Sallie Mae Loan Consolidation
When trying to fund your higher education expenses you will want to find the best loans to supplement any financial aid you already have in the form of grants and scholarships. When you are considering private loans you should look to a name that is trusted for education lending. There are many well known companies that have branches all over the United States; Sallie Mae is one of the best known of them all. Having been handling student education loans for over 30 years, Sallie Mae has a streamlined process that is well established, modern and easy to understand.
Benefits of Sallie Mae Loans
Aside from being one of the best known lenders available, Sallie Mae loans have great benefits. These include easy qualification loan and really low interest rates. The repayment options are varied and flexible. You also have the option of exit counseling if you are dropping out of school, or at least reducing your class load to less than half-time.
Rights and Responsibilities
As a borrower of a Sallie Mae loan, you have to understand your part in the process. You have certain rights regarding the loan and responsibilities in handling and repaying it. Sallie Mae has a list of rights and responsibilities for the borrower to understand which includes:
- The right to have a repayment schedule provided that includes all rate, fee, balance and options information from the company
- The right to deferment and forbearance whenever you qualify and have need
- The right to complete payments early without being penalized
- The right to notification upon completion of payments
- The responsibility of repaying the loan in full
- The responsibility to handle payments properly outside of deferment and forbearance
- The responsibility of contacting you lender regarding changes in address and financial status (with regard to deferment and forbearance)
Payment Matters
It is the borrower’s responsibility to repay the loan. If you miss a single payment you are considered delinquent on your loan. You will have to pay late fees and, if you continue to be delinquent or make late payments, it can be reported to a credit agency and adversely affect your credit rating. This will make it hard for you to get loans to pay for larger purchases like a house or car.
If you are unable to repay the loan you will go into default. Depending on the type of loan you have, there are varying numbers of payments missed to be given default status. Defaulting on a loan is very bad for your credit rating and can result in wage garnishing, the ability to get federal financial aid, tax return checks can be seized and you can even be sued for the return of the money. As stated, it is your responsibility as a borrower to repay the loan. There is always consolidation.
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