Is there any reason to not consolidate a federal perkins loan?
828556
DON'T CONSOLIDATE THE PERKINS LOAN!!! Why? B/C perkins has lowerest interest rate compared to stafford.  Perkins, is 5% so when you consolidate it, you will basically throwing away 5% to get what 6.8% or more.  If you want to consolidate anything, then just the stafford loan.  If perkins is about to go up, you will be notified of such then you can consolidate. then you can lock it at 5%.
888687
I have a Sallie Mae loan and you absolutley right, they will not Allow you to consolidate they call you every 10 minutes it's retarded. I really wish I would have never got a loan through them.
1183189
Please, please, please don't do that to yourself.  You will be paying in upwards of 3x's the brand new value of that truck.  That doesn't include depreciation!  Most times you will be hit with fees if you refinance before 24 months!  So you'll be paying 4x's the principal in interst each month for two years!!!  If you can give it a few months go this route:\n\nScore Max\nhttp://www.communityempower.com/cfic/... \nUse Loan Officer #139336\n \nThis is such a GREAT program... it's seriously the fastest way to improve your score!!! It's truly crazy to pay that kind of interest.  The depreciation will be enormous!!   Let these guys take a look at everything for you!!!  You can repair your credit from day one... a few months could literally save you THOUSANDS!!!!!
375073
Pros of the Federal Perkins Loan Program:\n\nRates:\nPerkins Loan interest rates are fixed at 5%; this is incredibly unlkely to change.  Beginning July 1st, 2006, Stafford loan rates will become fixed at 6.8%, so you can see that Perkins is a great option, even compared to other federal student loans.  A few years ago, when Stafford rates were variable and had dropped below 3%, a lot of students were declining their Perkins awards.  Now that Stafford rates have risen and Perkins rates have remained the same, many students are wishing they had chosen Perkins instead...\n\nPerkins loans are subsidized, meaning that the government pays any interest that accrues (a) while you are in school, (b) during the 9-month grace period you receive once you graduate/leave school, and (c) during any deferments you are granted.\n\nStandard repayment for Perkins loans is 10 years.  However, you may be able to request a longer repayment term and Perkins Loans are also eligible for to be included in a Federal Consolidation Loan.\n\nBenefits:\nAs you may know, some student loans carry forgiveness benefits.  Stafford loans have a few (for teachers, mostly).  Perkins Loans actually carry a much longer list of forgiveness/cancellation benefits, including:\n  * Law enforcement or corrections officers\n  * Peace Corps, AmeriCorps, VISTA\n  * those employed in a Head Start program\n  * Teachers in low-income schools, special education teachers, teachers in designated subject shortage areas, teachers of handicapped students \n  * Providers of early intervention services\n  * Nurse or medical technicians providing health care services\n  * those in the US armed forces\nSo, if you do accept your Perkins loan and end up working in any of these areas, you may not have to pay back your Perkins Loan at all!\n\nPerkins Loan deferment options also tend to be more flexible than those of Stafford Loans.\n\nYour school is the lender for any Perkins loans that they offer you. You might find that having a loan held by the school makes things much simpler when it comes time to repay -- if you have any questions, you'll know who to contact!  Essentially, the school receives a limited pool of funds from the federal government, which they match (partially) and then allocate at their discretion (in keeping with the regulations set forth by the DOE).  Perkins loans are meant for the school's neediest students.  Students must demonstrate financial need to qualify.
364532
It depends upon if you consolidate before or after July 1, 2006 because the laws are changing.  \n\nIf you consolidate before July 1 then you will be able to lock your interest rate in to a fixed rather than the current variable interest rate for a Federal Stafford Loan. \n\nConsolidations after July 1 will be at a variable interest rate. \n\nIf you have a Federal Perkins Loan, those are already at a fixed interest of 5%. \n\nYou will still have the ability to have one payment.  \n\nSome of the disadvantages to consolidation are loss of the grace period and loss of loan forgiveness (like for some teachers).
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Most lenders do not offer private loan consolidation, but you will find some out there who do. (Note: Private loans cannot be consolidated through the FFELP or Direct Loan programs.)\n \nwww.finaid.org (a great resource) offers a list of private loan consolidators, as well as some sound advice.  Here is their list: http://www.finaid.org/loans/privateconsolidation.phtml.\n \nNot to push a certain company, BUT, of the companies listed here, you might look first at Key Bank, Wells Fargo, and NelNet, as they are established education loan lenders.  Some lenders on www.finaid.org's list may no longer offer private consolidation; others may require at least some of your loans to have been borrowed through them to begin with. Key Bank's program does not require that you have loans with them in order to consolidate with them now.\n \nA few words of advice: You will rarely -- if ever -- obtain both a lower monthly payment and a lower interest rate.  Generally, the longer your repayment term, the more you pay in the long run and the more "high risk" the loan is for a lender (hence, the higher rate). However, this is not unique to student loans (for example, auto loan rates work in a similar fashion).  As you do your research, pay attention to the terms of the loan and the interest rate they are offering you.  In consolidating your private loans, you should expect to see a slight increase in your interest rate; it is up to you to decide whether this increase is outweighed by the benefit of a lower monthly payment (if it helps you pay your other bills and preserves a good credit rating, the answer may be a resounding "yes"). Take advantage of any benefits that the company has to offer: consider having your payments automatically deducted from your checking/savings account each month -- it can often save you .25% off your interest rate.
