Dept of ed consolidating student loans Free daterooms

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Consolidating your federal loans through the Department of Education is free; steer clear of companies that charge fees to consolidate them for you.

When you consolidate federal loans, your new fixed interest rate will be the weighted average of your previous rates, rounded up to the next ⅛ of 1%.

Your financial history — including your credit score, income, job history and educational background — will dictate your new interest rate when you refinance.

You typically need a credit score at least in the mid-600s to qualify, and rates range from around 2% to more than 9%.

Federal Consolidation Loans allow borrowers to combine any number of existing federal educational loans into a single, more manageable loan. Ford Federal Direct Loan Program (Federal Direct Loans).* Most federal educational loans are eligible for consolidation, including subsidized and unsubsidized Federal Family Education Loan Program (FFELP) and Federal Direct Loan Program Stafford and PLUS Loans, SLS, Perkins Loans, FISL, Nursing Student Loans, Health Education Assistance Loans, and Health Professions Student Loans.

Effective July 1, 2010, all new federal student loans, including consolidation loans, come directly from the U. Private/alternative loans are not eligible for federal consolidation.

On the standard repayment plan for direct consolidation loans, you’ll make equal monthly payments for 10 to 30 years, depending on your total federal student loan balance.

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You’ll save money if your new loan has a lower interest rate.As part of the process, you’ll need to provide details about your existing federal student loans, and choose a federal loan servicer and repayment plan for your new consolidation loan.You have to complete the application in a single session, so do your research before you start.So, for instance: If the average comes to 6.15%, your new interest rate will be 6.25%.Additionally, you’ll get a new loan term ranging from 10 to 30 years.

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