A Smart Option For Saving Money

Are you interested in getting a student loan consolidation? If so, you should know that there are two different federal programs in the United States that can arrange one for you. As you're probably aware, getting a consolidation of your student loans is an excellent idea for many reasons. It lowers your monthly payment, lowers your interest rate, frees up more spending money for you each month, and improves your credit. It also offers a lot of convenience, since you'll only be dealing with one student loan payment each month, rather than many.

Here are the two federal student loan consolidation programs and what you can expect from them:

1. The Federal Family Education Loan Program

2. The Federal Direct Student Loan Program

Both of these programs handle consolidations of Stafford, Plus, and Perkins loans. Both programs also offer fixed rates of interest for the entire life of the consolidated loan, which makes the federal consolidation programs very attractive options to borrowers who may be concerned about rising interest rates.

Another benefit of getting a student loan consolidation with a federal program is that the terms of repayment can be longer than with regular loans... as much as 30 years. This usually translates into lower monthly payments, which frees up money in a borrower's monthly budget. When someone is newly out of college, any additional dollars that can go into the monthly budget are always welcome!

The fixed interest rate of a federally consolidated student loan is arrived at by using a weighted average of the consolidated loan interest rates. Relative weights are assigned to the borrowed amount and rounded to the nearest 0.125%, and capped at a 8.25% interest rate. The low interest rate is very attractive, but be aware that the favored benefits of a post-graduation grace period for repayment and special forgiveness programs are not part of the federal student loan consolidation programs. If you go with a consolidation, you'll have to make regular loan payments right from the start, as you would with any other type of loan. However, in spite of this, the benefits of consolidating your student loans typically far outweighs any drawbacks, so it's definitely something you should consider for your financial health.



_____________
Ferienwohnungen in Phuket
weight loss

Both of these programs handle consolidations of Stafford, Plus, and Perkins loans. Both programs also offer fixed rates of interest for the entire life of the consolidated loan, which makes the federal consolidation programs very attractive options to borrowers who may be concerned about rising interest rates.

Another benefit of getting a student loan consolidation with a federal program is that the terms of repayment can be longer than with regular loans... as much as 30 years. This usually translates into lower monthly payments, which frees up money in a borrower's monthly budget. When someone is newly out of college, any additional dollars that can go into the monthly budget are always welcome!


causes of angina
dj hire