Who can i talk to about consolidating student loans is it true that morgan man is dating his granddaughter
You can consolidate a single FFEL loan, all by itself, to make it eligible.
Bottom line: if you have FFEL loans and want to use one of those income-driven repayment plans, consolidation is your route to doing it.
So my goal here is to correct that misinformation and show you exactly what student loan consolidation is and when it can help you.
Specifically, we’re going to cover the following: By the end of this post, you will know whether consolidating your student loans is a good idea and how you can get started.
For a quick example, let’s assume you have two student loans. The other has a ,000 balance and an 8% interest rate.
If you consolidated those loans, you would end up with a single ,000 loan with a 6.75% interest rate.
The biggest misconception out there is that consolidating your student loans will lower your interest rate. After consolidating, your new interest rate is the weighted average of all the loans you chose to consolidate.
In other words, your combined interest rate will be exactly the same as it was before.
Only Direct federal loans qualify for the best income-driven repayment plans like Pay As You Earn and Income-Based Repayment.It’s just better to consider any new private student loan a refinance since the main benefit is the potential for a interest rate, and since consolidation has a specific meaning when it comes to federal student loans.Before we talk about why you SHOULD consider consolidating your student loans, let’s quickly talk about what it WON’T do for you.With that out of the way, let’s talk about the main reasons why you SHOULD consider consolidating your student loans.For most people, this would be the main reason to consolidate your student loans.