Education Loan Consolidation – Consolidation Loans are available to most borrowers of Federal education loans. See below for all you need to know to apply;
Program Requirements
Generally, you are eligible to consolidate after you graduate, leave school, or drop below half-time enrollment. Most Federal student loans are eligible for consolidation, including:
- Direct Subsidized Loans
- Direct Unsubsidized Loans
- Subsidized Federal Stafford Loans
- Unsubsidized Federal Stafford Loans
- Direct PLUS Loans
- PLUS loans from the Federal Family Education Loan (FFEL) Program
- Supplemental Loans for Students (SLS)
- Federal Perkins Loans
- Federal Nursing Loans
- Health Education Assistance Loans
- Some existing consolidation loans
Application Process
You apply for a Direct Consolidation Loan through StudentAid.gov.
Once you sign in to Studentaid.gov using your personal identifiers and Federal Student Aid PIN, you will be able to electronically complete the Federal Direct Consolidation Loan Application and Promissory Note. The electronic application on StudentLoans.gov consists of the following five steps:
1. Choose Loans & Servicer
2. Repayment Plan Selection
3. Terms & Conditions
4. Borrower & Reference Information
5. Review & Sign
Loan Terms
Maximum Loan Amount: None
Interest Rate: Weighted average interest rate on the loans being consolidated, rounded to the nearest one-eighth of 1 percent, not to exceed 8.25 percent. For more information of the specific loan terms, please visit the Loan Consolidation home page.
Maximum Loan Length: 10-30 years
Frequency of Payments: Varies
Prepayment penalties: None
Fees: None
Contact Information
For more information, visit the Federal Student Aid Loan Consolidation page. Or Visit the StudentLoans.gov Contact Us page.
Additional Information
| Max Loan Length | 10-30 years |
|---|---|
| Interest Rate | Varies, does not exceed 8.25% |
| Payment Frequency | Varies |
| Prepayment Penalties | None |
| Fees | None |
Leave a Reply