| If you have a ton of student loan debt, then you can | | | | your repayment schedule. As any financial advisor will |
| benefit from student loan consolidation almost | | | | tell you, a savings of just a percent or so on your |
| immediately. If you are like many recent college | | | | loans can yield a huge decrease in the total interest |
| graduates, you have amassed a big load of student | | | | paid over the course of time. |
| debt and may be just now entering the repayment | | | | You can also pay for your student loans over a longer |
| phase of your agreement. Or perhaps you have been | | | | period of time. Paying for longer than the original plan |
| out of school for several years and are finding it | | | | that you had established with your previous lender will |
| difficult to keep any money in your wallet once you | | | | reduce the amount of money that you will be required |
| have sent off your student loan payments each | | | | to pay each month, leaving you with more money at |
| month. Loan consolidation can work very well for most | | | | the end of the pay period or at the end of the month |
| grads and you can get almost immediate relief from | | | | to meet your other financial obligations. Best of all, by |
| huge payments that are eating a chunk in your monthly | | | | making your student loan debt more affordable, you |
| take home pay, leaving you very little left to meet your | | | | can help protect yourself from negative impacts that |
| other bills. | | | | might be realized if you should become in a default |
| Protect Your Credit Rating | | | | status with your lenders. |
| Student loan consolidation is not a very complicated | | | | Avoid Default |
| process. A student loan consolidation servicer will take | | | | Going into default on your student loan obligations can |
| the many student loans that you have and combine | | | | have serious and long term negative consequences on |
| the total balance due on each one into one single loan | | | | your credit score, which is used to determine your |
| that has one payment each month. This new loan can | | | | creditworthiness. One mistake now can leave a nearly |
| be written under friendlier terms that better suit your | | | | immovable scar on your credit file that can last for |
| income and needs. Student loan consolidation is a fast | | | | years into the future. |
| way to reduce your monthly commitment to your | | | | In addition, student loans are one financial obligation that |
| student loan debt while allowing you to retain your | | | | even bankruptcy cannot erase as federal student |
| credit rating and avoid defaulting on your loan | | | | loans are not subject to discharge under the |
| obligations. | | | | bankruptcy code of the U.S. And if you owe the |
| Negotiate For Better Terms | | | | federal government money in the form of unpaid, |
| By consolidating your student loans payments under | | | | defaulted student loans, the government can seize any |
| one loan, you can negotiate for better terms than you | | | | refunds that you might be entitled to when you file |
| currently have with your existing loans. These | | | | your income taxes, and they can garnish your wages. |
| improved terms include a lower interest rate in most | | | | Student loan consolidation can put an end to all of |
| cases that will offer you big savings over the life of | | | | these fears. |