Student Consolidation Loans Site

Student Consolidation Loans

Federal student consolidation loans allow you to consolidate all of your monthly student loan repayments with one single loan repayment.

The federal loan consolidation facility is different to private loan consolidation or credit card consolidation.   Private consolidation loans do not offer the same benefits as Federal loan consolidation and also have different eligibility rules.

Most federal college loans can be incorporated in the federal consolidation process, whether or not they are loans that have been subsidized by the government.

Loans that can be included in the facility are Stafford loans, Health Education Assistance Loans, Federal Nursing Loans, Federal Perkins Loans and SLS. 

It is important to note that private college loans are not eligible for the incorporation into federal student consolidation loans.

To initiate the loan consolidation process, you should start by pulling together all of your existing student loan information. 

The relevant information that you’ll need includes:

-            Your account numbers

-          The type of loan and the lenders’ details

-          The amount of outstanding balance on each of your loans

-          The current interest rates you are paying

You will also need all of your own personal information available, including:

-          address, phone number, email address

-          social security number, date of birth, drivers licence number

-          your current employers details

-          possibly 2 references

Once you have all the above information to hand, you can begin your student consolidation loans process.  First you need to choose a lender.  Federal loan consolidation rules dictate that if your current loans are with a single lender, you must apply to that lender first.

Approaching one of your existing loan providers has the advantage that they will already be in possession of your personal details, so this will speed up the application process.

If you are not sure which lender to go with for consolidation, popular providers would include ACS and Sallie Mae.

To be eligible for federal consolidation loan, the total balance of all your outstanding student loans should be greater than the lenders minimum consolidation loan level. 

Most lenders set a figure of around $7,500 as their minimum.  In most cases you will be able to complete your federal loan consolidation request online.

When you are choosing a repayment plan, you should carefully consider your own personal circumstances and choose a term and monthly repayments that you can comfortably afford.

If you have several outstanding loans, federal student consolidation loans will help you reduce your repayments and save you money.