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Loan Question
So I'm still chipping away at my student loans, work has agreed to pay them off over time. Anyways I got a chunk of cash from work to put towards them. My question is to a pay off a private loan with a high interest rate (6.7%) or throw the entire chunk at my Fedloans that are being dropped to 0% until Sep? Normal interest rate on my Fedloans is quite a bit lower at 3.5%, and I don't have enough in pocket to pay the entire amount off.
A buddy of mine had another question that I'm pondering myself. Taking out a private loan to pay off their federal loans while the interest rate is 0%. I see the benefit in this, but it would also depend on the interest he would get on the private loan.
Private loan amount - 13k, have enough to pay the in full
Fed loan about ~ 30k, would only be able to take that to near half. Hence if I wanted to pay the entire amount a private loan would be necessary going off my buddies idea.
Anyways appreciate any guidance. I'm sure a couple will comment "asking bmw forum for financial advice, smh", but idgaf lol.
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