I haven’t written about my student loans in a little while. I’ve made some changes that are really helping me save money.
I’ve written many times about ways to lower monthly student loan payments. The one I hadn’t tried yet was utilizing benefits from my lender.
Honestly, Sallie Mae doesn’t offer many benefits to those of us with private student loans. I did find out that two of my loans were eligible for an interest rate reduction of 0.5% if I signed up for auto-debit of my bill every month. Since my monthly income is finally consistent, I decided to go ahead and sign up and see what kind of relief that reduction would bring me.
Now that my first auto-debit payment has been processed, Sallie Mae emailed me to let me know that my monthly payment has now been reduced from $1024.70 a month to $1012.95 a month. That’s a difference of $11.75. Not huge, but over the next 163 months of repayment, that’s a savings of $1915.25. And, of course, I’m going to continue using the money I have budgeted to pay my student loans to make extra payments each month to help pay down my principal balance faster.
Hopefully soon my monthly payment will be lowered again, and I’ll be just a few steps closer to my goal of eliminating my student loan debt.