When you consolidate your student loans while in college, do you have to begin repaying the loan before graduation or do you still have that 6 month grace period after graduation? I am confused about this.
2006-12-15 11:46:51 · 2 answers · asked by shannon_marinetti 1 in Education & Reference ➔ Financial Aid
My husband didn't consolidate his loans until he was ready to begin repayment. I'm not sure what the benefit to consolidation would be before you owe any money.
Consolidation gives you a lower payment. It is larger than each individual payment, but not as big as all of them combined. Also, sometimes you get a better interest deal.
Talk to the financial aid expert at your school, or read up at the Sallie Mae website. Make sure it is the right step for you right now, because you can't take it back. I don't think you can "reconsolidate" again later if you take more loans, either.
2006-12-15 11:51:39 · answer #1 · answered by suzykew70 5 · 0⤊ 1⤋
You do not have to pay on your loans because you enter in school deferment. However, you will forgo your grace period and enter repayment status upong your seperation from school.
Also, you can "reconsolidate" if you take out additional Federal Student loans even if you have already consolidated.
Laslty, check out the following link to see what the future of the student loan program may look like. http://www.tedkennedy.com/content/974/student-debt-relief-act
2006-12-15 20:50:20 · answer #2 · answered by grandknca 2 · 0⤊ 0⤋