Eligible Student Loans for Consolidation
Jump to a new topic:
Student loans eligible for consolidation include: |
||
(By the way, don't let so-called ineligible loans such as defaulted, delinquent or private loans deter you from consolidation. Give us a call at 1-866-652-2121 and we'll show you how these can be consolidated too!)
The Federal Family
Education Loan Program (FFELP)
FFELP loans are lent to borrowers by private lenders such as banks, credit unions, savings and loan associates, state guaranty agencies, or other lenders that participate in the program.
- Federal Subsidized Stafford Loans (SS)
- Federal Unsubsidized Stafford Loans (US)
- Federal Parent Loans for Undergraduate Students (PLUS)
- Federal Supplemental Loans for Students (SLS)
- Federal Perkins Loans (PERK)
- National Direct Student Loans (NDSL)
- Loans for Disadvantaged Students (LDS)
- Auxiliary Loans to Assist Students (ALS)
- Federal Subsidized Consolidation Loans (SCON)
- Federal Unsubsidized Consolidation Loans (UCON)
- Health Education Assistance Loans (HEAL)
- Health Professions Student Loans (HPSL)
- Nursing Student Loans (NSL)
- Federal Insured Student Loans (FISL)
- Guaranteed Student Loans (GSL)
William D. Ford Federal
Direct Student Loan Program (FDSLP)
Direct loans lent to borrowers directly by the US Government.
- Federal Direct Subsidized Stafford Loans (DSS)
- Federal Direct Unsubsidized Stafford Loans (DUS)
- Federal Direct Consolidation Loans (DCON)
- Federal Direct Parent Loans for Undergraduate Students (DPLUS)
Campus-Based
Loans
Your school is your lender. The loan is made with government funds, and your school contributes a share. You must repay this loan to your school.
- Federal Perkins Loans (PERK)
- Health Professions Student Loans (HPSL)
- Nursing Student Loans (NSL)
Reconsolidation of
Previously Consolidated Loans
If you have a previous Federal Consolidation Loan and you want to reconsolidate, you may do so as long as you meet one of the following criteria:
- you have a previous consolidation with William D. Ford (Direct) Loans, or
- you have at least one Federal loan not included in your original consolidation, or
- your spouse has a separate Federal student loan or Federal consolidation loan, or
- you have a previous consolidation loan with another lender.
If you would like to re-consolidate, please contact one of our Student Loan Consultants toll-free at 866-652-2121 to obtain an estimate on what your new interest rate will be. We must use your current consolidation fixed interest rate when determining your new interest rate.
Have a previous consolidation with no new loans to add in and want to lower your fixed rate even more? Call us at 1-866-652-2121 to find out how!
Loans Already in
Forbearance or Deferment
In most cases, when you consolidate your student loans you retain your rights to forbearance and deferment. Talk with your Student Benefit Services Consultant about your specific deferment and forbearance rights by calling us toll-free at 1-866-652-2121.
Spousal Consolidation Loans
If you're married and both you and your spouse have outstanding federal student loans, you are no longer able to combine your loans into one consolidated loan.
Although a joint spouse consolidation loan sounds like a good idea, there are some important issues to consider. Each of you would be responsible for repayment of the entire combined consolidated loan even in the event of death, disability or divorce. In most cases, both of you would have to qualify for deferment or forbearance in order to obtain that benefit. These are the main reasons the was changed to abolish spousal loan consolidation.
What is be more beneficial for married couples considering spousal consolidation is for each spouse to separately consolidate his or her student loans into their own consolidation loan to minimize risk. And for added convenience and at no charge, SBS can provide one monthly bill for each consolidation loan's monthly repayment amount, so that's there's still only one monthly payment to deal with!
Your SBS Student Loan Consultant will be happy to review the pros and cons of spousal consolidation for your particular situation.
Ineligible
Loans
The following ineligible loans may not be included in a FFELP Consolidation Loan. However, some of them may be considered in the calculation of the maximum repayment period under the certain repayment plans:
- Delinquent / Defaulted Loans
Want to find out how to consolidate your delinquent/defaulted loans without any penalty? Contact us today!
- Public Health Service Loans
- Private Student Loans
Note: If you add a private loan into a federal consolidation, the loan turns private and you lose all of your federal benefits. If you'd like to consolidate your private/alternative student loans through the SBS consolidation program, contact us today.
- Non-education Loans
If you are not certain that your loans meet the eligibility requirements, please contact your current lenders to determine if the loans are federally issued.
How to Get the Pre-July 1st Interest Rate After the Deadline!
According to the U.S. Department of Education, if you have "substantially completed" a student loan consolidation application prior to July 1, 2006, you may still qualify for the lower pre-July 1 interest rate, even at this late date!
CURRENT STUDENT LOAN CONSOLIDATION
INTEREST RATES
5.375% - 6.125%*
Testimonials