How To Consolidate Student Loans In 3 Simple Steps

Many people don't consolidate their student loans because they thought the process is troublesome and they are not eligible to do it. The truth is, consolidating your student load need not to be difficult. You can summarize the whole process with these 3 easy steps,

1. Get the best agency

There are a lot of companies which are more than happy to consolidate your student loans. And when you are looking for student loan agencies, look for the one that offer various packages that suit your need. Make sure that the package you choose is most manageable for you as a student or graduate.

Besides that, good student loan agencies will often be open about their terms and condition, repayment period, interest rate and etc. You can often access this information online or just calling up the company.

By the way, a good student loan company also won't ask for any charges when you are consolidating your student loans.

2. Form

This might be the part which most people thought as the most troublesome part when consolidating student loans. Although it is a simple form that requires personal details, what annoy a lot of applicants is that the form often needs a reference from you. Actually, that shouldn't be an issue if you are serious about your education. You can ask your tutor as your reference and a lot of them are happy to help.

And when you are filling the form, be sure that you check the terms and condition thoroughly. You want to make sure there is no hidden cost or other terms that don't work to your favor. Once you put your signature down, there will be no regret and no argument can get you out of the agreement.

By the way, you don't need to get your credit check because the federal student loans are guaranteed by the American government.

3. Time frame

Once you have signed the paper, the student loan company will check with your previous student loan companies to verify the total amount of your loan. The verification will usually take 30 days and when it is done, you and the new student loan companies will have to start discussing about the interest rate.

While that is being discussed, your previous student loan companies will start to receive payment from your newly signed student loan company to clear out your loan. And to prevent you from losing money and getting into any trouble, do ask the previous the student loan companies about your loan status. You don't want to start paying the new loan while the old loan companies are chasing you for payment.

You can manage your finance,
Michael W.