Overcoming Student Loan Debt Via Loan Consolidation

Six years after starting school your son or daughterOf course, former students must know that if they
has a Master's degree from a top notch universitychoose a student loan consolidation loan at any time
such as Brown, Duke, or Gonzaga. Years of hardduring their 180 day grace repayment period that
work and reaching for their best has paid off as yourstarts upon their graduating from school, then the
offspring has landed a plum position with a researchrepayment on the consolidated student loan must
company in the Dallas area. That $50,000 per yearbegin at once. Therefore, if you are considering
starting salary certainly is competitive but your adultconsolidating your loans you may want to time it so
child has one big problem: student loan debt in thethat you are either ready to make your first
neighborhood of $106,000! Yes, school is done butpayment ahead of time or have the consolidated loan
much debt remains; enough so that it could take akick in after your grace period has expired. Yes, you
full 20 years to retire his or her obligations.may have to make payments to a variety of lenders
Nobody wants to be saddled with too much debt,until that happens, but once the consolidated student
unfortunately many university graduates are facedloan has been approved then you will only have to
with that proposition. Eventually, additional types ofmake one monthly payment.
loans will need to be considered including loans for aSo, who is eligible for a government student loan
new car or a first home; having student loan debt onconsolidation? Well, if you have at least one Federal
top of it all of that can make it very difficult to makeFamily Education Loan (FFEL) or Direct Loan that is in
payments on that new car or house.its grace, deferment, repayment, or default status
There are some options you need to know about atthan you are eligible for this type of loan. In addition,
this point in the student loan repayment game. Theseyou can consolidate a PLUS loan, a Perkins loan
options include:(provided that you also have a direct loan or FFEL
A Direct Consolidation Loan - Yes, chances are yourloan too), and you can even consolidate some health
adult child's student loans are through a variety ofprofession loans.
lenders making it difficult to juggle different paymentFinally, in many cases you are allowed to change your
due dates throughout the month. Thankfully, you canrepayment plan options as time goes by. Perhaps the
consolidate these loans into one payment to just onestandard repayment plan was working well for you,
lender saving the hassle of sending out multiplebut you since married and had a child. You may find
payments throughout the month.that mortgage payments are putting enough of a
Variable Repayment Plans - Unlike the standardsqueeze on your finances, therefore an income
student loan, borrowers can elect to repay theircontingent repayment plan may be the best choice
students loans by choosing a variety of repaymentfor you at this time. Regardless, you have some
plans. If you consolidate your loan through the U.S.options available to you when you select a direct
Department of Education, you have as many as fourconsolidation loan, options that several different
repayment plans available to you. These plans include:student loans may not have made available to you.
a standard repayment plan where your repaymentSo, should you consider consolidating your student
amount stay fixed for ten years; an extendedloans? That answer is "yes" if you are looking for
repayment plan where the monthly bill is lower butmore options than what you have available to you
the repayment period is longer from 12 to 30 years;now and you are looking to save money, reduce
a graduated repayment plan where you have 12 toyour hassles, or extend your repayment period.
30 years to repay your loan and where paymentsPlease visit the U.S. Department of Education's
bump up every two years; and an income contingentstudent loan site at LoanConsolidation.Ed.Gov to learn
repayment plan that is based upon your salary andmore about the options which are currently available
can be spread out for as long as 25 years.to you.