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Student Consolidation Loans

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get more information about student consolidation loans here
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Student Loans Refinance Student Loan

Student loan refinancing is done to decrease the monthly student loan payments. Banks have
student loan consolidation programs to facilitate this. A student may have federal student loans
and private loans. The federal loans have a lower rate of interest than the private ones. The
private loans are personal loans given with a surmise that the income will increase with education.
While refinancing, if these two loans are mixed, then the student will have to pay more interest rate
on the total principal. So, it is advisable to finance the two loans separately. The student loan rates
change as per the lender and credit history. While refinancing, it must be confirmed that the history
is helpful. A credit report must be studied to overcome problems. Then, rates of different lenders
can be compared. The rates of refinancing federal student loans alter annually, generally on 1st
July.

Lenders for Student Loan Refinancing

Financialaid.com assists students with monetary help. It has an excellent customer service and
highly trained student loan counselors guide the needy. The monthly payments can be decreased
by 52%. The fixed interest rate may be as less as 6.75%. Early repayment is not charged with
penalty. The loans can be consolidated to one easy payment. EstudentLoan.com is another
lender. StudentLoan.com is a Citibank company. The Federal consolidation loan decreases the
monthly student loan payments by half. There is one easy payment per month and a low fixed
rate. No income or credit check is necessary. There is a 0.25% interest rate decrease as per a E-Z
pay plan. The student loan account can be seen on the Internet. The Private consolidation loan is
locked at a fixed rate or a variable rate. Only one payment is required per month. There exists a
0.25% interest rate reduction as per the E-Z pay plan. After the initial 48 successive monthly on-
time payments, there is a 0.50% interest rate decrease. This loan account can also be seen on the
net anytime. Each of these lenders have varying qualification needs. Most of them demand that
currently the student must not have an active student loan or that there must be a minimum
balance requirement.

Student Loan Payment

While refinancing, the monthly payments can be decreased by a lesser interest rate or a greater
loan duration. Of these two methods, a low interest rate is the better option as the long term
student loan debt gets reduced. In case the monthly payments are very large, the loan duration
should be increased. Due to this, the span of repayment rises and the monthly payment becomes
small. Long terms however imply high interest rate and consequently more interest payments.
Overall, the student has to pay more, but it becomes less cumbersome.

Resources to refinance student loans
effects of student debt
school loan consolidation
consolidation recommendations of the University of Michigan Law School
consolidating federal student loans Difference between federal and private loans

The federal student loan can be consolidated if the student is not enrolled in school or is actively
repaying the loan. Many consolidation companies need a minimum loan amount like $10,000. In
case of federal student loans, the interest on the loan is tax deductible, the loan may be forgiven
for some services or the payments can be postponed if the student returns to school. Private loans
lack these benefits and may be secured or unsecured. They have to be repaid similar to other
loans. Hence, it is recommended to consolidate federal and private loans simultaneously. Federal
student loans have to be considered first and consolidated separately. The second step is to
consolidate the private loans.

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get more information about student consolidation loans here
http://studentconsolidationloans7.blogspot.com/

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