questions & answers

What is the Difference Between Interest Rates and APR?

By College Raptor StaffLast updated on December 22, 2022

Despite what some well-meaning people may tell you, there really is a difference between an interest rate vs APR (annual percentage rate). Understanding this difference is important. You don’t want to make any mistakes when calculating your loan costs.  Interest Rates An interest rate is essentially the cost of borrowing money for a particular length of …

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Should You Refinance Federal Loans With A Private Lender?

By College Raptor StaffLast updated on December 22, 2022

The main reason borrowers choose to refinance their loan option is to negotiate new terms with the refinanced loan. Some borrowers choose to refinance to take advantage of current lower interest rates. Others may choose this option because are struggling with their existing loans and looking for a way to lower their monthly payments. Refinancing …

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What Does It Really Mean To Have “Financial Need?”

By Hilary CairnsLast updated on December 22, 2022

You probably see a lot of documents, articles, or websites talking about “financial need,” especially when it comes to FAFSA, student loans, and scholarships. However, there is a bit more to financial need than you may realize. This is a quick run down dispelling some of the myths and explaining the terms that surround demonstrated …

questions & answers

What Does Student Loan Origination Mean?

By College Raptor StaffLast updated on December 22, 2022

Many students going to college end up taking out student loans. When you apply for a student loan, lenders process your application before it can be approved. In industry terms, this is known as student loan origination. Origination Think of the root word “Origin.” This is a brand new loan, created by the lender for …

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How Much is Too Much for Taking Out Student Loans?

By Allison WignallLast updated on December 22, 2022

College can be expensive, and that means that many students are forced to take out student loans to cover the costs. However, that also means that someday, they have to repay their loans. Overwhelming student loan debt is a very real fear students and families have. It seems like everyone has a horror story associated …

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How Long Does it Take to Get a Student Loan?

By College Raptor StaffLast updated on November 27, 2023

  The processing and disbursement times are different for federal and private student loans. It takes around 1 to 3 weeks to get a federal student loan. It takes around 2 to 10 weeks to get a private student loan. How long does it take to get a student loan? That’s a question on all students’ minds as they fill …

questions & answers

Can I Consolidate Federal and Private Loans?

By Hilary CairnsLast updated on December 22, 2022

If you’re taking out both federal and private loans, you may be wondering if you can consolidate federal and private loans after graduation. Here’s what you need to know about your options, consolidating, and refinancing. Yes, You Can Consolidate Federal and Private Loans! Although it wasn’t an option for years, you are now able to …

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Can I Negotiate A Lower Student Loan Interest Rate?

By College Raptor StaffLast updated on December 22, 2022

The thought of being able to negotiate a lower student loan interest rate sounds tempting. Unfortunately, this tactic is not always fruitful, especially with federal student loans. The interest rates on federal student loans are set every year by the federal government and cannot be negotiated. The rate changes every year but once it is …

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How Often Do Student Loan Variable Rates Change?

By College Raptor StaffLast updated on December 22, 2022

In variable rate loans, the rate of interest fluctuates and changes several times over the lifetime of the loan. This is because variable rate loans are tied to market interest rates. Variable Rates and Market Trends When market conditions are bad, lenders reduce short-term interest rates to encourage lending. When this happens, the rate of …

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What Are Interest-Only Repayment Plans?

By College Raptor StaffLast updated on December 22, 2022

In an interest-only repayment plan, borrowers pay back only the interest that accrues on their loan every month. This is unlike standard repayment plans. Monthly payments are used to cover a part of both, interest as well as principal. While there are some benefits to choosing interest-only repayment plans, there are also a few downsides …