| If you're wanting to know how to consolidate federal | | | | these together you may lose out on many of the |
| student loans, this article will help you go in the right | | | | benefit's the Federal loans provide. Interest paid on |
| direction. Consolidation can be a great tool, and you | | | | federal loans is tax deductible, the loans can |
| are able to consolidate your federal loans under | | | | sometimes qualify for forgiveness, and they are |
| certain circumstances. | | | | easier to defer. Private loans don't generally offer |
| Eligibility | | | | these advantages. Keep this in mind when you are |
| In order to consolidate a federal student loan, you | | | | looking for lenders to consolidate with. |
| must meet a few eligibility requirements. As long as | | | | Contact The Lender |
| you are no longer enrolled in school, or are enrolled | | | | To start the process you must first contact the |
| less than half time then you're federal loans will be | | | | lender you have gone through for your federal loan. |
| eligible to consolidate. You also must be either | | | | Generally the application is simply a form that needs |
| repaying the loan or still in the grace period. A | | | | to be filled out. There are only certain lenders that |
| defaulted federal loan may not be eligible, you'll need | | | | are able to consolidate federal loans. Chances are, the |
| to check with the lender if this is the case. Most | | | | lender you have already received the loan through is |
| companies will also only consider consolidation if the | | | | certified to do this. Be aware that consolidation of a |
| loan amount is at least $10,000. | | | | federal loan may take longer to go through than a |
| Private VS. Federal Loans | | | | private loan. It's also important to understand that a |
| While it may sound appealing to consolidate both | | | | consolidation is an application for a new loan. The old |
| types of loans together, it's not recommended. The | | | | loan is paid off and you will have a new payment to |
| two types of loans are quite different from each | | | | make every month. Depending on the lenders |
| other, and the federally funded loans have many | | | | requirements for new loans, the process can vary. |
| advantages over the private loans. If you consolidate | | | | |