<p>Can only graduates consolidate their loans?</p>
<p>I think I read that you can consolidate as an undergrad, but you lose the payment and interest deferral.</p>
<p>This is true, undergrads can also consolidate. But so what. on losing the deferment. You can come out thousands ahead by consolidating. Current stafford in deferment is 0 interest; unsub staff and repayment status is ~2.7%. Wait until July 1, unsub and repay stafs will ~5%. Consolidate can get you as low as ~1.7% (after discounts) fixed for 10+ years. Why would anyone take a chance on a possible 5% or more when you can get a guaranteed ~1.7% . </p>
<p>Examine your repayment program on the staff/PLUS and repayment programs for consolidation. Do your homework. ~ 14 days left.</p>
<p>What I have reveived so far are offers for consolidating to 2.63% from CLC (college loan corporation) or from AAA at 2.875%. What is the best way to get the best fixed rate?</p>
<p>Please do your homework and read the terms! OR have them explain the terms to you verbally. The websites are excellent in their explanantion. < 13 days left.</p>
<p>My low consolidated rate is based on what the initial stafford loan is. The consolidated loans will be based on your weighted average of your loans at time of consolidation. Discounts will apply on how you pay this loan off.</p>
<p>If the only federal loan we have is one year of a subsidized Stafford for this last year, does consolidation still make sense? (My son will be a soph next year, with more loans to come)</p>
<p>I called yesterday to find out all the details about consolidation and was told (and later saw in the small print) that there is a minimum of $7500 in federal loans required in order to consolidate. I was told they sent it to me in error since we don't qualify.</p>
<p>You can turn down the consolidated loan when the loan is approved. My lender has provided written notice, that this approval will take at least 8 weeks. You can think about your decision until get the approval. </p>
<p>You can keep your stafford and not consolidate. If you do you could be looking at 9% variable interest (I forgot the max rate). </p>
<p>If you apply and decide that you want the consolidation, you will get a rate of no more than 2.825% fixed, and if you make ontime payments and preauthorized payments that rate will go even lower. </p>
<p>For your future Staffords- your rate will be what ever the rate is, Prime + 2.0%. Those students who are in payment on STAFFORDS will see their rate go from ~2.8% to ~5%. Which would you chose if you were a banker? If a borrower? </p>
<p>DO YOU HOMEWORK, RESEARCH> NOT CONTACTING A LENDER WILL COST YOU $$.</p>
<p>Our lender had a minimum consolidated amount, also. You will need to do your inquiries to comfirm that other lenders have the same minimum--RIGHT?</p>
<p>thanks, boxcar and itstoomuch,
I'll look into this.</p>
<p>Does consolidating loans still apply to you when you are going to be a freshman in this fall and has been offered loans from your school that you're planning on attending?</p>
<p>I wouldn't think so as you need to do it before interest goes up on July 1st and if you don't already have ($7,000?) worth of loans you wouldnt be eligible
We are getting information but since there seems to be significant disadvantage by losing the deferment period, losing the ability to cancel debt by joining Peace Corps or teach for America, an extended loan period, we are going to be looking hard at whether it is right- for these loans.</p>
<p>So July 1st has come and gone. What was the increase?</p>
<p>*The new rates, which will be in effect for a year, are based on the last 91-day Treasury bill auction in May. On Friday, the interest rate on more recent federal Stafford loans automatically jumped from 2.77 percent to 4.7 percent for students in school or those in deferment and grace periods.</p>
<p>The rate for borrowers already repaying on student loans rose from 3.37 percent to 5.3 percent. And for parents with a Parent Loan for Undergraduate Students, or PLUS loan, the rate jumped from 4.17 percent to 6.10 percent.*</p>
<p>I found this</p>