I'm 26 years old and going back to finish college. The GREAT thing is that I have a pretty strong credit history (720+).
I'm wondering though, should I take out money every year or every two years, or what? I'm afraid my FICO score will take a hit each time I apply for a new loan, thus reducing the interest rate for each subsequent loan. But at the same time, I don't want to pay interest for money I won't need until one or two years from now.
Full Version: How often should I take out private loans?
QUOTE(xelda @ May 16 2008, 12:25 AM) 
I'm 26 years old and going back to finish college. The GREAT thing is that I have a pretty strong credit history (720+).
I'm wondering though, should I take out money every year or every two years, or what?
You can only borrow up to the cost of attenance each school year, minus any other federal aid. You cant borrow for 2 years at one time.
I'm afraid my FICO score will take a hit each time I apply for a new loan, thus reducing the interest rate for each subsequent loan. But at the same time, I don't want to pay interest for money I won't need until one or two years from now.
I'm wondering though, should I take out money every year or every two years, or what?
You can only borrow up to the cost of attenance each school year, minus any other federal aid. You cant borrow for 2 years at one time.
I'm afraid my FICO score will take a hit each time I apply for a new loan, thus reducing the interest rate for each subsequent loan. But at the same time, I don't want to pay interest for money I won't need until one or two years from now.
In my opinion, you only should borrow private funds if you obsolutely have no other way to pay for school. If you dont need them, for god sakes, dont borrow them.
QUOTE(LynnInMN @ May 16 2008, 09:39 AM)
QUOTE(xelda @ May 16 2008, 12:25 AM)
I'm 26 years old and going back to finish college. The GREAT thing is that I have a pretty strong credit history (720+).
I'm wondering though, should I take out money every year or every two years, or what?
You can only borrow up to the cost of attenance each school year, minus any other federal aid. You cant borrow for 2 years at one time.
I'm afraid my FICO score will take a hit each time I apply for a new loan, thus reducing the interest rate for each subsequent loan. But at the same time, I don't want to pay interest for money I won't need until one or two years from now.
I'm wondering though, should I take out money every year or every two years, or what?
You can only borrow up to the cost of attenance each school year, minus any other federal aid. You cant borrow for 2 years at one time.
I'm afraid my FICO score will take a hit each time I apply for a new loan, thus reducing the interest rate for each subsequent loan. But at the same time, I don't want to pay interest for money I won't need until one or two years from now.
In my opinion, you only should borrow private funds if you obsolutely have no other way to pay for school. If you dont need them, for god sakes, dont borrow them.
I wish someone would have told me that 10 years ago. Its good advice, Take it.
FWIW, Private loans are a pain to deal with. you are better off getting a personal loan from your bank or cu if you can. Its what I wish I would have done, then I would have it payed off by now.
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