So you've just graduated from college and you're entering the real world with a brand new degree as well as a lot of student loans. You've decided that consolidating your loans would probably be the most effective way to handle them, but you're unsure of the best route to go. If you're confused about the best college student loan consolidation plan, here are a few tips.
First of all, the best college student loan consolidation plan should always include a low interest rate. This will help you to ensure that you pay back the least possible amount of money. The good thing is that federal student loan consolidation interest rates are capped at 8.25 percent meaning they can go no higher. Find a consolidation plan that offers a fixed interest rate because they can never change during the life of the loan.
You may be tempted by variable interest rates with low introductory rates but after the initial period those rates can really start to get up there and you have no control over what your rate will be. With a fixed interest rate you have the comfort of knowing what your payment will be every month.
Additionally, the best college student loan consolidation plans are the ones with few fees and that offer the option of graduated payments. These are payments which start off very low and gradually increase over the repayment of the loan. Graduated payments are excellent, especially if you're starting out with a relatively low income. They give you a chance to get on your feet and get your financial situation to a more stable place.
The bottom line with finding the best consolidation plan is to know your needs and do the research on different companies to find the best fit.
By J. Dees
31.1.09
Bad Credit Student Loan Consolidation Tips
It's pretty safe to say that having one or more college degrees can usually improve your employment situation greatly. Most employers are generally impressed when they see those extra letters behind your name. Therefore, a college education can be a very valuable asset.
However, after graduation (in order to better manage your finances) you may find yourself needing to consolidate your loans. Consolidation may become a little more expensive if you find yourself with bad credit, however it's still a smart move. While bad credit student loan consolidation may be a little more difficult, it still holds lots of benefits.
First of all, even with bad credit student loan consolidation, you will more than likely still find yourself paying out less money monthly than you would by paying each loan individually. Additionally, through consolidation, you will be able to lengthen your repayment period. This can benefit you greatly because it gives you more time to straighten out your financial situation while keeping your payments current. Many companies will allow you to utilize a graduated payment schedule where you start off with low monthly payments which gradually increase over time as you near the end of your repayment period.
Another reason to opt for bad credit student loan consolidation is that even though your rates may be a little higher, the interest rate for federal student loans is still capped at 8.25% which means that it can never go beyond this. The bottom line is that even with bad credit you can still utilize the benefits of consolidation to help you get back on track and begin to straighten out your credit situation.
BY:J.Dees
However, after graduation (in order to better manage your finances) you may find yourself needing to consolidate your loans. Consolidation may become a little more expensive if you find yourself with bad credit, however it's still a smart move. While bad credit student loan consolidation may be a little more difficult, it still holds lots of benefits.
First of all, even with bad credit student loan consolidation, you will more than likely still find yourself paying out less money monthly than you would by paying each loan individually. Additionally, through consolidation, you will be able to lengthen your repayment period. This can benefit you greatly because it gives you more time to straighten out your financial situation while keeping your payments current. Many companies will allow you to utilize a graduated payment schedule where you start off with low monthly payments which gradually increase over time as you near the end of your repayment period.
Another reason to opt for bad credit student loan consolidation is that even though your rates may be a little higher, the interest rate for federal student loans is still capped at 8.25% which means that it can never go beyond this. The bottom line is that even with bad credit you can still utilize the benefits of consolidation to help you get back on track and begin to straighten out your credit situation.
BY:J.Dees
Consolidating Your Student Loans is a Wise Choice
Over the years, you might have incurred lots of student loans with various lenders. Chances are you make multiple payments each month to many different loan services. Perhaps you did not know that you can save tons of money by consolidating all of your student loan debts into one.
Are You Buried In Student Loan Debt?
The cost of attending college has skyrocketed over the years. Being a student is a very expensive occupation! Many students find that after they have worked so hard to obtain their degree they come out of college with not only a degree but a mountain of debt with huge payments looming within the next six months. This can put a strain on your finances as you try to find a job. Or perhaps your student loan payments have already begun to get out of hand and you feel like you will never get them caught up. If so, now is the time for you to consolidate your student loans.
Consolidating your student loans means that you will take every loan that you are paying for and bundle it together to be paid by a new lender. In most instances, you can negotiate a consolidation loan for all of your student loans to get more favorable terms than you are currently carrying with the bulk of your student loans.
Lower Your Total Monthly Payments
One of the major advantages of consolidating your student loan debt is that you can lower your monthly payments. Whereas you might be paying a combined payment of $500 for multiple student loans, when renegotiating your student loan debt, you might make one payment for $250 or less to your new lender. This is just an example of how consolidation can benefit you - your payment will be based not only on how much you owe, but also on how much you can afford to reasonably pay each month according to your income and other obligations that you might have outstanding.
Pay Less Interest - Keep More Money In Your Pocket
An additional advantage of consolidating student loan debt is that consolidation allows you to pay less interest, which can literally mean thousands of dollars in savings over the life of your repayment schedule. While most of your current student loans have differing rates of interest attached to them, your new loan will have an interest rate that is less than or comparable to the loan that you are now paying the least amount of interest on.
Further, consolidation provides a great opportunity for you to rid yourself of any variable rate interest loans that you might have (which means you pay fluctuating amounts of interest on the principle) and lock in a new, fixed rate that will feature a predictable payment amount - again, saving you a bundle of cash in the way of interest.
You can find the best consolidation loan packages for student loans on the Internet. Online lenders often have the lowest interest rates across the board when consolidating your student loans.
BY:Mary Wise
Are You Buried In Student Loan Debt?
The cost of attending college has skyrocketed over the years. Being a student is a very expensive occupation! Many students find that after they have worked so hard to obtain their degree they come out of college with not only a degree but a mountain of debt with huge payments looming within the next six months. This can put a strain on your finances as you try to find a job. Or perhaps your student loan payments have already begun to get out of hand and you feel like you will never get them caught up. If so, now is the time for you to consolidate your student loans.
Consolidating your student loans means that you will take every loan that you are paying for and bundle it together to be paid by a new lender. In most instances, you can negotiate a consolidation loan for all of your student loans to get more favorable terms than you are currently carrying with the bulk of your student loans.
Lower Your Total Monthly Payments
One of the major advantages of consolidating your student loan debt is that you can lower your monthly payments. Whereas you might be paying a combined payment of $500 for multiple student loans, when renegotiating your student loan debt, you might make one payment for $250 or less to your new lender. This is just an example of how consolidation can benefit you - your payment will be based not only on how much you owe, but also on how much you can afford to reasonably pay each month according to your income and other obligations that you might have outstanding.
Pay Less Interest - Keep More Money In Your Pocket
An additional advantage of consolidating student loan debt is that consolidation allows you to pay less interest, which can literally mean thousands of dollars in savings over the life of your repayment schedule. While most of your current student loans have differing rates of interest attached to them, your new loan will have an interest rate that is less than or comparable to the loan that you are now paying the least amount of interest on.
Further, consolidation provides a great opportunity for you to rid yourself of any variable rate interest loans that you might have (which means you pay fluctuating amounts of interest on the principle) and lock in a new, fixed rate that will feature a predictable payment amount - again, saving you a bundle of cash in the way of interest.
You can find the best consolidation loan packages for student loans on the Internet. Online lenders often have the lowest interest rates across the board when consolidating your student loans.
BY:Mary Wise
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