College Loan Consolidation – Lead a Debt Free Life

College loan consolidation relieves the students from the tension of repayment of their loans by consolidating them into a single installment and that too at a lower rate of interest. So, it also helps them to concentrate on their studies.Why college loan consolidation?Today’s career conscious students can actually get great help to ease off their burdens of repayment of large amount of their student loans. They can conveniently pay attention on their selected career instead of wasting their sleep over paying the various installments of monthly student loans. College loan consolidation ensures them a peace of mind even when they are in huge debt.When a student applies for different loans from various financial institutions, there are numerous interest rates and long term payment system that comes along with such student loans. The main aim behind a consolidation student’s loan is to combine the various student loans into a single convenient payment loan system. With these student loan consolidation schemes, the students only need to make a single monthly loan payment instead of the burden of several loan fees for each month. Having the features of less credit checks and lower rates of interest make these consolidation student loans all the more demanding and advantageous.Relieving the unnecessary tensionCollege loan consolidation contributes in helping students to focus more on their education and development rather than the debt that needs to be repaid. With a single loan and lower cost of monthly payments, students can enjoy their tension free sleeps. After making a thorough research on the available options in student’s loan consolidation, one can find the best and most beneficial consolidation students loan service provider.Some of the exceptional benefits that are provided while you choose to consolidate student’s loan include:• Payment of the fixed rate of interest- With some of the federal student’s consolidation loans, there may be chances that you would be required to pay a fixed rate for the entire life of the student loan. It is a wise idea to do some research and see the most appropriate rate of interest and the total loan term that you are eligible for.• Lower amount of monthly payments- Depending upon the amount of the student’s loan and the willingness of the lender, students may be able to get the monthly payments lowered up to fifty percent or so.• Extending the total payment time span- With the help of federal consolidation student’s loans, you can avail the facility of extending the repayment period up to a maximum of 30 years or so.• Having easy and convenient loan payments- By taking the option of consolidating student’s loan, the students need to have only a single loan payment for each month and writing a single check. This is highly advantageous in case you are writing various checks each month to several lenders as it can be really confusing as to what amount needs to be paid to which lender?Availing the online optionsInternet has made it easy to approach the lenders who help in a quick student loan consolidation. The World Wide Web contributes tremendously in making convenient the research and finding excellent deals for consolidate student loans [http://www.badcreditokay.net] with a few mouse clicks. You can get latest quotes and compare different interest rates and quotes of several loan providers and that too without wasting your efforts as you need not waste any money and time in visiting each and every consolidation loan service provider.

Consolidating Your Medical School Loan Debt

While for most people the single largest expense of their lifetimes will be their mortgages, those who have to borrow money to pay for a medical school education may be saddled with the equivalent of a mortgage when they graduate, only have no house to show for it. One of the best ways for them to take control of their medical school debt is to consolidate their medical school loans, so that they only have a single monthly payment with which to contend. Medical school loan consolidation payments, as a further benefit, are often lower than the total of the monthly payments of individual loans.While consolidating a medical school loan debt will give you a more convenient repayment schedule, it may also increase the term of your debt. While many medical school loans have relatively short repayment terms, ranging from six to twelve years, a medical school loan consolidation may leave you with a repayment period of up to thirty years. Your monthly payments, of course, will be much lower. But the amount of interest you pay over the term of the medical school loan consolidation will be much, much higher.Making A medical School Loan Consolidation Work For YouYou can, of course, simply pay more each month on your medical school consolidation loan than its terms require. And as you become established as a medical professional and your income rises, you will be able to increase the amount you pay on your medical school loan consolidation even more. But if you decide to adopt this method of repayment, make sure you stipulate in writing with each payment you make that the extra funds go toward reducing your principal, which will in turn reduce the amount of interest you pay with each passing month.Consolidating medical school loans is always a good idea, in particular for those who are still in school or in the six-month grace period which follows graduation. If you apply for a medical school loan consolidation during these periods, you will be offered a lower interest rate than you would if you waited until the end of your grace period. And when you’re first starting out as a medical professional, trying to live on an intern’s salary, the money you save each month from having a single lower monthly loan payment can come in very handy.Medical school consolidation lenders frequently have a variety of repayment options; one of them will factor your income and debt into your repayment plan. With this plan, your monthly payments will increase as your income does.PrecautionIf you’ve used both Federal and private loans to finance your medical school education, you may not be able to consolidate them. And even if you find a lender willing to consolidate them, doing so will cost you many of the benefits of your Federal loans. Federal loan issuers, for instance, will allow you to reschedule payments in times of financial difficulty, but private loan consolidators will not.

