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Paying off students loans


BG2008
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I have a silly amount of student loans that I need to pay off in order to qualify for a mortgage.  Arr, such is the life of running your own business.  The amount is a few thousand dollars.  The interest rate was low and I kept it to help lower my taxable income.  I am in the process of qualifying for a mortgage and the underwriting process requires that I pay off the loan to lower my monthly payments given that there is only 1.5 years worth. Navient is my processor and I have been to the website.  It doesn't seem like the payoff process is cookie cutter and I have read that the pre-payment process can be kind of tricky.  Has anyone had experience?  Do I need to call them?  These automated processes doesn't make it easier when you need to do something like pay off the entire balance.     

 

I have the same question for paying off an car installment payment through Honda Financials.  If anyone has experience with this, your help will be greatly appreciated. 

 

Thanks in advance. 

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You're a financially savvy guy, so what I'd suggest if to read your loan contracts. Each contract should have a clause that adresses pre payments. I've had experience talking to people on the phone and they would either not be familiar with details or would give information contradicting what's in the contract. The people you get to talk to are not very experienced or well paid.

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Oh man. Good luck. Went through this nonsense is 2013. A year removed from college and self employed. The magic equation didn't work unless I got rid of my $700 a month car lease. The catch was I needed to show proof I owned a car. Ended up having to buy out the lease early and then buy a $5,000 used car so we could substitute to $700 with a $0. Lease buyout was $5,500 as well. Didn't have student loans but can relate to the bs of having to make the equation work even when you can clearly afford it. Normally I'm incredibly sensitive to making the right financial moves, but when it comes to buying your home, especially the one you plan to live in, and raise a family in for the next 20-30, just make it work.

 

 

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