So I just refinanced about 38k over 5 years at 4.7%. What makes my situation unique, and I didn't take into account, is my company has a benefit where they pay $250 a month on the principal as long as I make my minimum payments.
So up to a certain point, this $250/m benefit outweighs the additional interest on a longer loan term. What I should have done is a 15 year loan as this would result in the lowest overall cost to me, and would take 7.6 years to actually pay off. Additionally, the lower payments would enable me to invest more each month in my growing mutual fund which I'm using to save for a house down payment.
My question is: I plan on moving into a new apt in a few months and don't want to risk my credit. It's currently 700ish and I'm not quite sure what the impact would be if I refinance my student loans out to that 15 year term. Do you think I should refi and risk the hit on my credit? Or maybe wait a few months to refi?
My analysis overview: https://i.imgur.com/0ORKy2f.jpg
Thanks!!!
Submitted February 12, 2019 at 08:28AM by timopod5 http://bit.ly/2GDDzh9
