Student Loan Consolidation

Student loan consolidation is one of the most used methods for reducing and working off student debt. If you want to consolidate debt, whether it's a student loan debt or not, you have to follow a certain process. However, this process is easy to follow and will absolutely not require big efforts from your side.

Here is what you have to know about the consolidation process: You combine all of your various student loans into one large loan. Instead of paying toward all your loans each month, you make one payment towards this one loan. So, what will I gain with this, you may ask. If you compare the numbers before and after you have consolidated your student debt, you'll understand that it's a very good deal.

To start out the working career with an overwhelming amount of debt is a daunting prospect to put it mildly. But the fact is that many college graduates unfortunately are facing this situation. Fortunately consolidating your student loans is a great way to meet the challenge of getting rid of the burden of debt from school or college.

The main benefit of consolidation is that you'll normally pay a lower interest rate then compared to what your various loans are already set at. This works the same way as refinancing a home in order to have a lower mortgage payment. And be aware of the fact that the current interest rate is the lowest it has been in almost 40 years. When you do a consolidation you'll pay one interest rate, not several different rates. And at the time you took these loans, the rates were probably higher.

And this means money saved: A lower interest rate on a relatively big loan can save you thousands of dollars in the long run. And in addition to this, some lending companies offer rate reductions for students consolidating their loans while they are in their grace period. A warning though: Stay away from companies that require you to start your payment immediately after the grace period. There are financing companies out there that don't require this. Go to them!!!

And as if this wasn't enough, some companies even offer additional rate reductions. I have heard about companies that reduce your rate by one percent if you make all of your payments on time for two years. And this comes in addition to the discounts described above. One percent may seem small, but if you see it in a perspective of, let's say 20 years, which is a normal payback schedule, it can mean lots of dollars saved.

Another benefit with student debt consolidation is saving time and effort. It's much easier to handle one payment monthly than several separate payments.

A convenient way to do the monthly payments is to let the loan company deduct it directly from your bank account. Some companies allow that. And if it is a really good student loan consolidation, it will even give you a little interest rate reduction by handling your loan payments this way.

So, if you find that loan consolidation is (in) for you, your challenge is to decide which loan consolidation company to approach and finally select. What I would recommend is that you make a list of all the questions you might have, call a few companies and speak with their representatives. Or you can go online to find a good student loan consolidation company. There are some great companies out there.

Terje Brooks Ellingsen is a writer and internet publisher. He runs the website 1st-In-Loan.net Terje gives advice and helps people with personal financial issues like debt solutions and debt consolidation

---

Bad Credit Debt Consolidation Loan

Nowadays, many people can get into a bad credit situation... Read More

Debt Consolidation ? Options for Reducing Your Debt

Studies show that Americans are now saving less than ever... Read More

Individual Voluntary Arrangement IVA, an alternative to bankruptcy

Individual Voluntary Arrangement, IVA is an alternative to bankruptcy -... Read More

What is a Debt Consolidation Loan?

If your objective is to reduce interest rates and lower... Read More

What is Debt Consolidation?

Debt consolidation may be the answer for anyone drowning in... Read More

Debt consolidation ? Options for Reducing Credit Card Costs

Americans are using credit cards more than at any time... Read More

Benefits of a Debt Consolidation Loan

There are many benefits in choosing a Debt Consolidation Loan,... Read More

Private Student Loans ? Dispelling The Myths

Private Student Loans ? dispelling the mythsIf savings, grants, scholarships,... Read More

Debt Consolidation for Homeowners: Saving Grace for Inept Borrowers

You cannot understand the importance of being a homeowner until... Read More

What Your Mama Never Told You About Debt Consolidation Services

When someone is extremely deep in debt, and he or... Read More

Debt Consolidation - Is It Really The Best Option For You?

It is a very common question that people pose to... Read More

Choosing the Right Credit Counseling Agency for You ? Some Tips

Credit counseling companies come in all shapes and sizes. Whether... Read More

How to Find the Best Debt Consolidation Secured Loan

If debt is a way of life for you, it's... Read More

Re-Mortgages ? There?s Help For Bad Credit Ratings On The Way

As any report on the subject will reveal, million of... Read More

Debt Consolidation Benefits

If you've ever been in a situation where you needed... Read More

Debt Elimination: Legal! Lawful! Ethical! Debt Elimination Really Works

You are trying hard to eliminate your loans but keep... Read More

Whats the Difference Between Debt Settlement and Debt Consolidation?

The Debt Settlement process involves negotiating with your creditors to... Read More

16.4% APR $5,000 Auto Loan...HELP!

Are you the victim of a high interest rate auto... Read More

Debt Consolidation: Why And How This Strategy Often Backfires!

Debt consolidation solutions, has found that as good as it... Read More

Debt Management - Debt Management Fees

Debt management fees can vary vastly from one company to... Read More

How To Get Rid Of Debt Problems Step 2 -- How To Prepare A Financial Statement

Here is how to prepare a financial statement, for the... Read More

Are You Buried In Debt?

Are you having a problem paying your bills? Are you... Read More

Debt Consolidation Loans: Thousands Now Out Of Debt, Who Never Thought They Would Be!

A Debt consolidation loan: Is a personal loan you use... Read More

Debt Consolidation Loan

Debt Consolidation of Different LoansDebt consolidation refers to the restructuring... Read More

Debt consolidation ? More Options for Reducing Credit Card Costs

Borrowing money against your credit cards has always been among... Read More

Debt Consolidation Mortgage: Home Solutions for Integrating Arrears

Credit card debts, auto loans debts, secured loans debts, unsecured... Read More

What You Need to Know About Debt Consolidation

Debt consolidation is often a last resort for people who... Read More

Debt Management - How a Debt Consolidator Can Reduce Your Debt

A Debt consolidation program starts with evaluating your financial situation.... Read More

Debt Consolidation Solution

Debt Consolidation is a solution that solves your debts. Debt... Read More

Debt Consolidation can Ruin Your Credit

Yes, Debt Cosolidation isn't a good idea and I'll tell... Read More

Debt a Glossary of Terms

Bankruptcy - Having been legally declared financially insolvent. There are... Read More

Debt Consolidation ? Discipline is Required if Consolidating with Home Equity

Debt consolidation is a popular topic these days. The average... Read More

Financial Aid - When Should I Apply For?

Many different types of financial aid are available to you... Read More