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College Loan Debt Consolidation - What is Student Loan Consolidation?

By Edited Jun 20, 2015 0 2

Student Going to College
Kelly went to college right from high school; she wanted to get a degree as a veterinarian. She was able to get college financing with the help of her parents with a Parent PLUS loan. But by the time she had finished college and started her career, she found herself saying "I'm struggling, and I'm not earning enough to pay my monthly bills. What can I do?

Students and parents who get over their heads in college debt need a way out. Student loan financial solutions for student and parents can help with affordable ways to pay for college, student needs, and life after college. Being able to know where you can go for student loan consolidation programs is a must.

We all know that starting a new life after college gets rather expensive, car payments, insurance, and housing cost. A student loan consolidation will be able to help you reduce your monthly payment and help you manage your money.

How Does Student Loan Consolidation Work?

Student Loan Consolidation program gives students the option of a lower payment each month. These options combine refinancing and combining your student loan into one new loan. You might be thinking that it's not worth it to consolidate, to keep making your monthly payments on your original student loan, but something to consider is lowering student loan payment and wrap high interest credit cards or personal loans you owe into the new student consolidated loan, thus freeing up money for life itself.

There are two options for Student Loan Consolidation:

Federal student loan consolidation and private student loan consolidation and they both offer the benefit of a significantly lower monthly payment and simplified finances.

Where to Begin:

If you want to consolidate student loans, you have to begin with your Federal Stafford, Parent PLUS, Perkins, and all Federal FFELP and Federal Direct Loans where you had taken your student loan out for your education. Private student loan consolidation is a separate program that allows you to refinance all non-federal, education related debt.

Benefits of Student Loan Consolidation

One huge aspect of getting a student loan consolidation is the loan interest is federal income tax deductible item, lower monthly payment obligation (some cases are 50%). There are no penalties for early payoff, and no credit checks, no co-signers involved and no setup fees. Consolidate your monthly bills into one payment a month.

Resources for College Students

Student Credit Help Line

Student Loan First Aid Kit

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Comments

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Oct 18, 2012 2:15am
susanmiller2012
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