Those that have a wage garnishment must first go through rehabilitation before being eligible to consolidate.
By consolidating, can I take advantage of Income-Driven and Forgiveness Plans if I’m eligible? This is often one of the best reasons to consolidate your federal student loans.
This eliminates the nightmare of juggling multiple payments at different interest rates.
This may lower your monthly payment (but may also increase the total amount you pay over the longer term).When will I begin repayment on my consolidated loan? If any of your current student loans are still within their grace period, you can delay repayment on your newly consolidated loan until your grace period end-date.Because federal consolidation doesn’t change your rate, if you are a highly creditworthy borrower, you may want to consider private consolidation or refinancing.Will federal consolidation change my repayment options?And needless to say, it’s important that you get it right!
Besides being able to organize multiple loans into a single monthly payment plan on one interest rate, loan consolidation refinancing gives student borrowers access to flexible repayment plans, and in many cases, a lower interest rate.
Further, not all federal loans are eligible to enroll in all income-driven plans. You can also call 1-844-311-1699 to talk to a company focused on assisting borrowers.
For example, Parent Plus loans are only eligible for Income-Contingent Repayment (not IBR, PAYE, or REPAYE programs). There is no application fee for federal student loan consolidation. Am I eligible for private student loan consolidation?
In this case, you cannot re-consolidate unless you have added another federal student loan to your total loans since then.
Can I consolidate my student loans if I’m currently in default?
Student loan consolidation is an effective way to reorganize student debt when a person has multiple loans to deal with.