Hello,
I have been frustrated by my seeming lack of progress on my student loan and have started looking at refinancing. I am currently at 5% and SoFi is offering me a 3.94% fixed rate (variable is also 3.94%). I owe $35k (of $90k) and expect to pay it off in 20-26 months.
The current 5% is a consolidation loan I took out immediately upon graduation and starting work, and I am in year 5 of 25. Due to the amount it was automatically entered as a 25 year term. The best SoFi rate is based on a 5 year term.
Unbury.me is telling me that I only save ~$500 in interest and pay it off roughly 1 month earlier if I refinance. I have had 0 problems with my current loan servicer, so it is kind of hard for me to justify moving, but on the other hand it feels dumb to pass up essentially $500/hour with refinancing.
What would you do?
Thank you!