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Private Loan Consolidation

Private Student Loan Consolidation is a great way to combine all of your non-federal student loans into one monthly payment. If you have non-federal student loans and are a US citizen or permanent resident then you are eligible to apply for a consolidated loan. If you have many private student loans then consolidation might be beneficial for you.

There are many benefits to consolidating your loans. These include:

  • Reducing your monthly payments - fewer payments each month and possibly lower payments giving you more money for other living expenses.
  • Possible co-signer release after 48 months.
  • Lower interest rate when you make consecutive on-time payments and you use the automatic payment method.
  • No penalties when you make overpayments or additional payments. This means the extra money you pay goes directly to the balance of your loan, you do not pay interest with it.

In order to be eligible to apply for a private loan consolidation there are requirements that must be met.

  • Have a minimum balance of at least $10,000.
  • Be a US citizen or permanent resident.
  • Have a good credit rating or a co-signer with a good credit rating.

It is important to remember there might be an origination fee which is determined by your loan amount and your credit check. This fee will be added to your loan amount and could range from 0 - 10% of the amount borrowed.

It is possible to consolidate your private and federal student loans together, however; it is more beneficial to consolidate federal loans seperately as these are government funded and receive a lower interest rate and are much more flexible. By consolidating your federal student loans first you will also help improve your credit score by having a better income to loan ratio. This will help you secure a better interest rate for your private loan consolidation.

When you apply for a loan consolidation you will need to provide the following information:

  • Full name, Date of Birth and permanent address
  • Home phone number and temporary school phone number
  • Employer information
  • Length of time with that employer
  • Gross Annual Salary
  • Previous employer, if with current employer less than one year.
  • Monthly housing payments
  • References - This must be a different person than your co-signer

To receive your free no-obligation quote to consolidate your private loans apply on-line today!