Benefits of Federal Student Loan Consolidation, Low Fixed Interest Rates & Lower Monthly Bills

Federal Loan Consolidation
Private Loan Consolidation
Bar Loans
Law School Tuition Loans
Government Relations
School Partnership Program
My Account
About us

Account Login
User Name:
Password:


Forgot your User name or Password? New users: Register Today!

Student Loan Consolidation Exclusively for Attorneys and Law Students

The Benefits of Federal Loan Consolidation

Thinking about consolidating your federal student loans? If not, you absolutely need to read this article. Consolidation offers many benefits such as low fixed interest rates and lower monthly bills. Also, you may be pleasantly surprised to find out how easy and valuable consolidation is. Read on to find out more!

Each year, millions of students use federal student loans to finance their education. Federal loan consolidation is a program providing many benefits to borrowers. It is authorized by the Higher Education Act of 1965, which is the same act that allows for federal student loans. Also, like federal student loans, federal consolidations are guaranteed by the government, and they generally carry the same protections and benefits as your federal student loans. You do not need to consolidate your loans through the government, however. Private sector lenders do the majority of federal loan consolidations.

Perhaps the best reason to consolidate federal student loans is to receive a fixed interest rate. Many graduates do not realize that federal Stafford and PLUS loans that were borrowed before June 30, 2006 will have variable interest rates until they are consolidated. The interest rate for these loans is adjusted each year on July 1. Consolidating your loans ensures you will receive the lowest possible fixed interest rate for the life of your loan. Your loans will not be affected by yearly interest rate increases.

The fixed interest rate for a consolidation loan is based on the weighted average of the interest rates of the loans being consolidated, rounded up to the nearest one-eighth of a percentage point, not to exceed 8.25%. Your loan counsel can easily provide an estimate of what your consolidated interest rate will be. Locking in a low fixed interest rate helps to ensure the monthly payments will be as low as possible. Also, unconsolidated student loans typically have a loan term of 10 years. When you consolidate, this term is often extended to as long as 30 years, based on your total amount of student debt. By extending the repayment term, you will reduce the amount of your monthly payments. You will, of course, pay more in interest by using a longer time period to pay back your loan, but a federal consolidation loan has no prepayment penalty. You may pay off your loan at any time.

Another great reason to consolidate is that there are no credit checks, no fees, and no income verifications. A federal consolidation loans is very easy to qualify for. The application process is simple and may be done online in many cases. You must, however, be in good standing (not in default) on your federal loans at the time you consolidate.

If you are considering consolidating your federal loans, contact a loan professional for more information about this program. You will, most likely, be surprised by how simple and beneficial the process is.

	Article Title : The Benefits of Federal Loan Consolidation
	Comment not found for this article.


	+ Consolidate Your Private or Federal Student Loans Now! (Save Thousands!!)

Up-to-date information is outdated information.

Get it up-to-the-minute from Law School Loans.

At Law School Loans, America's top law school lender, we employ some of the best financial advisers and finance journalists in the student lending industry. Be sure you're getting the most accurate data from the most trusted source, and stay up-to-the-minute on your own student loans!

Just use the RSS feed below and add this to any of the channels you use to receive blogs, podcasts, and other syndicated material.

Click here to sign up for our weekly Newswire now!


Your Name:		Your E-mail Address:
		We respect your privacy.

Friend's name:		E-mail address:






Include a Message:


		+ Privacy Policy

Free Ebook With All Registrations

When I first called and inquired about consolidation I can honestly say I didn't know what it was or what to do. The Loan officers with EdFed took me through each step of the consolidation process and explained everything so I understood it. Afterwards I knew exactly what I needed to do. All of my questions were answered and I got my application finished in a timely manne...
- Michelle C. Mobile, AL

5 Most Dangerous Trends of Student Loan Companies

	Your Federal Benefits
	If you are still in-school, you may reserve your consolidation for graduation with Law School Loans. By signing and returning your application now, you will be guaranteed the current low rates on your consolidation, and you will not have to think about your consolidation again until you enter repayment.

You may choose to change your repayment plan after your loan has been consolidated. There is also no prepayment penalty, so you may pay more than your scheduled payment at any time.