Fed Financial

Will refinancing my student loans affect my credit rating? I owe $1,900 to Nelnet.?

I read that student loan interest rates will go up 2 percents in July.

Public Comments

1. Consolidating your loans will have no bearing on your credit rating - as long as you continue to pay on a timely basis. If you've missed the lower rates over the last several years, act quickly and lock in a good rate if you can. By the way, I would recommend if you can get away from Numb Nuts, I mean Nelnet, do so. They are a big pain to work with. I have found the Department of Education actually much easiler with Sally Mae a close second. Good luck.
2. no but you can only consolidate them 1 time
3. Yes and no - you should refinance to get a better interest rate, yes. On your credit report, refinancing will show a new loan and the close of your other loans. The amount of outstanding loans will remain the same. It might knock your score a point or 2, but it will recover quickly. Refinance and save some $$$.
4. So long as you do not make many other credit inquiries on other days (i.e. car loan, home loan, credit cards, etc.) you'll be fine.