And while our site doesn’t feature every company or financial product available on the market, we’re proud that the guidance we offer, the information we provide and the tools we create are objective, independent, straightforward –- and free. " Like the federal government, private companies offer the option to consolidate multiple student loans into one.
The goal with this process is not only to get the ease of a single payment, but to receive a lower interest rate based on your financial history.
These options can also work if you don’t own a home or have enough home equity to roll your education debts into a new mortgage.
When comparing loans, it’s easy to focus exclusively on interest rates, but don’t forget to compare lender fees and costs.
The Department of Education offers consolidation loans for federal direct education loans and eligible loans backed by the government, but a federal consolidation loan may not lower your current loan rates by much.
Federal consolidation loans carry interest rates based on a weighted average of the rates on your current student loans.