| "body"> | | | | of many payments to various lenders, each due on a |
| In this day and age most Americans are surviving | | | | different day. |
| week-to-week or at best, month-to-month. When | | | | - Extended repayment period. The original repayment |
| we buy houses or cars, we frequently pay more | | | | term for most student loans is 10 years - that's |
| attention to the amount of the monthly loan or lease | | | | pretty steep for someone on an entry-level salary. |
| payment than to the actual price of the house or car. | | | | By extending the term up to 30 years, loan |
| With savings at an all-time low, many of us are | | | | payments are reduced to a level that is much more |
| forced to spend our money as we make it, and hope | | | | manageable on an entry-level salary. |
| and pray we can keep up with payments. | | | | - Reduced debt/income ratio. One smaller monthly |
| The average college graduate, even from America's | | | | payment for student loans can result in an improved |
| top universities, is no different. Recent grads | | | | credit score and the general improvement of one's |
| particularly feel the pinch, since parental support | | | | credit profile. Starting a new career can mean |
| usually ends at graduation, and job hunting can take a | | | | needing a car, professional wardrobe, housing in a |
| few months. Even those fortunate enough to land a | | | | new city - all expensive. Having some credit available |
| job straight away often find themselves in a low-paid | | | | at such a critical juncture is a good thing. |
| entry-level position. | | | | Best of all, a consolidation loan allows the graduate |
| And to make matters worse, the new graduate - | | | | the flexibility of paying off the debt in full when he |
| excited to start the career for which he has been | | | | wants or is able. There is no prepayment penalty for |
| preparing - is painfully reminded that he is now | | | | student loans that are consolidated under the |
| responsible for repaying $10,000 to $100,000+ in | | | | federally-guaranteed program. |
| student loans. With the cost of education in America | | | | In closing, consolidating student loans is not for |
| spiraling ever higher, an ever increasing number of | | | | everyone. Stretching out payments over a longer |
| college students must rely on student loans to | | | | time period does mean that the borrower pays more |
| finance a college degree. | | | | interest over the course of the loan. But for many |
| One of the most important financial decisions a | | | | who have finished their education, started a new job, |
| recent grad will make is the consolidation of his | | | | and possibly relocated to a different city, a careful |
| student loans. Consolidation brings numerous benefits | | | | financial review will make it clear that the opportunity |
| to young adults starting out: | | | | to consolidate student debt makes sense. |
| - One payment each month, to one lender, instead | | | | |