Consolidating federal and private student loans
In theory, only one lender is required to complete the process, but we normally recommend shopping around in order to get the lowest interest rate.
If you look at the private student loan consolidation companies on the market, you will see there is a wide selection and that interest rates can be just over 2%.
Given the huge differences between private consolidation and federal consolidation, it shouldn’t be much of a surprise that starting each process is dramatically different.
Federal Direct Consolidation – The Department of Education handles all federal student loan consolidation requests.
Student loan consolidation offers ways to get lower payments, lower interest rates, and pay off your loan faster.
This article contains references to products from one or more of our advertisers.Combining the wrong federal loans could result in borrowers not being eligible for preferred repayment plans.