What Are the Benefits of a Student Consolidation Loan

What Are the Benefits of a Student Consolidation Loan

by Daniel Millions

If you have successfully managed to get through College and University then you are probably also burdened with a certain level of debt as a result of your studies. Unsurprisingly, the last thing that most students need after they have finished their education is to be faced with a mass of debt repayments, especially as most do not get their ideal job straight away. If this sounds like you then perhaps you should consider a Student Consolidation Loan. These loans are ideal for those students fresh out of education and are worried about meeting the monthly repayments on their loans.

The Federal Consolidation Loan Program was first established in 1986 with the intention of helping students with their financial commitments. In 1999, the original variable rate was replaced with a fixed rate of interest.

Dependent upon each individual's wishes the student can choose to make repayments over a duration of 10 to 20 years. The payments are over a longer period of time than the initial loans but the repayments are more manageable. Students need to also recognize that some of the original loan benefits such as post graduation grace periods are not retained under the loan consolidation program.

Those students you are successful in applying for a consolidation loan will need to fulfill certain criteria.

Any student who has taken federal loans such as a Stafford loan or Federal Perkins loan are eligible to consolidate them so that only one monthly payment needs to be made. However private sector loans are currently not party to the scheme.

The student will need to have a total amount of at least $20,000 in federal loans and cannot have defaulted on any of them. To apply you will need to be in the grace period after the course has finished or have made some repayments. However on a positive note, eligibility does not require that you are employed and a co-signer is not needed to complete the application.

Consolidation loans are perfect if you are struggling to manage the debt repayments and they offer a number of benefits.

Besides the aforementioned reduction in monthly payments and a smaller amount to pay over a longer period of time, the student consolidation loan can actually help to improve your credit rating immediately, rather then years from now.

During college you probably took out Stafford loans that are logged as separate loan agreements. Typically, the average college student will have 6 to 8 loans on file at the time of graduation. One of the key factors in deciding a person's credit rating is the total number of credit agreements they have. Consolidation, therefore can instantly improve the situation.

Besides this, the consolidation loan is great because it is set at a fixed rate, which means that you can be absolutely certain of the amount that you need to repay each month. Currently a consolidation loan cannot be set any higher than 8.25%.

If you are concerned about credit checks when making the application then there is no need to worry. The consolidation loan does not require this and there are a range of flexible payment plans that can be designed to fit around your individual circumstances.

In this respect, you should also consider the option of making repayments via direct debit. This is not obligatory but it can assist in helping you to manage your finances and there is an additional incentive of a 0.25% reduction on the rate of repayment.

Tips to consider for getting a student loan debt consolidation

Tips to consider for getting a student loan debt consolidation

by Yanie Sulzerino

Studying in the united states proves to be very expensive nowadays with the cost of tuition fees and textbooks escalating day by day. With the rise in these costs, there is a rise in the demand and need of student loan debt consolidation for both those going to graduate schools and for those studying abroad.

With student loan debt consolidation you get a low rate of interest, with flexible pay-back terms to meet the needs of people not working. However at times, even these interest rates may make it difficult for you to repay your loan on time.

Two types of student loan debt consolidation

With student loan debt consolidation, you as a student find it easy to manage your debt, and find it possible to avoid debt default. This is because it either helps in reducing the principal amount of your study expenditure or even help in eliminating this amount altogether. Whether student loan debt consolidation applies to you basically depends on the type of student loan you have.

There are two types of student loan debt consolidation plans you can choose from; federal and private. If you have both types of loans, it is not at all advisable for you to consolidate them into a single package. This is because federal loans have government backing and can get refinanced at lowered interest rates unlike your private loans.

This is why it is better for you to consider consolidating all federal loans and then head for the private student loans which are usually unsecured. Moreover these loans come with a higher interest rate when compared to federal loans.

You have to be out of college to qualify for student loan debt consolidation

However to qualify for student loan debt consolidation, there are some conditions you have to meet. The first criterion is that you have to be out of school or college, and be either making repayments to the loan or in the ‘grace period’ of the loan.

If you meet these conditions, you have to contact the consolidation company to contact your creditors and reduce both your monthly payments and interest rates. Remember that student loan debts that exceed 85% of your income gives a negative score on your credit. There are some companies that offer student loan debt consolidation for additional reduction programs that will benefit you in the long run.

