OT: I REALLY need to vent.

I'm so pissed, I'm beyond pissed.  As you all know my husband just finished up his bachelors degree.  He was suppose to start repaying back his loans in June.  He called about a month ago to consolidate his loans because he borrowed so much.  They told him to wait, and call a few days before June because of a new interest rate that suppose to kick in.  It might benefit him if he waited to see what this new interest rate would be.  Well he just called and the friggin government decided to put a halt on ALL consolidations!!!!!  OMG, I'm so f@#%($* pissed.  There is NO WAY we can pay this.  It's a grand a month!  How are they expecting people to pay this when they had the notion that they were going to be able to consolidate them after they get out of college!!!!! UGHH, this is not good.  Wonder what happens if you don't pay it.   I'm really pissed.  Just if we did it when we talked to that lady.

I suggest checking out private lenders to see if they can do a consolidation for you. You may not get as good of a rate as with the government but it would definitely help.  Do some more searching on the web. There may be other federal lenders that can still do a low interest rate consolidation. Here's a federal lender in Alaska who will also do a private consolidation loan: http://alaskaadvantage.state.ak.us/page/258 From a pdf on their site: What options do I have if I want to get a federal consolidation loan during the period that ACPE has suspended participation in this program? Several options are available. They include: 1. Consolidate with another federal lender. 2. Consolidate with the Federal Direct Loan program. 3. Consolidate your non-AlaskAdvantage loans with another lender or with Direct Loans, but withhold your AlaskAdvantage loans in order to retain the borrower benefits on those loans. Here's what I think is a federal lender who is still doing consolidation loans: http://loanconsolidation.ed.gov/borrower/bloans.shtml

yeah, you can try for a personal loan! I would also call the college counseling office and see what options they may have.  Pay what you can - better than nothing!

Thanks guys.  First of all I have called the school, this is who told me there not doing this any more.  But thanks to Chris I did look into it a little further, (I did this earlier but only found bad news).  I believe I found a place, I'm going to call in the morning.  I swear when it rains it pours! :) 

Before you switch to another lender, be sure to check out all of their requirements.  There are some private loan companies that DO NOT let a person defer their college loans.  Actually you might want to find out what is going on with the government not letting anyone consolidate and how long that is going to last.  It might be worth it to contact the appropriate department that handles your husbands loans and see what they suggest.  Also, see if you can defer the loans based on economic hardship.  I've had to do this quite a bit over the years.  The good thing is I then get time in which to figure out how in the world I can pay them back and at the same time I don't have to make payments just then.  The bad part is if you don't make any interest payments then the interest accumulates, however, if you don't have the money to afford the payments it's a good step to make.  After all, you don't want to default on these loans.  When I was looking into consolidating my loans 2 years ago, I looked at Sallie Mae and Nelnet.  I ended up with Nelnet and couldn't be happier.  There was only one loan that couldn't be consolidated, but it just moved to Nelnet and I pay that in with my consolidated loans.  The great thing with Nelnet, is when I signed up they had a program where if you pay direct deposit they will decrease your interest rate by .25%.  Hey every little bit helps right?  I thought so.  Also, I signed up where if I make 36 ontime payments, then my interest rate is lowered an additional 1% for the lifetime of my loan IF I continually make ontime payments.  One more year and my interest lowers by that 1%.  Hey, again every little bit helps.  Plus with it coming out of my checking account every month I don't have to worry about it ever being late.  OH, the only downside with this program (saving the 1%) is that if I have to defer for any reason, then I would no longer qualify for my interest rate being lowered by 1%. I hope your hubby finds a good solution.  This has got to be so frustrating.

Thanks, it is frustrating!  I found out the government suspended it due to the economy.  No one past April 30 will be able to get their loans consolidated.  They will relook at it at the end of the year to see if they can bring it back.  I'm actually contacting a credit councelor here to see if he knows any good solutions.  thanks for the info on Nelnet though, I'll have to look into it. Holly

Hey Holly, just my 2 cents.. If and when you decide on a persona loan, know the following; 1.) Student debt can never be included in a bankruptcy 2.)Banks - have the power to change the interest rate at their will, and it can get as high ad 14%. even on a student loan. If you are taking a bank loan, make sure you ask all the questions.. like variable rates, penalties, deferments, etc... This could get worse for you if you don't do your homework... GOOD LUCK !!