Student Loan Consolidation Rates – Vital Factors To Consider Before You Make a Decision

Student loan consolidation rates are often among the very top concerns of someone who finds themselves under the load of numerous debts and loans they’ve taken out to get an education.While I won’t argue that it shouldn’t be a major concern, before I go on, I do want to simply point out that the monthly payments, the length of the loan and any terms or fees should also be factored into the decision to consolidate your student debts into a single loan.Many factors figure into student loan consolidation rates. Is the loan a private loan or is it backed by the Federal Government? Generally you don’t want to combine these as the terms and rates of federal loans are much better than private loans. Which Federal loans you have, or are applying for are also a factor.In the past, a Stafford loan, for example, had an adjustable formula to determine it’s rate. It was tied to the treasury bill, but starting in 2006 a rate of 6.8% became the fixe rate. In today’s climate, many providers of loans will accept a lower margin on the rate than the Federal government entitles them to. They will offer a lower rate in the hopes of attracting your business. It’s impossible to give exact figures as student loan consolidation rates constantly change, just remember that it pays to do your homework and shop around.Also be aware that your credit history can be a big factor in many, but not all loans. Some lenders will offer a break or incentive based on a better credit score. If this is an issue for you, you may want to look for lenders like Stafford that do not base student loan consolidation rates on your credit history. These loans tend to be based on conditions of need rather than credit score and ability to pay it back… for many this is their best bet.Another factor or issue to consider is the “origination fee” that may also accompany the issuing of a student loan. Some institutions may charge up to 4% of the loan total, but in a competitive market may will offer a lower rate. In the case of Federal loans, a portion of this fee goes back to the government to reduce the over all cost of loans. Once again, it pays to shop around as these rate can vary greatly.Beyond the upfront terms and fees, you’ll want to consider what many would call “the small print” in student loan consolidation rates. What sort of fees are charges if you make a late payment? What is the grace period before a collection fee is imposed? If you have a history of struggling with making payments on time, or find yourself in unfortunate circumstances financially these issues can be very important to thing about.Remember that these are not grants and must be paid back. Failure to do so could have real and significant consequences for your financial future. This could affect not only the rates of your student loans, but the rates of any credit you may wind up needing as you progress through life.

Why Go for Student Loan Consolidation?

Most students need to take several loans because of the high cost of education which makes scholarships and grants not enough to cover all expenses. This is the reason why one of the most popular debt repayment options is student loan consolidation.Why consolidation?The main benefit is that you can cut your monthly payments in half, so if you want to spend or save for other things, debt consolidation is your best bet. You also get to have a fixed interest rate. This is a good thing if you time your debt consolidation when rates are at an all-time low. It’s a bad thing when rates go even lower and you are stuck with the same fixed rate.Can you get student loan consolidation for all types of college debts?Basically, all government educational lenders allow consolidation including SLS and PLUS, FFELP, Stafford, Perkins, HEAL, NSL and FISL.If you also have debts from private educational lenders, what are your options?One thing you must remember: do not consolidate your federal debts with your private debts.Private debts don’t have the same privileges as federal debts and combining them together will void these benefits.For your debts from private lenders, discuss your options with your creditors because consolidation of private bank debts depends upon the lender’s discretion.What’s the rate of student loan consolidation?The sum of all your accumulated college debts interest rates is added and the weighted average is computed. This is then rounded up to the nearest 1/8% with a maximum of 8.25%.Consolidated rate can either be lower or higher than your individual debts’ interest rate. You have to weigh your options carefully before opting for consolidation.

