It Is Possible To Keep Carefully The RePAYE Interest Subsidy if You Prepay Your Loan?

It Is Possible To Keep Carefully The RePAYE Interest Subsidy if You Prepay Your Loan?

My Prepayment Test

Now all of this information failed to fall into line in what others regarding the WCI Forum did actually think about prepaying loans under RePAYE. Therefore, we place prepaying to your test:

  • Present Principal: $149,734
  • Interest at Starting of Test: $1,864
  • Daily Interest Accrual at 5.5%: $22.56
  • Monthly Interest Accrual at 5.5per cent: $676.88 (thirty day period)
  • Monthly Interest Accrual at 2.75per cent: $338.44 (1 month)

According to my day-to-day interest accrual plus the information given by the FedLoan Servicing employee, we paid $30 (to make sure I had been over the interest accrual on any given day) at three various points into the month-to-month loan period.

We paid $30 for a random time to see if your whole $30 would get towards the principal, if $22 would get towards the interest from that time and $8 would go right to the principal, or if all $30 would get toward the attention. Read more