What do you think of this?

S

Shelllz

Guest
Hi guys I just want to check to see if this is a good deal or not!

I'm a post grad student undertaking a masters as I won't be able to work while studying I need to take out a loan to cover myself. So i applied to aib for a student loan of 20,000 basically I wanted one of those student loans that you pay back when you're finished your course, so they've offered me the 20 k for 2 yrs with no monthly repayments untill the end of the 2 yrs. The interest for the 2 yrs will be 3870 so at the end of the 2 yrs i'll owe them 23870. Then the 23,870 loan will be restructured into a 5 yr loan and payed off when i'm working.
I just wanted to see what people think of this? If its a good deal or not?! Any advice appreciated! Thanks in advance!
 
Shellz

Sounds ok to me but shopping around is best way to be sure - any of your colleagues with another bank that could ask for exactly the same deal and compare offers?

Also best to use mor descriptive / meaningful titles for Threads to get best response
 
Last edited by a moderator:
Thanks for the replies! and the advice about the thread title! I did think of that myself but when i went back to change it, it wouldnt let me change that part!
Anyway I think i'm gonna go with AIB they seem the most accomodating considering its not the usual sort of loan!

Thanks again!
Shell
 
Hi Shellz
I've been trying to look at calculators for you to work this out, unsuccessfully, however. This is not my forte.
I do not know if this is the best rate you will get, it seems high to me to be honest.
If I were you, I would try several banks, as Badge said.
As you are paying nothing off for the first 24 months, obviously you're going to end up paying more interest than if you were able to chip away at the balance.
Would it be possible for you to get a gradual draw down: ie to minimise the amount of money that you are paying interest on, until you actually need the money (ie no need for 20,000 today, if you n don't need 10,000 of the money until 2009). This would significantly reduce the amount of interest you would pay.
I would investigate this a bit further before you commit to this loan.
Is there anyone who can work out the compounded rate/APR for this loan? (I can't)
Nicola
 
Please read the thread "Please use Meangingful titles" in the How to Use Askaboutmoney forum.

It explains the new process for changing thread titles.

Thanks
 
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