It is quite common for people with student loans to deal with 10-12 lending institutions, which means 10-12 payments and 10-12 due dates each month.
When you consolidate student loans – either federal or private – it’s one payment to one lender, once-a-month. Loan consolidation for student loans was created to make it easier for millions of borrowers to pay off their debt.
The loans will be extended for a period of up to 30 years, depending on your loan balance.
Your payments are reduced to reflect this lower payment.
If you began this process before July 2010 – when all federal loans started coming directly from the U. Department of Education – you may have borrowed through the Federal Family Education Loan Program. If you finished in four years, you could have ended up with as many as eight different loans from up to eight different banks.The sheer amount of information and numbers can be difficult to track.If you feel overwhelmed with managing your student loan debt, don’t panic. One way to make student loans more manageable is through consolidation.Both federal and private lenders recognize that lower monthly payments help may be the best option, if you don’t get the job you want immediately after graduating from colleges.Find out more about the choices debt consolidation offers.