 pm

Unfortunately interest rates will be going up right when I need student loans for LS. Errrrrggghhh.

zman
Posts: 500
Joined: Tue Jul 31, 2012 9:31 am

Re: FYI on student loan rates going forward

Postby zman » Thu Jul 25, 2013 9:08 pm

Louis1127 wrote:Unfortunately interest rates will be going up right when I need student loans for LS. Errrrrggghhh.


it's not the interest rate that is the problem. It's the expensive tuition.




Return to “Choosing a Law School”

Who is online

Users browsing this forum: No registered users and 4 guests