Private Sallie Mae loan at 17: Struggling with High-Interest Student Loans

Student Loans
1

Ten years ago, under pressure from my parents and with little financial literacy, I signed a private Sallie Mae loan at 17. My parents initially managed the interest with $25 monthly payments. Now at 27, I face a daunting $200+ monthly payment as Sallie Mae demands repayment. The loan carries a steep 9.375% interest rate, and my parents, who co-signed, want to be removed from the loan agreement. They have washed their hands of the situation, leaving me to shoulder the burden alone.

I’m seeking guidance on refinancing this loan. Can I refinance immediately to get a better interest rate and remove my parents as co-signers, or must I first establish a payment history with Sallie Mae? If refinancing is possible now, what are the best options or institutions to consider for a more manageable loan?

1 Like
2

Consider refinancing your student loan to reduce the high interest rate and to release your parents as co-signers. You can compare various lenders such as SoFi, Earnest, and LendKey to find better terms.
Make sure to check your credit score, gather your financial documents, and then apply for the refinance.

You can choose between fixed or variable interest rates based on your needs, and remember that improving your credit score can be beneficial.