There are 2 programs available for consolidating student loans.
The Fed Family Education Loan ( FFEL ) Program, thru which banks, secondary markets, credit unions, and other lenders give the consolidation loan.
The William D Ford Fed Direct Loan ( Direct Loan ) Program, thru that the government supplies the consolidation loan.
There are a few differences between these programs, as made public in the table below. Loans accepted - Can accept all eligible loans from eligible borrowers, but aren’t needed.
Earnings - Squad repayment schedule ( in which the standard payment amount is set according to the borrower’s earnings, family size, and loan debt ). Non-public vs Fed Consolidation Loans what is the Difference? A consolidation loan allows you to mix your Fed. student loans into a single loan with one regular payment. There are 2 programs available for consolidating student loans : -The Fed Family Education Loan ( FFEL ) Program, through which banks, secondary markets, credit unions, and other banks give the consolidation loan -The William D Repayment Plans- Offers 4 repayment agreements -Standard repayment schedule -Graduated repayment agreement -Extended repayment agreement -Income - Delicate repayment agreement ( in which the regular payment amount is set according to the borrower’s revenue and loan debt ) Timing of consolidation Borrowers can consolidate after they have left college and all of their loans are in grace or repayment. -In general, neither of them charges prepayment penalties or origination costs, nor are credit checks or co-signers required. Only if that bank declines can you go somewhere else. At NextStudent, we suspect that gaining an education is the best investment you can make, and we are devoted to helping you pursue your education dreams by making school funding as simple as possible.
We invite you to find out more about Personal Consolidation Loans or Fed. Consolidation Loans at student consolidation loans .