Consolidating private loans federal loans dating timetable intimacy
One situation that is very common is the graduate who has Federal student loans but is just on the standard repayment plan.
If your Federal loans are at 6.8%, and you aren’t taking advantage of any of the special repayment plans, you may benefit by consolidating to a private student loan with a lower interest rate.
This makes repayment and financial management easier.
Depending on your post-graduation experience, it may make a lot more sense to combine your loans together.
The benefits of refinancing your private student loans are typically two-fold.
First, you get a single monthly payment for all of your previous private student loans.
(You can see how your credit standing affects your cost of debt over time using this calculator.) Unfortunately, many borrowers who would qualify to refinance don’t even realize the option exists for federal loans – mostly because it only became available in the past few years.
But as awareness grows, so does the number of borrowers who take advantage of refinancing.