Here are the best resources for
refinancing previously consolidated student loans
Consolidate Federal Student Loans - Make Your Student Loans More Manageable
When you consolidate federal student loans, you replace all of your existing federal student loans with one easy to manage loan. Why would you want to do this? Here are four reasons why you will want to consolidate your federal student loans.
If you have several federal student loans, each loan requires you to make monthly payments that, when added up, can be a heavy monthly burden. By consolidating your federal student loans into one loan, your monthly payment will be much less. That makes your debt much more manageable at a time when you probably need your money the most.
Also, by lumping all of your federal student loans into one loan, you simplify the repayment process. It's much easier keeping track of one monthly payment with one lender instead of keeping track of multiple loans with multiple lenders, all with different due dates.
Another benefit of consolidating is you can get a lower interest rate. This helps offset the cost of lowering your monthly payments and extending your loan. A lower interest rate over that extended period of time can add up to significant savings.
When you consolidate federal student loans, the consolidation loan pays off your outstanding federal student loans. So by consolidating, you have paid off several loans at one time - either on time or early. That improves your credit score.
Why is that important? If you decide to get a mortgage, a car loan or any other type of loan for that matter, you will receive a lower interest rate. And that saves you money.
In the case of a mortgage, it can save you thousands (or tens of thousands) of dollars.
When you apply for a mortgage, lenders look at your current monthly debt payment and compare it to your income. If your student loan payments are greater than 8% of your income, you may not be eligible for a mortgage. By consolidating your federal student loans, you can reduce your monthly payments so that you meet the 8% (or less) criterion and get that mortgage you're after.
When you consolidate federal student loans, you lower your monthly payments, make life easier by dealing with only one loan instead of several, get a lower interest rate and improve your credit score. All of these benefits to you make this financial step a very smart one.
About the Author :
Thomas Erikson is co-founder of http://www.your-debt-consolidation-loan.com which provides student loan consolidation information and solutions.
More Useful Resource and Updates on refinancing previously consolidated student loans
- School asks board for cash advance to pay teachers (Live 5 News Charleston)
Charleston, SC (WCSC) - A Charleston County charter school says they won't have the money to pay their teachers on Friday. Officials from Greg Mathis Charter went before the Charleston County School District to ask for help because they say they simply fell short when it comes to enrollment numbers.
- 101 Ways to Save (The Charlotte Observer)
Food is expensive, gas remains stubbornly high and winter's big heating bills are coming. Since loans are tough to get and our retirement funds are shrinking fast as the stock market crashes, we're sharing thought we'd share some old-fashioned penny-pinching tips. Some come from readers who responded to business reporter Sue Stock's request for suggestions. Others come from the misers on our ...
- NEWS: Candidates stress college affordability (The Dartmouth)
The 2008 presidential nominees, Democratic Senator Barack Obama and Republican Senator John McCain both cite the affordability of a college education as a key priority in the upcoming election, although their strategies differ. McCain seeks to increase the efficiency of current offerings while Obama plans to expand college tuition tax credits, Pell grants and other forms of scholarships.
- Help on loans, budgets, investments, more (MSNBC)
This week, TODAY financial editor Jean Chatzky tackles reader questions about consolidating student loans, selling a home, budgeting with an irregular paycheck and more.
- Excerpts from editorials in Florida newspapers (Miami Herald)
Here are excerpts from editorials in newspapers in Florida:
- College debt a heavy burden (Minneapolis-St. Paul Star Tribune)
Saddled with big student loans, this young couple rents out their basement and taps their line of credit to make ends meet.
- TURNER: Lenders, schools profit on high-interest student loans (Daily Nebraskan)
Some of today's government policies make me scratch my head and wonder what they are doing up on Capitol Hill. College is expensive, and it is important to look at it as the $86 billion business that it is. Students have to ask whether an expensive college education is worth the money.
- Warning About Accepting Debt Reduction Assistance (News Channel 5 Nashville)
During tough times many people are willing to do just about anything to wipe away their debt. Now more than ever scam artists are feeding off the desperation.
- Decade of financial leverage (The Hindu)
It is the present decade though that has witnessed a real explosion of financial sector leverage.
- Top Scoops (Scoop.co.nz)
Contrary to her Joe Six Pack, hockey mom hokum, Sarah Palin proved in her debate with Joe Biden that she would fit in extremely well in Washington - albeit at an enormous price to the rest of the country.
|
