Repay student debt

Find out about consolidating or refinancing your private loans at a lower interest rate. Keep in mind that unfortunately not all private student loan companies offer assistance when consumers are struggling to repay their loans. No Yes Can I save money? What steps do I need to take to qualify for co-signer release? Before you consolidate, make sure you understand the terms of this new payment arrangement and the terms of your new loan. IIf you fail to repay a private student loan in default, it can severely damage your credit record and your credit score, making it difficult or more expensive to take out a mortgage, buy a car or even get a credit card. Yes No Will I pay just one monthly bill?

Federal student loan consolidation basics

Your situation

A Direct Consolidation Loan allows you to consolidate (combine) multiple federal education loans into one loan. The result is a single monthly payment instead of multiple payments. The result is a single monthly payment instead of multiple payments. A Direct Consolidation Loan allows you to consolidate multiple federal education loans into one loan at no cost to you. Through your completion of the free Federal Direct Consolidation Loan Application and Promissory Note, you will confirm the loans that you want to consolidate and agree to repay the new Direct Consolidation Loan. A Direct Consolidation Loan allows you to consolidate (combine) multiple federal education loans into one loan at no cost to you. Through your completion of the free Federal Direct Consolidation Loan Application and Promissory Note, you will confirm the loans that you want to consolidate and agree to repay the new Direct Consolidation Loan.

Payment plans based on your income

Important Dates

But unlike the federal government, they can consolidate both federal and private loans. The goal with this process is not only to get the ease of a single payment, but to receive a lower interest rate based on your financial history.

NerdWallet adheres to strict standards of editorial integrity to help you make decisions with confidence. Some of the products we feature are from partners. We adhere to strict standards of editorial integrity. Some of the products we feature are from our partners. Student loan consolidation Student loan refinancing What does it do? No Yes Can I save money? Consolidation may lower your payments by extending the loan term, but your interest cost will increase Yes Can I use federal loan protections, repayment options and forgiveness programs?

Yes No Will I pay just one monthly bill? How to use income-driven repayment plans. We want to hear from you and encourage a lively discussion among our users. Please help us keep our site clean and safe by following our posting guidelines , and avoid disclosing personal or sensitive information such as bank account or phone numbers. Any comments posted under NerdWallet's official account are not reviewed or endorsed by representatives of financial institutions affiliated with the reviewed products, unless explicitly stated otherwise.

Consolidation may lower your payments by extending the loan term, but your interest cost will increase. Federal Loan Consolidation involves taking out a new Consolidation Loan to pay off existing federal loans i. You may consolidate either all, or some of, your federal loans.

You will lose any benefits, such as cancellation benefits on your underlying loans You will lose any benefits, such as cancellation benefits on your underlying loans. It is especially important to review the cancellation provisions of Perkins Loans, and Federal Direct Loans where applicable, before determining whether to consolidate them. Review general information about cancellation provisions at: You will lose any lender-specific borrower benefits on your underlying Federal Direct or Federal Direct Grad PLUS Loans Some lenders offer loan benefits, either principal reductions or interest rate reductions, which may reduce the overall amount of your repayment.

When you consolidate you pay off the original loan and any benefits associated with that loan are lost. You will lose your grace periods on your loans. At consolidation, you will lose your grace period and enter repayment immediately. Therefore, if you decide to consolidate, wait until the latter part of your grace period to do so.

However, you should allow weeks for processing. A grace period is a short time period after graduation during which the borrower is not required to begin repaying his or her student loans.

The grace period may also kick in if the borrower leaves school for a reason other than graduation or drops below half-time enrollment. Depending on the type of loan, you will have a grace period of six months Federal Direct Loans or nine months Perkins Loans before you must start making payments on your student loans.

Sign Up for Direct Deposit. Enroll in the Penn Payment Plan. Check Financial Aid Application Status. View Financial Aid awards. Review the Student Rights and Responsibilities Statement.

Search Federal Work-Study Jobs. Student and Parent Loans.