Comments on: Getting a Lower Rate from Sallie Mae

By: Michael Lux

Michael Lux — Wed, 09 Jun 2021 17:18:42 +0000

That sounds really unhelpful. Also inconsistent. If your account is “ineligible” then it means that there are accounts that are eligible.

Sometimes the best approach is to hang up and call again. Hopefully, the next agent you speak to will be more helpful.

By: Esther Young

Esther Young — Tue, 08 Jun 2021 19:04:24 +0000

I wanted to post a picture of the conversation I had with the agent.
I asked him about a rate reduction program and he said “sallie mae does not reduce rates” and I asked him why and he said my account was ineligible. I asked him why my account was ineligible and he said “because it is” and I kept asking and he kept saying that sallie mae doesn’t offer rate reductions.

By: Michael Lux

Michael Lux — Fri, 19 Feb 2021 00:42:51 +0000

In reply to Mary C Connolly. Mary, I'm bummed to hear that it hasn't worked out for you. I'd encourage you to file a complaint with the CFPB. If you are doing your best to work with your lender and they won't help at all, a CFPB complaint might get you some results. If nothing else it will put your situation in front of someone else at Sallie Mae who might be more willing to help. Good Luck!

By: Mary C Connolly

Mary C Connolly — Thu, 18 Feb 2021 23:13:32 +0000

I tried everything suggested in the article with no luck. I was just bounced around among customer care to collections (after much convincing) back to customer care when the collections woman decided she was done with my call. I asked about the rate reduction program but got the same dismissal (They only handle accounts that are past due). I shared that I would rather not allow my loans to get to the point of past due and that I am significantly struggling to meet my payments. Basically told me that I’m SOL.

In my last ditch effort I asked if SM does anything to encourage their loan holders to stick with SM rather than refinancing to which the rep said his hands were tied.

Guess I’ll just continue drowning in my debt while making 0 vertical life moves. Thanks Sallie Mae.

By: The Student Loan Sherpa

The Student Loan Sherpa — Wed, 08 Jul 2020 18:44:12 +0000

In reply to Julie Wolfe Turner Lynch.

Great question. The answer is probably not. Most rates are determined via an underwriting formula, and at most lenders the call center representatives don’t have the authority to change rates.

Your best bet is probably to shop rates with other lenders. Shopping around has several advantages, including helping you find the best rate: https://studentloansherpa.com/shop-private-student-loans/

If another lender beats the Sallie Mae rates, you might go back and ask them to match. (This article explains the strategy: https://studentloansherpa.com/tip-negotiating-lenders/)

By: Julie Wolfe Turner Lynch

Julie Wolfe Turner Lynch — Tue, 07 Jul 2020 12:52:30 +0000

Can I get the interest rate reduced at the application stage? They have given my interest rate options, but I would like to negotiate them down. Is that possible?

By: Petey

Petey — Tue, 24 Jul 2018 11:05:26 +0000

Tina – I’m a few months into my second year in the rate reduction program, and I’ve talked to 2 reps who have told me that it can be renewed on a yearly basis with the interest rate increasing by 1% each year. So my 1st year was at 1%, this year is at 2%, and next year I’ll be able to renew at 3%. I’m not sure what the max is, or how many more years I’ll be able to do it, but never give up! If you talk to 1 person who isn’t cooperative, don’t be afraid to ask to speak to someone else! The absolute *last* case scenario is to stop paying altogether, which of course will hurt your credit, but as long as you have shown a good faith effort to repay (have at least 2 years or so of repayment history), and can prove that paying the full amount would be a hardship, you have a good chance of taking them to court & settling for *WAY* less than your outstanding balance. If I’m not allowed to renew after my 3rd year, I’ll just stop paying outright, & put the amount I would have paid SM into a high-yield savings account, so I’ll still be able to save up & purchase things that normally require credit. I say all this just to say don’t lose hope – you still have options!

By: The Student Loan Sherpa

The Student Loan Sherpa — Tue, 24 Jul 2018 11:00:48 +0000

I heard about Sallie Mae splitting into different companies (I wrote an article about it when they first announced it) It is really terrible that their restructuring of their business has had such a negative impact on you. It doesn’t seem right. Did they explain why your payments increased? That seems strange.

By: $9472795

$9472795 — Tue, 24 Jul 2018 10:58:51 +0000

I had an income based repayment plan in which all the payments went to interest, nothing went to principle; I called them and expressed my disgust at this giving them free money, while doing nothing to reduce my debt; finally after I sent multiple angry, pointed emails I talked to a very nice lady, Michelle who told me she was in the ‘elevated accounts department’ or something like that; she and I agreed to a short term forbearance which she assured me that would be retroactive, they would take off my interest that had been charged for the missed payments, and all would be well for a couple of months. What she didn’t tell me until I asked, was all this ‘happiness’ cost another $10000.00 for a short 4 – 5 month forbearance; and then even after I agreed to that; a week later, on the same day I received 2 emails; first one stated that ‘due to receiving more information, we have changed the terms of your forbearance to only June and July past’ and second email, stating that since I hadn’t paid anything since June, I was now receiving my first delinquency notice.
After sending another pointed email to Sallie Mae, pointing out that I had not agreed to any new changes in the terms of my loan, they can’t arbitrarily do that, they admitted they had screwed up, and apologized for ‘any confusion their error had caused me.’
So, they erred (twice actually), they admitted their error, but refuse to adhere to their original forbearance agreement, and immediately have charged me interest again, etc…I received an actual monthly mailing in which they suggested I set up an automatic payment plan of almost $500 monthly for my convenience of course.
My view is they want my money, I want a reasonable hope of paying off my loan with an affordable payment; they keep quoting their company policies, without any negotiating, or thinking – I’m tired of jumping through hoops – they want my money, they do it my way – I’m self-employed; so it’s going to be a little bit harder for them to garner my wages I think. . .
Also,
My lawyer is currently looking at this –

By: The Student Loan Sherpa

The Student Loan Sherpa — Fri, 11 Sep 2015 21:30:00 +0000

In reply to Josie Lesinski. Josie, I doubt that they will let you on the rate reduction program as it is designed for people who are struggling to keep up with their minimum payments, and you don't technically even have a minimum. That being said, the fact that you are on top of things before you even graduate is awesome. Paying down the interest as it accrues is something that every student should be doing, but nobody does. Keep up the good work!