Are you having trouble repaying your student loans? Do you have multiple student loans and just cannot keep track of paying all of them on time? Do you wish you could combine all your student loans into one with a low fixed rate interest rate? Well, guess what, you can.

There are many lenders, credit unions and even the federal government that can help students, graduate students, and even parents consolidate their student loans to simplify there debt. There are many student loan consolidation experts willing to guide them through the systematic process of bundling all there student loans into one new student loan to reduce the number of there bills, manage there finances, and get on the fast track to lowering there monthly payments. Read below to find out how a little research on the internet can assist with federal, private, and parent loan consolidations to help you save money!

A federal consolidation loan combines all outstanding student loans into one manageable loan. All federal student loans qualify for student loan consolidation, including: Stafford, PLUS, Perkins, Direct loans, HEAL, SLS, Health Professional Student Loans, NSL and Guaranteed Student loans. Both parent and student borrowers can take out a federal consolidation loan; however, they must consolidate their loans separately. Due to a provision, which took effect on July 1, 2006, married students can no longer combine their loans for consolidation purposes. Each borrower must consolidate there own student loans separately.

Consolidation is only available after loans enter the repayment period or during the grace period. It is no longer possible for students to consolidate while they are enrolled in college. By contrast, parents are allowed to consolidate PLUS loans at any point in time. Borrowers can also consolidate student loans that are in default where repayment arrangements are satisfactory.

Even if parents and students have all of their student loans with one particular lender, they can choose to consolidate their student loans with a different lender. This helps them obtain better savings and a lower rate. A minimum balance for loan consolidation is usually required by a majority of lenders.

Borrowers should consolidate federal and private student loans separately, since federal consolidation offers lower interest rates and greater advantages. The interest rate is computed by averaging the interest rates of the loans to be consolidated and rounding it up to 1/8 of a percent. The interest rate of a consolidated student loan can be as low as 4.5%; it is capped at 8.25%. However, if a borrower extends the loan’s term, the interest amount he will be required to pay over the lifetime of the loan will be higher.

There are no credit checks associated with federal loan consolidation. The repayment period is longer. A federal student loan consolidation usually decreases the amount of the monthly payment, sometimes by as much as 60%, by extending the loan period beyond the standard 10-year repayment plan. The repayment period can range anywhere from 12 to 30 years depending on the size of the loan.

It should be said that student loan borrowers cannot consolidate student loans, both federal and private, into one private consolidation student loan. Borrowers still have a choice among multiple private student loan consolidation options. The principal advantage reaped from private student loan consolidation is receiving a single monthly payment. The monthly payment might also be lower since consolidation resets the student loan period. As with federal consolidation, private consolidation student loans that have a longer repayment period will result in higher total interest paid throughout the student loan’s term. Borrowers should find out whether the private consolidation student loan’s interest rate is variable or fixed, whether there are prepayment penalties, and whether any fees are charged.