| Consolidating a student loan means taking out a loan | | | | the fact that one pays a smaller amount. |
| to cover many other debts. This is possible even | | | | Student financing consolidation has an advantage |
| when such financing is done by different lenders. A | | | | over other forms of repayment since there are no |
| student is normally given a six month grace period | | | | prepayment penalties. This means that the individual |
| after higher education completion. During this period, | | | | can make a prepayment without worries of being |
| no payments towards the education debt is | | | | charged over it. This in turns help the debtor to save |
| expected. It is during the grace period that the | | | | a reasonable amount at the end of the whole |
| student is expected to make a decision towards | | | | process. |
| consolidation. | | | | The most obvious of the advantages of student |
| Student loan consolidation has a number of | | | | financing consolidation is that the debtor will only be |
| advantages as compared to other repayment options | | | | accountable to only one creditor at the end of the |
| available to the debtor. Among the advantages | | | | month. This saves the students money in terms of |
| available is the fact that you can get a lender who | | | | the interest charged on each of these debts. The |
| will not charge any fees. This means of repayment is | | | | student under this repayment program will also be |
| also an advantage to the borrower since they are in | | | | eligible for deferment. This means that the debtor |
| a better position to improve their credit. The lender | | | | can temporarily be exempted from making payments |
| will normally give an account to the credit bureaus on | | | | due to some stated reasons. |
| how payments are being made. This is attributed to | | | | |