loans

[amanda6035]

*disclaimer* I did a search, didnt see exactly what i was looking for.....


Oh my flippin god. I havent even graduated yet and I'm dealing with student loan crap. I wont have to start paying until november, because of the 6 month grace period...

Get this crap...I just recently learned when I read in a Suze Orman book (the money book for the young, fabulous and broke - I HIGHLY recommend it) that banks and lenders are freakin THIEVES when it comes to interest.

I have a loan on my car. My payment each month is $444. I have continually been paying $450 ever since I bought the car.

I read that book...and realized that my $6.00 extra each month was going to the damn interest - not the principal. I realize it's only $6.0....but STILL....I think I'm gonna have to start calling them and telling them "put this extra to my principal." I mean, whats the point in me paying more if it's not goign to lower the amount of money I actually pay?

So i just found out that my student loan will be the same way if I do it like that. I'm gonna owe roughly $180 a month. If I decide to send in $200, or $250, how the heck can I force them to put it towards my principal instead.

AUGH! Lenders are so sneaky! OOOh, we loaned you this money so you could do somethign better with your life, and we wanna screw you by taking anythign extra towards the full life interest, rather than letting you pay less because you so generously paid it off early. f*ckers.

Oh. I just re-read the promisorry note, which says "Payments submitted by me or on my behalf (exclusive of refunds) may be applied first to late charges and collection costs that are due, then to accrued interest that has not been capitalized, and finally to the principal amount."

I guess I'm screwed. I guess I wont be paying anything more than EXACTLY what I owe at the time I owe it. *sigh* I was really hoping to pay it off early, at a lower amount.

Does anybody else find this practice by lenders absolutely disgusting? Or does anybody know a way around it?