Student loan consolidation has always been confusing for me. So I sat down with my law school student loan coordinator recently to find out the benefits of consolidating student loans, the disadvantages, and other things to know before consolidating student loans. This is what I learned.
Fortunately, student loan consolidation isn’t difficult. In fact, most students do it, especially about six months after graduation. Normally, school loans have a six month grace period, but after that, students have to start making payments on their student loans unless the loans are moved into deferment or forbearance.
In general, student loan consolidation is a good option.
The benefits are simple. You save money and reduce paperwork.
The disadvantages of student loan consolidation are narrow, but you should be aware of them to protect yourself.
Since I had previously discussed student loan consolidation on this blog, I edited that page rather than recreate a new guide to student loan consolidation. Go here to read this quick overview of the student loan consolidation process.