Re consolidating consolidated student loan
Can I consolidate my student loans if I’m in default?Yes, as long as you don’t have a wage garnishment against you.The purest form of consolidation is only available for federal loans, but it is possible to combine private loans.
In addition, you will have an unpleasant time if you get divorced and have your loans held jointly.If you’ve only used one lending source, you may have limited options on who to consolidate with. government are always more borrower-friendly than private student loans. Finally, you can get information on loans and view current rates at this Direct Loan page.If you’re still in school now, consider getting loans from other lenders so that you have more choice when you graduate. Think carefully before mixing the two types (for example, you'd need a good reason to consolidate federal student loans under with a private lender). You cannot consolidate student loans with your spouse, but joint consolidation was possible before 2006.Consolidating your defaulted student loans and enrolling in an income-based repayment plan can be an excellent way to get a “fresh start” and make your student loan situation much more manageable.Those that have a wage garnishment must first go through rehabilitation before being eligible to consolidate. You are typically able to consolidate after you graduate, leave school, or are below half-time enrollment.Generally speaking, federal loan consolidations are relatively easy to qualify and apply for and offer many more benefits than private loans.Federal consolidation is also much easier to become qualified for, and unlike private consolidations: “Student loan consolidation is the process of uniting some or all of your student loans into one new loan.Student loan consolidation programs are unique because they offer certain benefits that only come with student loans.A few of the biggies are: If you have private student loans, you can still "consolidate," but you're really just refinancing those loans.You’ll likely get a pile of mail as you near graduation. If your loans are from government programs, it's often wise to consolidate under the federal Direct Loan program. They may have heard some recent success stories (and horror stories).Again, these loans have the most consumer-friendly features. If you decide to work with a private lender, be careful about combining federal and private loans.