One of the unpleasant side effects of leaving college for students who took out loans, is that lenders fill your mailbox with reminders that you still owe something for that education.
Federal loans carry a six-month grace period so there is time to develop a plan for dealing with them.
There are both benefits and drawbacks to consolidating your loans, which we’ll discuss in this article.
The average college grad leaves school with $40,000 worth of debt.
But if you switched majors, transferred colleges, or went on to graduate school, you may be among the 19% that owe $50,000 and above, or the 5.6% who owe more than $100,000.
If you did, you may want to learn how to specifically consolidate these federal loans.
The Direct Consolidation Loan allows you to consolidate multiple federal student loans into one.
You can choose to consolidate your private loans into one loan as well.