The College Loan – A Good Way to Get Rid of Money Problems During College

Many people face great money problems when it comes to paying for college studies. But there is a good solution for those problems and it is called college loan. People all over the U.S. have been given the opportunity to continue their studies, through college loan programs, even if their incomes are modest ones.What should you know about “college loan” chances? Well, first of all, there are various types of college loan. Secondly, you will want to give your expenses some thought if you are interested in covering them with your college loan. Depending on these expenses, you’ll have to choose the college loan that suits you the best. Most of the students ask for a college loan in order to pay their tuition and their courses, but you can also use the money from your college loan in order to pay for your room, your school supplies, your books, etc. Some college loans can be used for anything; as long as you pay your lender. He doesn’t care what you spend the money on. Of course, you shouldn’t forget that college loans must be paid back and with interest, too.Here’s a list of the types of college loan:- Federal student loan, also called Stafford loan – it is the most commonly used and can be of two types: subsidized and unsubsidized. In the first case, the interest of the loan is paid by the government, not by the student, but you must be in big debt in order to get the subsidized loan. The second type of federal student loan, the unsubsidized one has the interest paid by the student and is not deferred until after the student graduates.- The private student loan – can be given to anyone with a good credit score and can be used for any type of expenses. You should also know that this type of loan is unsecured. That means that it requires no collateral, but instead has very high interest rates.- Parent loan – can be taken by parents, and because they have good credit, the payoff and the interest rate are much lower.- College loan consolidation is used to consolidate all of your student loans. With college loan consolidation you can pay off to only one lender. Many students get the college loan consolidation after making the mistake of getting too many college loans, but college loan consolidation can be a positive move since nowadays college loan consolidations have low interest rates. Moreover, college loan consolidation is available to you regardless of your credit rating. Another advantage of college loan consolidation is that it is easy to obtain and, also, the fact that with college loan consolidation you get rid of the stress of being called about your late payments. Last, but not least, when applying for a college loan consolidation you should research and then choose a trusted company to handle your financial problems.If in the past, a student could consolidate his loan only after graduation, nowadays students have the possibility to use in-school consolidation loan. The in-school consolidation loan means that students who have not yet graduated have the chance to consolidate their loans. The repayment of the in-school consolidation loan is due to begin after the student leaves the school, just like with any consolidation loan. However, the difference consists in the fact that the in-school consolidation loan requires the borrower to give up the “grace period” of six months following school during which no payments are required. In-school consolidation loan is a good option for returning medical, b-school students and law students who have high loan balances and for whom in-school consolidation loan can result in the saving of thousand of dollars.Those students who already have a loan may consider refinancing, but this can be an option only for those who made their monthly loan payments on time. What you should take into consideration about refinancing is that it extends the period to pay off your college loan, thus you get to pay more. A good solution would be to pay more towards your monthly bill and, this way, you get out of debt quicker and at a lower rate.If you can’t keep up with your monthly payment, you should, also, consider a college loan deferment. This means that you get a suspension of payments due to very special reasons, like the fact that you are unemployed or in a rehabilitation training program for people with disabilities or suffering from economic hardship.

College Loan Consolidation Advice

College loan consolidation is advantageous if you have a number of outstanding loans already, you basically take out this type of loan to pay off all the other loans, and this is called loan consolidation. This kind of consolidation is usually done by graduates who are facing difficulties in paying back the loans. College loan consolidation is really important if you are a college student and need financial help outside of your personal budget tuition fees. It is also available for those students who have not yet completed their education and is a great opportunity for graduates from university, college or any post-secondary institution.LoansLoans for college have become a necessity for most as the cost of a public or private education has risen enormously in recent years. Loans for college students have aided many college students in pursuing the education that they want and need. They are available to all high school graduates in the United States. These loans come in very attractive packages. When offered from banks or schools, they are classified as private student loans.The only problem is that in order to get the education we want, we generally have take out more than one student loan. So by the time we have finished school, debt has already mounted just with the student loans that have to be repaid. For those students wishing to get a college education who do not qualify for scholarships and who cannot work or who can’t work enough to cover their college expenses, student loans can provide an answer.StudentStudent loans generally have varying interest rates, and it’s a good chance that some of your loans will be costing you more in monthly interest charges than a consolidated college loan will. Students can only consolidate their education loans during the grace period or after the loans enter repayment.The great thing about Student debt consolidation is your credit standing as a borrower-student. They can contract more than one college loan consolidation during their four years of college and can also use the money to help them with hidden costs such as books, fees, traveling home, or even supplies.Students who do not qualify for federal loans are redirected to apply for another type of college student loan and the rates are usually lower than normal unconsolidated loans.InterestInterest rates are at an all time low for the first time in forty years. A college loan consolidation may also benefit you in the form of lower interest payments, so that you pay down the principal more quickly than you would have if you continued paying off your student loans individually. There are numerous benefits of college loan consolidation: lower interest rates; lower monthly installments; a lower payoff amount; or possibly all three.RatesThere has never been a better time to apply for college loan consolidation and take advantage of these low interest rates.CreditYou can have college loan consolidation irrespective of what credit rating you have. There is no credit check or income verification. It is however, beneficial for students to make regular payments on time, so taking a facility with your bank to pay back your college loan by direct debit would be a good move as late payments can effect a students credit rating.RepaymentRepayment as a rule will begin six months after the student leaves college, and the minimum monthly payment on Federal Student Loans is $50 (your actual payment depends on the amount borrowed). You will also have more options when it comes to the kind of repayment schedules available. A really good thing about a college loan consolidation is that if you choose one method of repayment and then find that it does not work for you then you can request that your repayment plan be changed.The advantage of federal college loan consolidation is that you can actually request a fixed rate that is much lower than the previous rates you used to pay with numerous unconsolidated college loans. Refinancing and college loan consolidation is a great idea for many students, especially if it is used to the fullest advantage. Applying for college loan consolidation is easy and free to do.

