So DH's loans will be in repayment soon, I think first payment will start in August. A couple months ago they asked for payment preferences and he chose the longest possible, 25 years. We both don't like the amount the loans will end up costing us. I was hoping Sofi would give us a better rate but the overall rate isn't that much better. I am not sure why since he has good credit. Not sure if it's because we just moved one credit card with a high rate (15.99%) to a new card with a zero rate for 18 months to get it paid off faster. I currently have higher credit than him, so I could potentially cosign to get a better, but is that even a good idea? Here is what the various scenarios look like. Can you guys help me figure out what to do? Obviously all of this can potentially be shorter once the high interest debt is gone and we can make larger payments, but I just want to make sure we can also manage the payment in the short term and if we end up not paying them off early for some reason.
As currently financed:
Current Rate Pmt Total Paid
Loan 1 $16,087.77 6.80% 112.98 $33,894.00
Loan 2 $15,497.40 6.80% 108.86 $32,658.00
Loan 3 $7,683.49 3.86% 40.25 $12,075.00
Loan 4 $13,381.91 4.66% 76.28 $22,884.00
Loan 5 $3,224.10 4.29% 17.68 $5,304.00
$55,874.67 $356.05 $106,815.00
Refi with Sofi:
Total $55,874.67
5 Year- Pmt - $1,064.04 Rate - 5.375% Total Paid $63,842.40
7 Year- Pmt - $809.56 Rate - 5.750% Total Paid $68,003.04
10 Year - Pmt $627.07 Rate - 6.240% Total Paid $75,248.40
15 Year - Pmt $486.42 Rate - 6.490% Total Paid $87,555.60
20 Year - Pmt $424.51 Rate - 6.740% Total Paid $101,882.40
Should we just leave them alone and try to pay off early? Or should we take one of the refinance options? The only one that would work due to the payment size is potentially the 15 or 20 year.
I was really hoping to get a better rate from them.
Should I cosign? Wait a few months to see if he gets a new job making more money? Any other options I may be overlooking?