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quick question - we have 2 parent loans for our son. I wanted to consolidate, but Sallie Mae is not doing that right now - ok, whatever,
I am trying to pay these off in 4 years, so I am paying way over the minimum, but do I pay the most on the older one with a lower balance of $8000, or on the newer one with a balance of $10000. I am not sure which one to pay the most on. Our interest is 8.6% thanks




I always recommend consolidation with the deparment of ed...Direct Loan program.

Sub: #1 posted on Fri, 08/01/2008 - 07:57

SOAPLADY SOAPLADY
Moderators Cum Industry Expert
(Posts: 17209 | Credits: 4746.14)

If your interest rate is the same on both loans, then it really doesn't matter which one you pay the most on. Your total balance, and therefore your interest, should reduce by the same amount, whether you pay the extra on the smaller one or on the larger one, or on a combination of the two.

Sub: #2 posted on Fri, 08/01/2008 - 08:27

alias1958 alias1958

(Posts: 1230 | Credits: 79.88)

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