Private Adjustable Loan

Terry got a variable rate on his student loan, so Dave tells him to get it locked in at a fixed rate.

QUESTION: Terry has a private student loan that he got for aviation training. It has a variable rate and the balance is $50,000. Can he convert this to a federal or fixed rate?

ANSWER: No, but you might be able to get a fixed rate. Just talk to them about restructuring it as a fixed rate and getting it locked in and concentrate on getting it paid off. The adjustable rate can be adjusted whenever the bank feels like it, so get it locked in!