Updated: Oct 6, 2019
The content below is from CommonBond.co, explaining all the need-to-know information for us students taking out loans! We will post each day of the 10 days of Student Loan Boot Camp once a week.
Student loans don't have to be a burden. You can easily learn the basics of student loan debt and how to conquer it. That's why we're doing the 10-day CommonBond Student Loan Boot Camp. This is Day 1, and it's a great place to begin your savings journey.
Here's What You'll Learn Through the CommonBond Student Loan Boot Camp
Day 1: Average Student Loan Debt and Student Loan Refinancing
Day 2: Principal Versus Interest
Day 3 What Is Capitalized Interest?
Day 4: What Are Grace Period, Deferment and Forbearance?
Day 5: Student Loan Refinancing Versus Student Loan Consolidation
Day 6: Why Should You Refinance Private Student Loans?
Day 7: What Is Public Service Loan Forgiveness?
Day 8: How to Reduce Student Loan Payments
Day 9: How to Use a Student Loan Payoff Calculator
Day 10: Should You Pay Off Your Student Loans Early?
Day 1: Let's get started!
You did everything right. You went to a good school, worked hard and graduated. Now comes the hard part—you have to start paying your student loans. Those high balances may make you feel like you'll be in debt forever and you may feel like you're the only one. You're not alone. Professionals in every field are in the same boat.
Americans have more than $1.36 trillion dollars in student loan debt and growing by $2,726 every second. That is more debt than Americans have in auto loans and on their credit cards. Only U.S. mortgage debt is more than the total student loan debt Americans have.
Average student loan debt differs by degree, and it's especially staggering if you have a professional degree.
Fortunately, there is an easy solution to part of the nation's student loan debt problem. It's called student loan refinancing.
You may have heard about refinancing when someone you know refinanced their mortgage. The same thing is happening with student loan refinancing (only much easier). Refinancing simply means taking out a new loan to replace an existing loan. When you refinance with CommonBond, we create a new loan for you at a low interest rate. We also pay off your existing student loans.
CommonBond refinances both federal and private student loans as well as previously consolidated student loans. You could save thousands over the life of your loan. How? We offer lower rates on student loans than the federal government.
Just how does CommonBond help people save so much? We use technology and data to evaluate each applicant's free cash flow, credit history, earnings potential, education and more to craft a rate that is tailored for them. By assessing each potential member individually, we are often able to offer a lower interest rate. By comparison, Congress sets the interest rates for all federal student loans, which are the same for every borrower.
Want to learn more about student loan refinancing right now? CommonBond created a quick guide to walk you through your decision.
But there is still more ground to cover. Come back tomorrow for Day 2 of the challenge, where we'll discuss the difference between principal and interest on your student loans.
Interested in saving money on your student loans? CommonBond offers student loan refinancing. You could save thousands over the life of your loan by refinancing your student loans to a lower interest rate. Learn more about our rates and terms.
1 Sources: Percentages—Undergraduate: The Institute of College Access & Success; Graduate: The College Board; Debt statistics—Undergraduates Cappex; Graduates U.S. News & World Report; MBAs U.S. News & World Report; Doctors Association of American Medical Colleges; Dentists American Dental Education Association; Lawyers U.S. News & World Report
Thanks to CommonBond for the informational content.