Tobacco settlement bonds are the target of refundings as the high interest
rates on older debt can be replaced with lower cost debt via the refunding mechanism helping to drive returns.
Not exact matches
One major question
on Wall Street is if the long - term downtrend in
rates has now reversed, how will the government pay for all of this new
debt on top of the
old debt?
While we still expect the Fed to start normalizing its balance sheet this year, the economic cycle seems to have peaked, and with the mountain of
debt still
on the back of basically all developed nations, it's hard to imagine interest
rates back at the «
old normal» of 4 - 5 % anytime soon.
Cars will also lose value over time, unlike most homes, so high interest
rates and monthly payments
on an
older car can also leave a consumer paying more in
debt than their car is worth — known as being «upside - down.»
When you refinance student loans, you're essentially repaying your
old student loan
debt by taking
on a new loan with fresh terms — including a new loan length, interest
rate and monthly payment.
The most common scenario is when you can get a lower interest
rate on the new
debt compared to the
old one.
Unlike a credit card consolidation loan, you won't be taking
on new
debts to pay off
old ones, and unlike a
debt settlement arrangement you won't be irreparably damaging your credit
rating.
Even though the
rate of interest for government
debt consolidation loan is the weighted average of the interest
rates of
old loans — there is almost no interest
rate reduction — you still can switch lender that offer a better discount
on loan interest
rates and a better rebates
on other fees.
If you are a borrower stuck paying high interest
rates on old federal and private student
debt, Education Success Loans is a great option.