Opinions please on student loans

[Jaime]

I have a really good interest rate on my student loans, I consolodated them a while back when the rate was really low- I only have two loans total.

Anyhow, because I am taking one class now for my teacher's license renewal, techincally I can freeze my loan repayments for the time being, thus freeing up over $100 a month that I could apply to my gallbladder medical bill.

What do you think.. good idea, terrible idea? I am not sure which is worse, getting interest on the medical bill or freezing the loan while I am in school.

[carolinalady67]

It has been a while for me dealing with student loans, but you can freeze it with just one class? And, sorry another questions, did you set up your payment for the gallbladder with the hospital? I've never heard of them charging interest.

If money is a concern for me, it is a concern right now, not years from now. So I would base it on what is best for me right now (unless I knew it was going to make things much worse later, like much higher payments later .. not so much just longer payments). So if freezing the loan payment would make things a lot easier for you now I'd say do it. Either way it sounds like you are building up interest on one payment or the other.

[Jaime]

I think one class is enough, maybe it is two.

And the medical bill is on our credit card, so that is where the interest comes in. we have a credit card that had a 0 percent interest for over a year, but now is at a lower one- the 0 interest was a special deal that lasted for so many months.

[*Sarah*]

Is the interest on your medical bills higher than your student loan? In that case, I might defer the student loans so you can focus on paying off the medical bills.

[carolinalady67]

Love those zero interest rate deals!

[serda23]

If you can put your loans into deferment (I think thats what they call it?) then I would definitely do it. The best part is when you're in school they freeze the interest too (so it doesn't add up more). I don't know if they will for one class either, it probably depends on who/what your loans are through? I say go for it though!

[Mandy]

I would call your student loan company. They can defer or you could do foreberance. Definatly check into it though because I know AES will defer as long as your considered a "student".

[Jaci]

Watch out though Jaime, if they are federal loans, you won't be able to defer them unless you have a certain amount of credits, depending on the school. I think you need to take at least 9 credits at my school to be able to defer anything.

Are they subsidized or unsubsidized (do they collect interest while the loan payments are defered or not?)

[Stitch's girl]

If you are able to defer the student loans, consider doing that and pay off that medical bill. Most student loans are tax deductable, and carry much lower interest rates than most credit cards. Student loans, home equity, and mortgages should always be the last things you pay off after all the "unsecured" debt like car loans, credit car bills, etc., because you do get tax credits for them in the US anyway. If you can pay both the credit card bill and the student loan bill, keep paying both of them.

[purple_octopus]

If you can put your loans into deferment (I think thats what they call it?) then I would definitely do it. The best part is when you're in school they freeze the interest too (so it doesn't add up more). I don't know if they will for one class either, it probably depends on who/what your loans are through? I say go for it though!
Only subsidized loans will keep you from accruing interest while you are in school (the interest doesn't stop -- it's just subsidized by the government). And I'm not 100% sure, but I think you have to be half time or more for that. Call your lender to see what your options are. Even if you can't get a deferment, you might be able get a forbearance. If they were my bills, I would see how much money I would be paying/saving in interest either way. Then I'd pick the one that cost the least.

[~Dana~]

I believe you have to be matriculated (or at least a half-time student) in order to freeze your student loan payments. As for your medical bill, I highly recommend, as someone else suggested, working out a payment plan for that. There is no reason you need to pay that all off - there shouldn't be any interest involved, and you can pay them $10/month if that is all you can afford...

Your question struck me though because I am currently taking one course (distance learning) for my perm. licensure in Wisconsin. (ugh) It would be really nice to freeze our loans... but we are not in dire straits financially, so we figured why bother...