| (1) LOWER MONTHLY PAYMENTS:- Depending on | | | | interest rate of about 18% to 20% can lead to the |
| the student loan situation and the type of lender | | | | generation of loan debts up to the tune of several |
| chosen, there could be reduction in payments up to | | | | thousands of dollars when one pay the minimum |
| about 50%. | | | | monthly payments on high interest credit card debt. |
| (2) HAVING FIXED INTEREST RATES:- With some | | | | Hence in this regard ,having an efficient student loan |
| federal consolidation loans ,there is always a fixed | | | | consolidation scheme may be the best option if one |
| rate for the life of your student loan. It's best to do | | | | can get lower interest rates when consolidating the |
| research to see what the best interest rates and | | | | loans. |
| term you are eligible for. | | | | (5) NEW INTEREST RATES:- With a new student |
| (3) EXTENSION OF PAYMENT PERIOD:- You may | | | | loan consolidation, there is every likelihood that one |
| have a lot of student loan debt. With federal | | | | will be able to get able to get much better interest |
| consolidation loans ,there could be extension of | | | | rate. Interest rates are now at an all time low and as |
| payment plan up to about 30 years. | | | | such one may have been paying on debt built up |
| (4)LOWER INTEREST RATES:- Student loan | | | | from several years ago, at high interest rates.It |
| consolidation can help one in conserving a lot of | | | | should however be noted that things have changed |
| funds. For instance the use of a credit card with a | | | | tremendously over time in the financial industry. |