Department of education consolidating federal loans

28-Dec-2016 21:27

If you have federal loans (government loans), the Department of Education has different free programs that could help, including: Applying for these programs is free.You can find out more about your options at the Department of Education’s Student or by contacting your federal student loan servicer.Choosing to consolidate your loans is an individual choice and the right decision will depend on the specifics of your loans — the types of loans, interest rates, balances, borrower benefits, and more — as well as your current financial situation.

Effective July 1, 2010, all new federal student loans, including consolidation loans, come directly from the U. Private/alternative loans are not eligible for federal consolidation.Private loans also do not offer the opportunities for cancellation or loan forgiveness that are available on many federal loan programs.Please note: All students must complete the Free Application for Federal Student Aid (FAFSA®) to determine eligibility for the following programs. Department of Education pays interest while borrower is in school and during grace and deferment periods.Paying for your education is a serious long-term financial obligation; that’s why comparing the costs of different ways of financing your education is so important.Private loans tend to have higher fees and interest rates than federal government loans.

Effective July 1, 2010, all new federal student loans, including consolidation loans, come directly from the U. Private/alternative loans are not eligible for federal consolidation.Private loans also do not offer the opportunities for cancellation or loan forgiveness that are available on many federal loan programs.Please note: All students must complete the Free Application for Federal Student Aid (FAFSA®) to determine eligibility for the following programs. Department of Education pays interest while borrower is in school and during grace and deferment periods.Paying for your education is a serious long-term financial obligation; that’s why comparing the costs of different ways of financing your education is so important.Private loans tend to have higher fees and interest rates than federal government loans.Subsidized Federal Stafford/Direct Loans: must be repaid. Student must be enrolled at least half time and demonstrate financial need.