Student Loan Deferment?

[Spekkio]

Yea, if you have absolutely no way of saving up enough for 2 months of monthly bills, deferment would be the better option.

As someone said, though, you might want to look into the USAA career starter loan as well. It has a very low interest rate, and you can consolodate your debt into one payment with it.

 

[Tbone47]

Servicemen's relief act

I just spoke to Sallie Mae. Active servicemen are eligible for the rate reduction by law. The rate of your loan will permanently be reduced to 6 percent. You must fax a request to Sallie mae and then they will send you a form. The fax number to send the request is 1800-848-1949

 

[MidWestEwo]

Thanks Tbone

 

[OnTopTime]

Active servicemen are eligible for the rate reduction by law. The rate of your loan will permanently be reduced to 6 percent.

Perhaps just a technicality, but: I believe that the interest rate reduction is only available while you are on active duty, so in that sense it's not a permanent reduction. Obviously, not a big deal if you plan on spending a long time on active duty. Also, the intent of the interest rate reduction is to provide relief to those who will incur financial hardship as a result of active duty service; i.e., leaving a civilian job that provides better compensation than what the military provides for whatever paygrade you are at. I've never heard of it happening, but the lender would be within their rights to ask for proof of diminished financial capacity as a result of a move to active duty service before granting an interest rate reduction request made under SCRA. My personal observation is that many pre-OC types will be better off financially after they report for active duty. Just something to think about.