Look out for scam companies

With student loan debt consolidation, you will be able to repay all your student loans in a much shorter time span than you would without any form of debt consolidation. This will rid you of the stress and tension associated with the payment of mounting student loans.

However remember that there are many scam companies out there looking for means of duping you of your money. Choose your student loan debt consolidation company only after receiving sufficient evidence to prove the credibility of the company. else you will end up facing more problems with the fake companies adding to your built up debts and problems.

Student Loans No Hassle: Catering to the Cash Urgencies of Students

Student Loans No Hassle: Catering to the Cash Urgencies of Students

by Jelson Rawling

Education is a very costly affair. With the rising cost of education most people feel it is out of their budget to educate their children. But then education is a wealth and you need it for your future. Children think of earning while learning but it is not possible. You will concentrate more on your earning then on the learning and the end result will be no learning at all. You will have to suffer the loss in the coming days. To help students who are interested in studies student loan no hassle is being offered by banks and institutions.

These are unsecured loans because as a student you cannot afford any collateral against the loan amount. This loan is offered at lower interest rates to the students. There is no documentation involved in getting this loan. You get this loan without any trouble. Moreover repayment does not start before 6 months after graduation or once you start earning a decent amount. The repayment period is decided by the lender and differs from lender to lender.

You can apply for student loans no hassle online. You just need to submit an online application form by filling in the right details. Once done, your loan is processed and verified. When your verification is done to a satisfactory level you get the loan amount transferred to your bank. With online applications you can apply for the loan any time of the day. If you have any queries while applying the support team will be available to solve your problems.

Student loans no hassle is offered for all the expenses you will undergo as a student like your hostel fees, your food fees, your book fees, your tuition fees and other miscellaneous fees. Remember before you apply for this loan go through the process of getting quotes from all lenders and comparing them before you choose your lender.

A Student Loans Consolidation Service That Makes Dreams Come True

A Student Loans Consolidation Service That Makes Dreams Come True

by Peter Barlow

It is believed that for one to have a better career in the future, he should have a good education. That is the very reason why people do everything just to get through college, even if it means you've got to 'invest' a lot of money for that. However, what if you run out of cash to pay for your school expenses (books, dorm, tuition fee and other school payables)? Would that mean you need to quit college? When one runs out of cash quitting school is never the answer. There are various student loans consolidation services that would help you resolve your cash problem. Consolidating is bundling all your other school loans into just one monthly payment. You can choose from the federal loans consolidation and private loans consolidation. Here's how each loan works.

The Federal loan consolidation is a fixed-rate refinancing that combines all your existing federal loans into just one new loan. Or in other words it is the best way to simplify your monthly payments. There are no credit checks and application fee or charges when you apply. The standard ten-year repayment term would be lengthened thus, allowing you to have spare money for all the other expenses like house rents, car payments and all the other necessities in life.

If you decide to combine your federal loan, you have several repayment options to choose from. Check which you consider best suits you. A borrower may choose from equal payment, graduated payment, extended payment and income-sensitive payment plan.

Another type of loan consolidation is the private student loan consolidation. This kind of loan will help you cut your monthly payment by almost half in the first year by combining all your existing private student loans debt. No application fees required and there are no prepayment penalties as well. When you choose to get this kind of loan, a co-signer would help you get a better chance for approval or a lower interest rate, though it is not required. Your loan could still get approved without having a co-signer. A co-signer need not worry because he can be released or freed from the liability after a borrower's forty-eight months on-time payments. Remember though those federal loan debts cannot be combined with private loans because each has different terms and conditions. Another good thing about this is that instead of the traditional twenty-year repayment term, the payment had been extended giving a borrower a maximum of thirty years giving you a lower monthly payment. Few more reasons why this kind of consolidation is recommendable is that an interest-only payment is available for the first twenty-four months of repayment and that the interest payments may be tax deductible.

Now, you can enjoy your college life having no worries about your school fees because there is a student loans consolidation service that can provide you the cash you need to get through your college education. Choose the consolidation and repayment scheme that you believe you can manage. Now, you can dream bigger!

College Student Loans: Genial Financial Assistance For Students

College Student Loans: Genial Financial Assistance For Students

With each passing year, the cost of pursuing higher education is increasing making it impossible for most of the students. In the absence of credible finances, the students have to switch over to some other careers. Sensing the helpless ness of these students, lenders have come up with College Student Loans. These loans take care of all the expenses on education providing a huge relief for the students, who cannot generate the finances on their own.

