How to Get Fast & Affordable Student Loans

If you are feeling financially over-loaded with your student loans, now might be a good time to consider consolidation of your student loans. This is especially the case if you are in your senior year and are paying several different institutions. No matter what kind of student loan you have or with whom, soon the grace period will end on your present loans and you will find yourself surrounded by many payments.

A student loan consolidation can not only simplify your repayments, but the lower interest rate can help you save money. If it extends your student loan repayment term, you have the added asset of lower monthly payments now and the option to increase your payments when you make a higher paying salary. Even if your current interest rates are slightly lower the stress you will save with a consolidation might be worth a few extra dollars a month.

Once you have decided to consolidate, the next step is to find out how to do so. You will find that there are many choices of lenders and which one you choose can affect the amount you pay. So research carefully. Be sure to pay special attention to the interest rate, prepayment penalties, and paperwork and filing fees.

If your loans are spread out between groups such as your family, the state, the federal government, the specific college or university, private community or other scholarship sources, you are a prime candidate for a consolidation loan. However, the choice is up to you. If you have such an array of loans the consolidation assistance you qualify for will vary. The lender may also have specific rules about payouts to different sources. Be sure to discuss if all your balances will be covered in the loan.

Federal Direct Consolidation Loans. These are run by the US Department of Education and provide a means to combine multiple Federal loans into one. You can apply online for the Federal Direct Program by visiting the FDCL website.

Private Student Consolidation Loans. These can not be consolidated under the Federal Direct Plan. If your private loans can't qualify for the state and federal student loan consolidation programs, try lenders who make private consolidation loans to students, Be sure to check with your present lenders first if they are part of any consolidation program. A little investigation now can save you time and down the road, money and frustration. So get out there and consolidate those loans before rates start to go up.