Student Loan Consolidation Tips and Resources

Student loan consolidation can provide financial relief to graduates carrying multiple college loans. Graduates can consolidate both federal and private education loans to reduce interest rates and monthly payment amounts.Most people use student loan consolidation to eliminate multiple payments. This can be particularly helpful for medical and law school graduates who often have six or more loans. Upon graduation, students must allocate funds to cover each installment as well as keep track of multiple payment dates. When post graduates submit late payments they are subjected to late fees and run the risk of damaging their credit rating.There are several factors to consider when consolidating college tuition loans. It is a good idea to conduct research or work with a financial consultant to weigh the pros and cons of college loan consolidation. The Internet can be a good source for understanding the intricacies of consolidating loans, as well as to shop and compare lenders.Students with both subsidized and unsubsidized loans will have different needs than graduates carrying one type of financing. Although subsidized and unsubsidized loans can be consolidated, lenders must consolidate the two using two separate loans in order to track payment transactions. However, borrowers will have one monthly payment and lenders contribute appropriate amounts to each account.Graduates must meet lending criteria in order to consolidate federal student loans. Eligibility criteria involves having an adequate FICO score; paying three loan payments in full; being current on all loan payments; and waiting six months from the date of graduation before applying for a consolidation loan.Post graduates with Sallie Mae financing must apply for consolidation loans through a conventional lender. At present, Sallie Mae is no longer participating in the federal loan consolidation program due to legislative cuts made by Congress.Students with Sallie Mae education loans can obtain counseling with a repayment specialist to find out which refinancing options exist. Student loan payment program details are provided at SallieMae.com.When borrowers consolidate education loans they must apply for a new loan to pay off outstanding student loans. Nearly all private and federal loans can be consolidated including: Perkins, Stafford, Direct, Guaranteed, and Health Professional.The U.S. government offers a sponsored student loan consolidation program for graduates who obtained financing through Direct Loans. This program is a good choice for students with bad credit because applicants are not required to undergo credit checks. Program details are provided at LoanConsolidation.ed.gov.Last, but not least, post graduates should research loan consolidation alternatives such as forbearance programs, tuition deferment, and student loan forgiveness. Debt forgiveness programs are available to graduates who hold degrees and obtain employment in public service fields such as education, medical and law. Loan consolidation alternatives are presented at CollegeScholarship.org.

All About Federal Student Loan Consolidation and Its Specific Features

Student loan consolidation is essentially considered as a tool to manage one or more debts. Such a loan also allows any student to combine his/her federal or private student loans into one single mortgage with extended loan terms, which subsequently minimize the monthly payment.For US students, there are two types of student loan categories namely as mentioned below1. Federal student loans2. Private student loans.Federal Student Loan Consolidation:The Federal student loan consolidation allows a student to consolidate all his loans for one single loan at a lower interest rate. The student could also lengthen his term (tenor) of payment. Many financial institutions provide federal consolidation student loans. The students have a right to choose the most reasonable loan package that suits them.But ultimately, like several other loan options, the federal student loan consolidation also has its disadvantages. Though the students are offered a consolidated loan for less monthly installment, it unanimously increases the full total amount that has to be repaid.Nevertheless, some of the beneficial features of Federal consolidation student loans are as follows:* Interest Rate: Federal consolidation student loans have lower rate of interest than most of the private loan schemes.* Monthly Payments: There is subsequent reduction in your monthly payments. As a student, this can take the load off from your monthly budget and you can also pay the installments easily.* Single Loan: With loan consolidation, there is only one payment check to be paid each month. This is very convenient and uncomplicated form of payment scheme for any student.Eligibility Factor for Consolidation LoansA student is eligible for federal consolidation loans, when he/she is not enrolled in any school and has repaid the loans without any default. Even students who are in grace period after post graduation can apply for such loans. The minimum loan amount should be $10,000 or more.Students having federal educational loans are also qualified to get a consolidation loan. Private education loans are not considered for student debt consolidation loans. Many institutions and companies provide federal student consolidation loans such as credit unions, banks and secondary markets.Mixing up private loans and federal loans for student debt consolidation is not a good idea, as the federal loan interest amount is tax deductible. Some loan amounts are also forgiven depending on the nature of job or service. Private student loans are bereft of such benefits, as they are treated at par with normal loans. Combining private and federal loans for consolidation of debts makes you lose all the wonderful advantages of Federal consolidation loan student.Student loan consolidation [http://www.badcreditokay.net] is specifically meant to minimize the monthly pay amount and for extending the repayable loan terms. It is very convenient for students struggling to pay their monthly installments scattered in several outstanding loan forms.

