By law, all consolidators of federal student loans must use the same interest rate formula, so lenders try to differentiate themselves with borrower benefits. . . ie a certain percentage discount if you pay on time, etc. It is important to read the fine print and understand how you become qualified for or disqualified for a lender’s borrower benefits programs. Beyond savings, borrowers should consider customer service, flexible repayment options, online account access and applications, reputation and industry experience when selecting a lender. Lots of shady characters have entered the consolidation market recently, many of whom just “flip” your loan. It’s important to do your research and stick with a large, reputable firm.
Sallie Mae offers a special benefit in that if you have a Upromise account, (where you get a deposit into an account for buying everyday things) you can transfer your earnings to pay for your consolidation loan. They also have a quick tool that tells you how much you can save if you consolidate, and lots of good info: http://www. salliemae. com/after_graduation/manage_your_loans/consolidate_student_loans/federal/student_loan_consolidation. htm
By law, all consolidators of federal student loans must use the same interest rate formula, so lenders try to differentiate themselves with borrower benefits. . . ie a certain percentage discount if you pay on time, etc. It is important to read the fine print and understand how you become qualified for or disqualified for a lender’s borrower benefits programs. Beyond savings, borrowers should consider customer service, flexible repayment options, online account access and applications, reputation and industry experience when selecting a lender. Lots of shady characters have entered the consolidation market recently, many of whom just “flip” your loan. It’s important to do your research and stick with a large, reputable firm.
Sallie Mae offers a special benefit in that if you have a Upromise account, (where you get a deposit into an account for buying everyday things) you can transfer your earnings to pay for your consolidation loan. They also have a quick tool that tells you how much you can save if you consolidate, and lots of good info: http://www. salliemae. com/after_graduation/manage_your_loans/consolidate_student_loans/federal/student_loan_consolidation. htm