Consolidating private and federal loans
He has written for several newspapers in the state, including the Miami Herald, Orlando Sentinel, Tallahassee Democrat and Florida Times Union.
The good news is that federal loans carry a six-month grace period so there is time to develop a plan for dealing with them.The definition of loan consolidation in a nutshell, is this: One loan, one payment, one lender.It’s simple, efficient and practical, but there are some negatives, not the least of which is that you could end up paying much more in interest by the time you’re finished.It is not unusual to owe money to 8-10 separate lenders, maybe more if you had a combination of private and federal loans.If you continue borrowing for graduate school, it’s easy to add another 4-6 lenders to the mix.There is no hard and fast rule about student loan consolidation, other than be sure to do your research.Consolidation is a great option to make your payments more manageable and maybe even save some money. Using student loans to pay for could cost you a whole lot more.The average college graduate in 2016, who took out student loans, owes ,172, a 6% increase from 2015.Federal student loan consolidation is a fixed-rate refinancing program that combines all of your existing federal student loans into one new loan.Consolidation can be a helpful tool for managing your finances, providing more flexibility during the repayment period. Some financial institutions will allow borrowers to include federal student loans in a private consolidation loan.