Student Loan Consolidation is the process of combining multiple loans into one new loan with one corresponding payment.  Most federal student loans can be consolidated into a Direct Consolidation Loan without the need of a credit check.  A Direct Consolidation Loan is a federal loan made by the U.S. Department of Education that allows you to combine one or more federal student loans into one new loan. As a result of consolidation, you will only have to make one monthly payment on your federal loans and the amount of time you have to repay your loan will be extended.

 

Even defaulted federal student loans can be consolidated if certain requirements are met.    Generally, you cannot consolidate an existing consolidation loan again unless you include an additional Direct Loan or FFEL Program loan in the consolidation. However, under certain circumstances you may reconsolidate an existing FFEL Consolidation Loan without including any additional loans. Repayment of a Direct Consolidation Loan can begin 60 days after the loan is disbursed, or sooner. The repayment term ranges from 10 to 30 years, depending on the amount of your consolidation loan, your other education loan debt, and the repayment plan.

 

A Direct Loan Consolidation can be a great option for many former students because it usually results in a lower monthly payment, lower interest rate and only one convenient monthly payment to make.  As with any with any loan extension however it may result in a higher total amount of interest paid over the life of the loan since the term is usually extended.  It is always important to weigh all options before making a decision.

All of the student loan consolidation programs available are directly provided by The Department of Education.

 

 

To find out more information on qualifying for a Student Loan Consolidation, Call Today for complete details (888-672-1151)