Although it might seem that you are getting a lower interest rate, your new rate is actually the weighted average of your previous interest rates, rounded up to the nearest one-eighth of one percent.
So unless you’re changing your loan term, your monthly payment and interest charges will be about the same, or slightly higher, after consolidation.
This section will cover the ins and outs of federal student loan consolidation, including the consolidation application process, and the differences between federal student loan consolidation and student loan refinancing.
Generally speaking, you can’t consolidate a loan that’s already been consolidated, unless you add on another existing loan.
For borrowers juggling multiple loan payments, federal student loan consolidation can help them lower their monthly payments, by packaging several debts into a single loan.
During tough economic times, the Federal Reserve and other central banks can lower interest rates.Refinancing your loans can lower your interest rate and your monthly payment.Federal loan consolidation can lower your monthly payment if you extend your loan term, but stretching out payments over a longer time period without an interest rate reduction can increase overall repayment costs. Brazos Brazos offers student loan refinancing to Texas residents. Should I refinance my student loans with fixed or variable interest rates? How do I consolidate or refinance my student loans? How much can I save by refinancing my student loans?With a wide variety of loan terms available, a Brazos Refinance Loan can help you meet your specific financial goals, whether you want to reduce your monthly payment or lower the total interest cost of repaying your loan. Student loan consolidation: Consolidation is the process of combining your government loans so that you can make a single monthly payment.