Please do your homework and let us know if you have any questions or concerns. This helps pay for our amazing staff of writers (many of which are paying back student loans of their own! Most graduates leave school with a number of different student loans, racked up throughout their years in college.Each of these loans likely comes with different terms, payments, servicers, and statements.Before you choose to consolidate your loans, examine your situation carefully to determine if this is the best course of action.This isn’t a solution that works well for everyone (even if you do have several different loans to manage).
Private loans are not eligible for Direct Consolidation Loans.
With the new loan, you could be eligible for income-driven repayment plans and possibly even forgiveness programs that you weren’t able to use prior to consolidating.
You can also enjoy the benefits offered by consolidating any debt, such as one, single payment and potentially lower monthly payments.
If you’re only interested in simplifying your situation and won’t take advantage of any repayment plans, consider finding other ways of tracking your debt and managing repayment.
That’s because Direct Consolidation Loans have drawbacks, too.