Student Loan Consolidation - What you should know

Student loan consolidation offers a way for students to simplify the repayment process of their loans. The process works by allowing you to roll several loans into one larger loan. There a number of advantages related to student loan consolidation.

Advantages of Student Loan Consolidation

• Lock in your interest rate
• Reduce paperwork
• Take advantage of a fixed interest rate
• Bundle loans together-create one lender and one monthly payment
• Lower monthly student loan payments

Types of Loans Eligible for Student Loan Consolidation

• Federal Subsidized and Unsubsidized Stafford Loans
• Federal Perkins Loans
• Federal Direct Subsidized and Unsubsidized Loans
• Federal Supplementary Loans
• Federal PLUS loans
• Federal Direct PLUS loans
• Health Professions Student Loans
• Federal Nursing Student Loans

Student Loan Consolidation Repayment Options

There are a number of repayment options available for student loan consolidation. Terms range between 10 and 30 years and include the following types of payments:

• Standard-Features a fixed monthly payment
• Graduated-Payments are smaller at the beginning of the loan term
• Income Sensitive-Features payments which can be adjusted annually based on income

Student Loan Consolidation-How to Get Started

The first step in getting started is to take an inventory of all your current student loans. Find out what type of loans they are, the amount of each loan, who holds the loan and the current status of each loan.

The next step is to get an idea of your budget and how much you realistically believe you can afford to pay each month. This is important because it will help you determine how long you should extend the term of your loan.

The final step is to make contact with a lender and begin the application process. Studentloans.info can help you get started with the process today. If you are not sure whether you are eligible for a student loan consolidation, keep in mind it is always a good idea to check and find out anyway. We can help you quickly determine your eligibility status and complete an application.