Private Student Loan Consolidation

Private student loan consolidation is a great way to significantly lower your monthly loan payments by combining all your private student loans into one manageable loan. Refinancing your private student loans will reduce the stress of multiple payments and allow you to budget more effectively while lowering your interest rate. With private student loan consolidation, most borrowers can reduce their monthly payment by extending the repayment term of their private student loan debt.

Borrowers with improved credit may often lower their interest rate. Existing loan holders will not reduce your interest rate if your credit has improved. Borrowers may apply on their own or with a credit-worthy co-signer for private student loan consolidation.Borrower and Co-signers with superior credit may receive lower APR loans. Undergraduate borrowers may receive up to a 25 year repayment term which offers the lowest possible monthly payment, and graduate student borrowers may receive up to a 30 year repayment term. All payments in excess of scheduled payments go directly to principal.

Since most private education loans do not compete on price, a private consolidation loans is merely replacing one or more private education loans with another. So the main benefit of such a consolidation is obtaining a single monthly payment. Also, since the consolidation resets the term of the loan, this may reduce the monthly payment (at a cost, of course, of increasing the total interest paid over the lifetime of the loan).