Federal Student Loan Debt Consolidation
What kind of questions should you ask when considering a federal student loan debt consolidation?
• Federal student loan debt consolidation will sacrifice any borrower benefits currently available for your existing federal student loans.
• You do not need to consolidate your federal student loans to get a lower monthly payment amount. Sallie Mae offers extended and graduated repayment plans that can significantly lower your monthly payment. You do not have to complete an application. In addition, your monthly payment can be lowered immediately.
• Federal student loan debt consolidation is likely to lock in a rate that is higher than the rate you are paying right now.
• Consolidating any variable-rate student loans now will prevent you from taking advantage of a future decrease in variable rates.
• Federal student loan debt consolidation is irreversible. Once you consolidate your federal loans, you cannot “undo” the consolidation.
• You do not need to consolidate your student loans in order to make one monthly payment. Sallie Mae can provide you with one bill for your federal and private student loans serviced by Sallie Mae.
• Sallie Mae’s consolidation program currently is available to borrowers seeking to consolidate at least $30,000 in eligible federal student loans.
Before you choose a repayment plan:
• Understand the repayment options available to you. Sallie Mae offers standard, graduated, income-based, and extended repayment plans.
• Know that consolidation is not your lowest-cost option. Your interest rate could be higher, you will extend your term, and you could also sacrifice valuable borrower benefits.
• Realize that Sallie Mae gives you the convenience of one bill and one monthly payment for all your Sallie Mae-serviced loans without having to consolidate your loans.
• Compare your repayment options. Estimate your monthly student loan payments with there Loan Repayment Calculator. On the other hand, if your loans are in repayment, you can view your repayment options at www.manageyourloans.com. Alternatively, you can call us at 1-866-913-6089.
Know that you can prepay your loans in part or in full at any time without penalty. This will lower the overall cost of your loan.
• Realize the importance of paying back your student loans.
Get what you need in a repayment plan.
Sallie Mae offers repayment options that can help you lower your monthly payments:
• Extended repayment
• Graduated repayment
• Income-sensitive repayment
Make level monthly payments of principal and interest to help control interest costs.
• Standard repayment
Postpone your payments
• Deferment
• Forbearance
You may also consolidate your private student loans. By consolidating your private student loans, you get the superior benefits and services of being one of our customers, plus the convenience of having all your student loans with one lender. Find out how:
• Private student loan consolidation
Sallie Mae’s private student loan consolidation is a program that may help you get monthly payment relief or interest rate savings for your private student loans.
If you consolidate your private student loans, you will have one bill, one payment, and one point of contact. Sallie Mae customers may be eligible for special loyalty pricing!
The Private Student Loan Debt Consolidation provides $5,000–$275,000 (without a cosigner) for eligible borrowers to combine one or more existing private student loans into one new loan.