What you pay vs what’s applied
Printed From: CanadaStudentDebt.ca
Category: Other Topics
Forum Name: Describe your Debt Load!
Forum Description: Post stories of your debt and how it affects you and your family
URL: https://www.canadastudentdebt.ca/forum_posts.asp?TID=3904
Printed Date: 26/March/2026 at 10:42pm
Software Version: Web Wiz Forums 12.07 - https://www.webwizforums.com
Topic: What you pay vs what’s applied
Posted By: SusanfromAB
Subject: What you pay vs what’s applied
Date Posted: 01/November/2006 at 5:23pm
|
How about this...I was just looking over my student loan payment history and have made a SHOCKING discovery. On my provincial student loan: Original amount owing = $6173 Current amount owing = $5310 Amount paid on principal = $863 HOWEVER, I have been making payments for over 3 years now, for total of $2314!!!! That's only 37% of my payments that have been put to principal!!!!!!!! I did the same calculation on my Canada Student Loan and, at least on that, the amount applied to principal is 74%. I can't do the same calculation for my RBC Student Loan because they don't send me detailed statements. No wonder it's so hard to pay these loans back! Susan
------------- Hitting them hard! |
Replies:
Posted By: marmar
Date Posted: 11/January/2007 at 5:52am
|
Hi
Just wondering if you had any more info on this, cause it really does seem crazy that one loan can do it but the other can not.
|
Posted By: BigFatherA
Date Posted: 13/January/2007 at 1:03pm
|
Lets see: Principle: $6173 to $5310: average: $5742 Take an average 8% interest: Three years on 5742: $1378 Total paid : $2314 minus interest: $1378 Principal payment: $936 At 9% interest: $764 Your effective interest rate is 8.5% which is typical for a provincial student loan. Welcome to the wonderful world of debt  ------------- BigFatherA Priest & Teacher non carborundum illegitemi est |
Posted By: hunter
Date Posted: 28/February/2007 at 9:55am
|
All I know is that they take whatever you pay them and it goes to interest.
Currently my debt owing is $ 13,000. I pay $ 125 each month and $ 67 goes to interest. At this rate it will take 12 years to pay them.... but hey eventually it will get paid. and I am not losing any sleep over it.... |
Posted By: Southpa
Date Posted: 28/February/2007 at 12:39pm
| Hmmm...my debt owing was approx. $22,000 as of 1997. Since then I've payed out over $10,000 thru personal cheques and income tax refund/GST seizures and now my debt is near $30,000. How much of what I paid has gone into reducing the principle? |
Posted By: SolveStudentDebt
Date Posted: 28/February/2007 at 4:11pm
|
IS this number from a recent statement you received?
------------- Solve Student Debt specializes in solutions for students and graduates in student loan default, and those at risk of defaulting. http://www.solvestudentdebt.com" rel="nofollow - solvestudentdebt.com |
Posted By: Southpa
Date Posted: 28/February/2007 at 7:36pm
| Yes, thats from the most recent statement I received (Feb 2007) from Social Development Canada, actually $29,965.51. I have an earlier statement (2003) from TCH International when it was $24, 526.00. I WAS making payments when I could and all during this time my Income tax returns and GST were being withheld. When I saw my balance owing going UP rather than down I opted to stop paying. I've already posted in this forum about this matter earlier. I don't believe in throwing away hard earned money for the rest of my life for no good reason. Just a word of warning for those who have a substantial debt like mine and can't afford their minimum payment. Any token payments will get swallowed up by the big monster with nothing to show for it at least thats how it seems to be working for me. |
Posted By: SolveStudentDebt
Date Posted: 01/March/2007 at 4:32am
|
Funny as it sounds, you can not go by the numbers that the government provides you. In many cases, their figures are not correct, especially for those accounts that are assigned to a third-party PCA. The government really does immediately know what the collection agencies have recieved as far as payments go.
If you need help, let me know. Johnny ------------- Solve Student Debt specializes in solutions for students and graduates in student loan default, and those at risk of defaulting. http://www.solvestudentdebt.com" rel="nofollow - solvestudentdebt.com |
Posted By: hunter
Date Posted: 01/March/2007 at 5:19am
|
Southpa
Something is not right at all.. I get a monthly statement from SDC as well, and I can see where my payment is going... mostly to interest...but the balance is coming down each month... Ask to see all the paperwork and in detail....something is not right... |