Quick question about private loans?

<p>I have been rate shopping and so far the best I can find is 9.625% variable with fixed payments at Sallie Mae. I do not have an eligible co signer and my books this semester are VERY expensive, not to mention transportation, housing and other issues. I have a part time job but even that is not enough at times.</p>

<p>When the rate says variable...this terrifies me! Can they really make the interest rate higher than 25%? Also I read that the interest rates stay low while you're in school but increase during repayment time...is this true as well?</p>

<p>I have pretty much exhausted all of my financial aid options, this is the last year that I will qualify for government aid. I have about 7,750 in aid this year, but I won't have any aid for next year. I would wait until next year but I feel like its a good idea to get everything established now while I can, I changed my major and I still have another year to go after this one. I have applied for scholarships but it will be months before I find out if I received that money or not.</p>

<p>Oh and the estimated cost of attendance is 20,000 at my school for undergrads. So technically I have a gap of 11,000 to work with. I plan on borrowing 5,000 so that will not affect my current financial aid package correct?</p>

<p>Does anyone have any input about private loans?</p>

<p>How much debt are you currently carrying? You’re talking about borrowing a lot of money at a very high interest rate.</p>

<p>If you don’t get government aid next year, what are you going to do, borrow the full cost on a private loan? Will you even be able to borrow that much?</p>

<p>Like I said, I’ve exhausted all of my options. I will hit my government loan limits after this year so I don’t particularly have a choice…I’ve applied for scholarships but I plan on saving as much as I can and borrowing the rest.</p>

<p>He who has the gold makes the rules. Meaning if someone is loaning you thier money they can make up basically any terms they want. Thats why when you get the loan you sign so much paperwork, you are saying you agree to thier terms.</p>

<p>If you have no co-signer and you only have a part time job I’m not so sure you could even qualify for a private loan.</p>

<p>I do qualify for a private loan. I have an established credit history all in good standing. The only thing is that the interest rates are high because I have no co signer. But really what are my options…my parent’s cannot because they do not have good credit and my uncle refuses to act as my cosigner.</p>