This year I am transferring colleges and entering as a sophomore. From my last year at my previous university I acquired a $2500 loan through PNC bank. Because I would be getting about $10k in loans for my sophomore year at my new school, all through federal and government sources, I wanted to pay off my PNC loan from my other school which is at an atrocious 7.14% interest rate and is not subsidized. Last month I paid $800 off.
Since then, my aid has changed slightly and the new tuition numbers have been posted, and I see that I will need to come up with about $3000 by the end of August, which will be very tough. Now I really wish I hadn't paid that $800 on my PNC loan last month. So I either need to, see if I can add money to that PNC loan to get it back to its previous amount, so I have an extra $800 to use for this fall (leaving me with $10k in federal loans and $2500 from PNC), OR if I could find another, better loan source that would give me a better rate than 7.14%, I could take out a new student loan for, say, 3 grand, to use this fall, and then I could finish paying off the PNC loan this summer ($1700) like I had originally planned.
PLEASE HELP because it's mid-July already and I don't know what to do.
Thanks all.
UPDATE 7/17: I'm going to see if I can get a new loan for $2500 from my mother's credit union and then pay off the remaining $1700 on the PNC loan, thus getting my $800 back.
UPDATE 7/18: I am applying for membership at the credit union today. I called AES to ask some questions. They told me the bank sets the interest rate, making me think I might be able to get a better rate from the CU. However, he told me this is not possible - the rate the CU gives me MUST be the same or higher than the rate on my PNC loan. I didn't really understand his explanation for why. Any help?
UPDATE 2 7/18: Alright I feel more fvcked now than before. Apparently the CU only gives out Stafford loans, that's all the application says on it, and I'm already maxed on those. So doesn't look like the credit union can help me at all. My bank (Citizens) offers the TERI loan, however if you have less than two years of credit history they required a co-signer, and my parents have bad credit, meaning I'd get about a 10.5% interest rate. It seems like I'm going to run into this problem with any private loan.
What other sources can you recommend? Sallie Mae or something along those lines? I just need to find a lender that will be okay with MY credit rating alone, about 14 months of should-be spotless history.
UPDATE 8/20: AES gave me my $800 back.
Since then, my aid has changed slightly and the new tuition numbers have been posted, and I see that I will need to come up with about $3000 by the end of August, which will be very tough. Now I really wish I hadn't paid that $800 on my PNC loan last month. So I either need to, see if I can add money to that PNC loan to get it back to its previous amount, so I have an extra $800 to use for this fall (leaving me with $10k in federal loans and $2500 from PNC), OR if I could find another, better loan source that would give me a better rate than 7.14%, I could take out a new student loan for, say, 3 grand, to use this fall, and then I could finish paying off the PNC loan this summer ($1700) like I had originally planned.
PLEASE HELP because it's mid-July already and I don't know what to do.
Thanks all.
UPDATE 7/17: I'm going to see if I can get a new loan for $2500 from my mother's credit union and then pay off the remaining $1700 on the PNC loan, thus getting my $800 back.
UPDATE 7/18: I am applying for membership at the credit union today. I called AES to ask some questions. They told me the bank sets the interest rate, making me think I might be able to get a better rate from the CU. However, he told me this is not possible - the rate the CU gives me MUST be the same or higher than the rate on my PNC loan. I didn't really understand his explanation for why. Any help?
UPDATE 2 7/18: Alright I feel more fvcked now than before. Apparently the CU only gives out Stafford loans, that's all the application says on it, and I'm already maxed on those. So doesn't look like the credit union can help me at all. My bank (Citizens) offers the TERI loan, however if you have less than two years of credit history they required a co-signer, and my parents have bad credit, meaning I'd get about a 10.5% interest rate. It seems like I'm going to run into this problem with any private loan.
What other sources can you recommend? Sallie Mae or something along those lines? I just need to find a lender that will be okay with MY credit rating alone, about 14 months of should-be spotless history.
UPDATE 8/20: AES gave me my $800 back.
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