All those students who are in need of finance are free to seek the assistance of these loans. With the assistance of these loans, the student in particular can take care of the various expenses such as paying admission fees, hostel accommodation charges, library dues, purchasing books related to course material and a lot more. It is particularly beneficial as all the expenses can be tackled with the help of a single loan.

In the loan market, the loans are categorized in to two options which are secured and unsecured. Secured option of the loans are collateral where in the students are required to pledge any valuable asset as collateral. In case the students do not have any, their parents can pledge collateral on their behalf. On the other hand, if the student is in capable of placing asset, then it would be beneficial to apply for the unsecured option.

Those students with imperfect credit status can also apply for the loans. The chances of availing the loans become more if there is a co signer. However the cosigner must have a good credit record.

The terms and conditions for these loans too are beneficial. For instance, borrower has to repay the amount only after the completion of course, until he/she gets a suitable job. As compared to other loans, the rate of interest too is comparatively low, which makes repayment easier. One of the best ways to derive college student loans is by using the online mode.

There is no need to personally visit the lender as the borrower can access the services by sitting in home or office. The application process is simple and fast which helps the borrower to attain the finances without any delay.

With these loans, now a student can pursue any course without worrying too much about the finances.

Student Debt Consolidation: Best Option Available To Eliminate Student Debts

Student Debt Consolidation: Best Option Available To Eliminate Student Debts

by Antonio Vargas

The ever increasing cost on education compels most of the students to avail loans. Indeed the loans are of great help, but are a major headache when it comes to repay it. Most of the students who had availed multiple loans find it difficult to repay it. Moreover, non repayment of the debts will only complicate the circumstances. So to help the students eradicate the debts, lenders are now offering Student Debt Consolidation. With this debt reduction program, all the unpaid debts are merged and combined in to a single manageable amount.

This program is very much beneficial as far as eliminating debts are concerned. Under this program all the high interest unpaid debts are consolidated in to a single manageable amount. By opting for this program, the students get relief from the mental stress. It is not only the students, but also the parents and guardians who can benefit from this program.

By consolidating all the debts, it provides a lot of relief to the students in particular. With a single lender to answer, now the students are not required to make multiple payments. The monthly installments towards paying of the debts get reduced and sometimes up to 50%. This will save considerable amount of money, which can be used for some other purposes. The program is offered by lenders for free, which ensures that no hidden charge is involved. Moreover, by consolidating the debts, the students have the chance to improve their credit score.

Under this program, students can source a new loan at reduced interest rates to pay off the debts instantly. It is considered to be the fastest way to erase the debts. The interest rates levied are fixed and do not change with the fluctuations in market.

The best way to know more about student debt consolidation is through the medium of internet. Students can understand a lot about this program by using this mode. Further, this program is considered to be the best option available to eliminate education debts, which helps the students to lead a debt free future.

Refinance Student Loans: Drastically Cuts Down The Burden

Refinance Student Loans: Drastically Cuts Down The Burden

by Michal John

Most of the students to sustain their expenses on education opt for student loans. But sometimes to obtain the loans instantly, most of the applicants to raise the necessary finances sign away particular deals without going through the terms and conditions. The loans availed may be charged with a comparatively high rate of interest and now putting a lot of pressure on the student. Just in case, if you are having the same trouble, then consider opting for Refinance Student Loans. These loans are tailor made to help you reduce the burden of debts.

Basically, these loans are designed to help you refinance your existing loans and configure them accordingly, so that it fits in to your scheme of things. You should note that these are not any fresh loans.

Before going for refinancing the loans, you should follow some necessary steps. As first step, you should verify and check that your credit standing is in a good shape. If your credit history is free from any anomalies and have a descent track record, you will be getting low interest rates on the loans. Moreover, the interest rates differ from lender to lender, due to the fluctuations in the market. The repayment term is very much flexible and can be negotiated as per the lending company's terms and conditions.

When applying for these loans, you must be particular cautious and should take all the factors in to consideration. You must be sure on the type of student loans you want to refinance. It may be that you have availed federal loans or private student loans. Since the interest rates for the loans are quite low for the federal loans, you must refinance them separately.

In the loan market, there are scores of lenders offering these loans. However, it is up to you to source these loans from physical lenders or from online lenders. If you prefer the online mode, then you will be able to access a lot of information regarding the loans. By taking a proper research, you may get to access the best loan deal available.

With refinance student loans, you get respite from the burden of loans which in turn helps you to save a lot.