Who do i contact about consolidating my student loans
When you apply for a Direct consolidation loan, you will want to continue to make payments on your federal student loans right up until you receive notice from your federal student loan servicer that your loan has been paid off.
It is not a bank advertiser's responsibility to ensure all posts and/or questions are answered.This article contains references to products from one or more of our advertisers.We may receive compensation when you click on links to those products.The loan rate you will pay is based on the weighted average of the interest rates on the federal loans that you consolidate, rounded up to the nearest one-eighth of 1%.Once you consolidate your federal education loans into a Direct consolidation loan, there is no going back.When you consolidate your loans into one new loan, all your previous student loans are paid off.
As you pay down your student loans, it’s a good idea to keep track of your credit score.
Understanding the differences will help you determine the best choice for your individual situation.
Both options may help reduce monthly payments through interest reductions (Private) or by utilizing Federal Income Based Repayment plans (Federal).
We are asked every day “is there really such a thing as loan forgiveness”. However it doesn’t work the way most people think that it does.
If you’re having a tough time juggling multiple student loan payments, consolidating them may be the way to go. If you have questions about consolidation before you apply, you can contact the Education Department’s Loan Consolidation Information Call Center at 1-800-557-7392.
There are no prepayment penalties with a Direct consolidation loan, so feel free to pay more when you have the extra cash — it’ll help you save on interest. According to the Education Department, federal loans eligible for a Direct consolidation loan include: Subsidized and unsubsidized Direct loans, subsidized and unsubsidized Stafford loans, Direct PLUS loans, PLUS loans from the Federal Family Education Loan (FFEL) Program, Supplemental Loans for Students (SLS), Perkins loans, Health Education Assistance Loans (HEAL), federal nursing loans and some existing consolidation loans.