If you have outstanding student loan debt, you may be eligible to consolidate all your loans. Loans eligible for consolidation include Federal Subsidized and Unsubsidized Stafford Loans, Federal Perkins/NDSL Loans, Health Professional Student Loans, and Federal Parent Loan for Undergraduate Students.

The advantages of consolidation include:

1. You will have a lower monthly payment. By extending the repayment period, you can reduce your monthly payment. Lowering your monthly payments to fit your budget may help avoid late payments.
2. You will have one monthly payment to one lenter. If you have loans with more than one guarantor or bank, Loan Consolidation allows you to make one monthly payment instead of several minimum payments to different banks or lenders.
3. The interest rate is the weighted average of the loans consolidated rounded to the nearest whole percent.

The disadvantages of consolidation:

1. You will pay a higher total interest amount. By extending the repayment term of the loan, you will pay more interest over the life of your loan.
2. You will be making payments for a longer period of time. You may be paying the loan for up to 30 years depending on the total indebtedness of your loans. However, if at some point you are able to, you can repay the loan earlier with no penalties.

It is important to remember that once the Consolidation Loan has been made, it cannot be reversed. The reason for this is that the underlying loans have been paid off and no longer exist.

For more information regarding the Consolidation process, please contact any one of the following agencies.