Consolidating college student loans advice contact dating eye
Here’s why: when you consolidate federal loans, the U. Department of Education sets your consolidated interest rate as a weighted average of the interest rates of all your old loans, rounded up the nearest one-eighth percent.
But if you consolidate your loans by refinancing with a private lender, you may qualify for a lower interest rate that could save you money both in the short-term and the long-term.
Some borrowers might benefit more from consolidating their federal loans, while others may prefer the savings of private refinancing.Or you may want to pick and choose and leave some loans out of the equation.When you consolidate your student loans, you combine all your separate student loans and pay them off as a single new loan.Some of the highly vetted lenders we currently work with and recommend are: the lenders at the top of your list to see what their customer service is like.Since you'll be in a long-term relationship with your lender once you refinance, you want to make sure that not only their rates and loan terms are good but that they'll respond appropriately when you need by completing an initial inquiry with your top two or three choices.