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Likewise, I received tons of offers in the mail to consolidate my loans for a lower interest rate. Well, I only had ONE large loan. I was told, NO. I think that's because they take an average of your current loan interest rates to determine your new interest rate...... or it was the lowest interest rate of your current rates. Either way, if you only have ONE loan, you only have ONE rate to average. Anyway, what I ended up doing was refinancing the loan & ended up paying less monthly..... but actually higher interest & more dollars & time in the long run...... a really temporary fix for an enduring problem, huh? :(
ADDED:
it is indeed the weighted average. By consolidating your one loan you got a longer repayment period...in other words...more interest.
Consolidation refers to the fact that to consolidate more than one loan.
Wiki User
∙ 8y ago
Wiki User
∙ 14y agoMaybe. The Dept. of Education guidelines state that you must attempt to consolidate your loans with your current lender before you are elligible to consolidate elsewhere. 95% of lenders will not consolidate student loans right now because they can't sell them on the bond market. If your lender refuses to consolidate your loans, you can get help at www.defaultms.com
No.
Wiki User
∙ 13y agoEffective July 1, 2006, married students are no longer able to consolidate their loans together. If married students consolidated their loans together, each spouse became responsible for the full amount of the loan, and the loans could not be separated if the couple got divorced.
Wiki User
∙ 12y agoStudent loan consolidation is a wise choice if you are having a little trouble making your current monthly payments. Student loan consolidation allows you to reduce your monthly payment by as much as fifty percent in some cases.
Wiki User
∙ 12y agoit is not always wise to consolidate student loans. It may be easier for you to do this if it is a considerable amount. However, if the money is not that much, just continue with it as you are currently.
Wiki User
∙ 8y agoA student loan consolidation combines all of your federal student loans into one loan with one monthly payment. The interest rate is a weighted average of the interest rates on each individual loan. With a student loan consolidation, you are not reducing your rate, but rather just simplifying your bill-paying process. You can consolidate your loans in just 30 minutes on StudentLoans.gov.
A student loan refinance, on the other hand, is where a private lender combines your student loans and gives you a new, hopefully lower, interest rate. If your credit is good and your interest rate is lowered, you will save money with a refinance. A refinance can also combine all of your loans, not just your federal loans. Keep in mind, though, that with refinancing you will lose the option for student loan forgiveness programs. To start the process of refinancing, you can comparison shop different private lenders.
Wiki User
∙ 14y agoYes, you can. There is no income verification or credit check with consolidation. If you need help with the consolidation process, this company can assist you: www.defaultms.com
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Where can one consolidate their Federal Student Loans?
One can consolidate their Federal Student Loans from the following sources: Debt Free Direct, Consolidation Loan Centre, Student Aid, Loan Consolidation, Fin Aid.
Can you consolidate three separate consolidated student loans at different institutions into one student loan?
depends on where the loans are from.
Are there any websites offering information on how to consolidate student loans?
A student loan can be a heavy burden for a student to bear and more than one student loan can prove to be unmanageable. To get information about student loan consolidation you can go to smarterschooling.com/DebtConsol
Where can one obtain information on student loan consolidation?
You can obtain information on student loan consolidation from the U.S. Department of Education's Federal Student Aid website, your loan servicer, or financial aid offices at your school. These resources can help you understand the process, options available to you, and eligibility criteria for consolidation.
How can one achieve debt consolidation on their student loans?
Student Loan repayments can often blindside a graduate. Consolidating these loans is often not a viable option due to restrictions on these debts. Those looking to consolidate student loan debt should contact firms such as Chase, NextStudent, Wells Fargo or Student Loan Network.
Where could one find help to consolidate student loan debt?
The US Department of Education offers programs to help consolidate student loan debt. Also some banking institution offer solutions that can help people as well. The banker may be able to do this directly through their institution or give other suggestions where he or she can look.
What is the best student loan?
It depends on where you are. In some countries, there is only one real 'student' loan; in others they are just another form of standard loan.
How can one get a consolidation student loan?
"There are several ways one can get a consolidation loan. In the United States, there is a Federal student loan consolidation program that allows students to consolidate Stafford loans, PLUS loans, and Federal Perkins Loans into a single debt. One can also attain a consolidation loan through a private lender. However, the terms vary from lender to lender such as forbearances and deferments."
Can a cosigner for a loan be relinquished from repaying the loan?
Only one way, have the borrower consolidate the loans without you being a cosigner. Then the original loans are paid off, and a new loan is made in only the borrowers name.
Where would one consolidate student loans?
Almost all federal student loans can be consolidated under the Direct Consolidation Loan program. They offer multiple repayment plans and fixed interest rates. Private student loans that do not qualify for consolidation under the Direct Consolidation Loan can be consolidated through separate programs such as NextStudent, Student Loan Network, and Wells Fargo.
Is it good to consolidate student loans?
One the the pros of consolidating a student loan is the possibility of paying it off much faster. A big con is thinking you can pay it off but cant therefore obtaining more interest.
What does student loan consolidation mean and how can that help you?
Student loan consolidation allows someone that is receiving multiple student loans to consolidate all the loans into one big loan. It helps students because it allows them to pay one payment monthly instead of several.
