Articles Comments

Debt Relief – Insolvency – Bankruptcy Information » Student Loan Help » Student Loan Consolidation – Will it lower my mthly payment?

Student Loan Consolidation – Will it lower my mthly payment?

By the time I finish school next year, I figure I will owe the following in sub/unsub student loans:
$12,990.02 2.875% (Student loan deferred from last time I was in school, 82 mths (of the 120) left in payment term.)

$10,884.10 6.80%
$13,000.00 6.80%

I used the payment estimator and it said my monthly payment will be $455.26! Will my mthly payment be lower when I consolidate the loans?


  1. ADVICE needed: A LOT of Student LOAN CONSOLIDATION………..? Hi everyone. I have loans from college and 3 years worth of medical school (I did not finish). Most college...

  2. whats the best way to go about student loan consolidation? I have a bunch of student loans and i get a lot of junk mail about consolidating. Who is the...

  3. Is it possible to postpone student loan consolidation to wait for lower interest rates rates? I graduated 6 months ago with several federal student loans combining more than 40K. Is it better for me to...

  4. I am being constantly harrassed by Student Loan Consolidation outfits. What is the ripoff or horror of this? How can a person consolidate their loans clear down cheaper than the federal government originally offers it for? There must...

  5. Will my student loan consolidation loan affect my mortgage pre-approval? I am in the process of consolidating my student loans but I am going to graduate school this summer so...

Written by

Filed under: Student Loan Help · Tags: , , , , ,

2 Responses to "Student Loan Consolidation – Will it lower my mthly payment?"

  1. Irishgrl says:
    Be careful if you consolidate your loans. I tried doing this about four years ago and yes my monthly payment was going to be less, but it was only lowered because it extended my repayment play over ten years all over again!! I had roughly four years left to go and when I asked how they could make the payment that low over the next four years it was then that I was told the payment was only that low if I paid for another ten years.

    If you decide to go this route make sure you ask them what percentage rate you are paying, if and what the cap on the interest rate is and how many years will it take to pay off the loan entirely. You may end up lowering your payment but paying thousands of dollars more in interest than if you just paid the original loans. If the timing of the due dates on your loans coincide with other large bills at the same time, you can also call the loan company and most of the time they will gladly change your due date to a more convenient date for you. I had two school loans and rent due at the same time and both loan companies changed my due date for me. Good Luck!!

  2. Student Loans says:
    Congratulations on not only getting close to graduation, but also knowing your financial situation, that is a rarity for someone is school.

    Based on the figures you provided your monthly payment would approximately be reduced by half on a standard payment plan if you were to consolidate your Federal Student Loans making your monthly payments around $253 a month.

    However, if you were to choose a Graduated payment plan your payments would be significantly less than a standard payment plan. Of course the figures could change due to the fact that your Unsubsidized Stafford Loans accrue interest even though you are in school.

    In addition there are also Borrower Benefits available which would lower your interest rate even further saving you money over the life of the loan.
    .25% reduction for Automatic Debit
    1% reduction for on time payments

    For more information on Borrower Benefits, as well as a calculator you can use to see the payment options for your particular situation, please visit the source below.

Leave a Reply

Connect with Facebook


You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>

Not finding what you're looking for?
Do a custom search of our entire site:

Get Adobe Flash player