Will Sallie Mae Deal If I Pay Off Early?

[waltflanman]

Don't even know if this is possible, but my student loan repayment has become tiresome to say the least. I'd like to get it over and done with, but don't quite have the total amount I still owe.

 

I haven't missed a payment in seven years and would like to make them an offer on my remaining balance. Is this possible or will they say no since I have been a faithful payer?

 

Owe: 9500 (Last payment scheduled for 2011)

Offer: 6500

[LynnInMN]

Don't even know if this is possible, but my student loan repayment has become tiresome to say the least. I'd like to get it over and done with, but don't quite have the total amount I still owe.

 

I haven't missed a payment in seven years and would like to make them an offer on my remaining balance. Is this possible or will they say no since I have been a faithful payer?

 

Owe: 9500 (Last payment scheduled for 2011)

Offer: 6500

 

Nope. It is a guaranteed student loan, which means the entire balance is guaranteed by the federal government. Sallie Mae as a servicer will not write off anything at a loss.

 

The only time you can settle is if you are in default, and then usually the settlement involves waiving the collection fees.

[waltflanman]

Oh, ok. Thanks for the answer Lynn! I have been paying on this thing since graduation ('99) and its just starting to be a pain

 

I have ramped it up to the maximum as of this morning and was able to cut my re-pay time by several years. Only three years to go! And, by doing that, I saved about $1200 in interest.

 

My rate is awesome at 3.75, but I just don't want to donate any more money to them than I have to.