Getting a loan from Sallie Mae Good or Bad?

Sallie Mae Student Loan Advice?

• I am in sort of a problem. I originally started attending school at a college and had my loans deferred until I graduated. I switched schools to a school that was "authorized" or whatever to let student use sallie mae. This school I am going to IS a Sallie Mae school. So, when I took out the loan for that school I started getting bills for repayment. I am still a student, yet, since this school uses the career training loan, I guess the loans for my other school can't be deffered for whatever reason. Now I am stuck paying the loans while I am still in school. I figured that since Sallie Mae offered loans for this school, I would still be in deferment. NOPE not the way it works I guess. They want me to pay back my other loans right now and make $10 monthly payments on this "career training loan", so I was wondering If I somehow reach a different monthly payment plan for my old loans, can I still borrow to finish this school? I do make my payments and I am not ditching them.

• Answer:

  Repayment: * You may take up to 15 years to repay your loan. * With the standard repayment option, you make level, monthly payments of principal and interest. The minimum monthly payment is $30. * With the interest-only repayment option, you make interest-only payments while you are in school and begin standard repayment of principal and interest once school is completed. * With the $10 deferred repayment option, you may defer payments for up to 12 months, not to exceed the anticipated graduation date on the application. You are required to make a $10 monthly payment during deferment. This $10 payment will be applied toward the interest that accrues on the account during deferment. After deferment, you will begin standard repayment of principal and interest. So, there it is, you have been offered the 12 month deferrment because you are still attending school. But they require $10 a month during deferrment. After the 12 months is up you'll be increased to the minimum of $30/month. This isn't a bad deal. You WANT to try to pay down these loans while you're in school or you'll never get out of repayment when you're done! Even if you're still borrowing, try to make these payments.