Consolidating Your Medical School Loan Debt

While for most people the single largest expense of their lifetimes will be their mortgages, those who have to borrow money to pay for a medical school education may be saddled with the equivalent of a mortgage when they graduate, only have no house to show for it. One of the best ways for them to take control of their medical school debt is to consolidate their medical school loans, so that they only have a single monthly payment with which to contend. Medical school loan consolidation payments, as a further benefit, are often lower than the total of the monthly payments of individual loans.While consolidating a medical school loan debt will give you a more convenient repayment schedule, it may also increase the term of your debt. While many medical school loans have relatively short repayment terms, ranging from six to twelve years, a medical school loan consolidation may leave you with a repayment period of up to thirty years. Your monthly payments, of course, will be much lower. But the amount of interest you pay over the term of the medical school loan consolidation will be much, much higher.Making A medical School Loan Consolidation Work For YouYou can, of course, simply pay more each month on your medical school consolidation loan than its terms require. And as you become established as a medical professional and your income rises, you will be able to increase the amount you pay on your medical school loan consolidation even more. But if you decide to adopt this method of repayment, make sure you stipulate in writing with each payment you make that the extra funds go toward reducing your principal, which will in turn reduce the amount of interest you pay with each passing month.Consolidating medical school loans is always a good idea, in particular for those who are still in school or in the six-month grace period which follows graduation. If you apply for a medical school loan consolidation during these periods, you will be offered a lower interest rate than you would if you waited until the end of your grace period. And when you’re first starting out as a medical professional, trying to live on an intern’s salary, the money you save each month from having a single lower monthly loan payment can come in very handy.Medical school consolidation lenders frequently have a variety of repayment options; one of them will factor your income and debt into your repayment plan. With this plan, your monthly payments will increase as your income does.PrecautionIf you’ve used both Federal and private loans to finance your medical school education, you may not be able to consolidate them. And even if you find a lender willing to consolidate them, doing so will cost you many of the benefits of your Federal loans. Federal loan issuers, for instance, will allow you to reschedule payments in times of financial difficulty, but private loan consolidators will not.

Federal Student Loan Interest Rates

As you decide to go for one of those Federal Student Loan Consolidation plans you may be concerned about the interest rates you have to pay. Although the plan as well as the interest rates are largely regulated by the federal laws in force, you may also have a close look and make an in depth study of the plan you have opted for.Student loan interest rates under the Federal plans are ordinarily determined on the basis of the average of all student loan interest rates taken together. The rate of also fluctuates periodically. For example the Federal Student Loan Consolidation interest rates during July 1st 2006 to June 30th 2008 were 6.8%. The current rate is lower at 6% only.Variable student loan interest ratesStudent loans that were disbursed before the first day of July 2006 carry variable interest rates. Such rates could be converted into static one with loan consolidation. On consolidation these loans are readjusted on the first day of July every corresponding year.Rates of interest have undergone changes with effect from 01.07.2008. Stafford loans that are in grace period have been reduced to 3.6% against the existing 6.6%. Such loans in repayment now carry interest rates of 4.21% reduced from prevailing 7.22%. Similarly the PLUS loan rates have also been reduced to 5.01% from the existing 8.02%.For instant information you can log on to any of the numerous websites that provides such information on student loan consolidation interest rates. However it would be better to make some research about the credibility of the provider before accepting the information or advice provided.Basics of the student loan consolidation interestInterest rates for the Stafford loans both subsidized and unsubsidized ones fluctuate periodically though they never go beyond 8.25%. However when you consolidate your loans the weighted average of all the prevailing interest rates of your existing loans are taken in to consideration to calculate the applicable interest rate.Till July 2008 various types of federal loans had interest rates in the range of 4.125% to 8.02% with perking loans having the minimum and PLUS loans the maximum interest rates. The ratio of the previous consolidations and existing consolidations are taken into consideration in such cases.Consolidation during grace period could be beneficialThough ordinarily the consolidator cannot guarantee you any specific rate or reduction before the consolidation process is over it could be better to go for such consolidation in the grace period. For example, if you have taken a student loan prior to the first day of July 2006 you might be having a variable interest rate applicable.In such cases it could be beneficial for you to have your college loan consolidation [http://www.badcreditokay.net] during the grace period to have the best student loan consolidation rates. The only point to look after is that your application should reach the consolidator before the grace period is over. On receipt the consolidator will include the end date of your grace period and will complete the consolidation process on expiry of the grace period and consolidate student loans giving you a reduced rate.