918794
Hello Melissa,\n\nAs the other responders have said, YES, it makes complete sense fo ryou to consolidate!\n\nEspecially being that you have such a large amount of student loan debt...\n\nThe government offers this program to students as a way to teach people a more effective way to manage your debt.. By combining all of the loans into one loan it simplifies your finances..\n\nThink about it, at the end of each month, do you wan tto be sending a9-10 seperate payments to 9-10 seperate lenders, or do you wnat to make one payemtn to one lender???\n\nImagine the checks, stamps, and envelopes you would use in just 1 year if you stayed the way you are..\n\nNot only that but look at the more important issue..\n\nAll loans taken out before July 1st 2006 are variable rates.. In the last few years interest rates have been on the rise... If you dont consolidate into a fixed rate, your rates will rise on all of your loans..\n\nTHIS MEANS YOUR PAYEMTNS RISE AS WELL!!!\n\nBy consolidating you get what is called a weighted average interest rate.. The take an average of your interest rate based on the amount of each loan... More importantly the interest rate is FIXED on the new consolidation loan..\n\nSo, it make s complete sense to consolidate your student loans!!\n\nRemember, the government offers this program FREE OF CHARGE!!!!\n\nMy name is Jason Fry, i am a financial advisor for Student Aid Lending.. We are licensed nationwide and are a title IV lender administered by the Department of Education..\n\nTake a look at my personal yahoo 360 page.. You can find alot of helpful information as well as a direct link to our website...\n\nhttp://360.yahoo.com/my_profile-HlUDUhMib7M9Wlj6o6L2SfGcEYtkt9xsaQ--?cq=1\n\nFeel free to call or email me at any time with questions, or curiousities..\n\nI will take time to answer any and all questions!!\n\nGood Luck!\n\nJason Fry\nStudent Aid Lending\n1-800-964-0642 ext. 114\njasonf@studentaidlending.com
216156
For Staffords:\nhttp://ifap.ed.gov/dpcletters/attachments/gen0107h_EHDR.pdf#search='ifap%20economic%20hardship%20stafford'\n\nIf your Stafford Loan is a Direct Loan, you will need this form instead: http://www.dlssonline.com/defer/defer-req.asp?DeferId=eh\n\nThere is no standard hardship form for Perkins loans; you will need to contact the holder of that loan (usually the school that awarded it to you, or the servicer that your school uses).  See here for details: http://www.ed.gov/offices/OSFAP/DCS/perkins.deferment.cancellation.html#Def-Hardship
671118
Determining if consolidation loans are the right decision for you requires serious thought. As with any decision of magnitude, carefully weighing the pros and cons is important.\n\nLet’s explore the pros and cons of this type of debt solution.\n\nPros:\n\nOne payment versus many payments: The average citizen of the USA pays 11 different creditors every month. Making one single payment is much easier than figuring out who should get paid how much and when. This makes managing your finances much easier.\n\nReduced interest rates: Since the most common type of debt consolidation loan is the home equity loan, also called a second mortgage, the interest rates will be lower than most consumer debt interest rates. Your mortgage is a secured debt. This means that they have something they can take from you if you do not make your payment. Credit cards are unsecured loans. They have nothing except your word and your history. Since this is the case, unsecured loans typically have higher interest rates.\n\nLower monthly payments: Since the interest rate is lower and because you have one payment vs many, the amount you have to pay per month is typically decreased significantly.\n\nOnly one creditor: With a consolidated loan, you only have one creditor to deal with. If there are any problems or issues, you will only have to make one call instead of several. Once again, this simply makes controlling your finances much easier.\n\nTax Breaks: Interest paid to a credit card is money down the drain. Interest paid to a mortgage can be used as a tax write-off. \n\n\nSounds great, doesn’t it? Before you run out and get a debt consolidation loan, let’s look at the other side of the picture – the cons.\n\nCons:\n\nEasy to get into further debt: With an easier load to bear and more money left over at the end of the month, it might be easy to start using your credit cards again or continuing spending habits that got you into such credit card debt in the first place.\n\nLonger time to pay off: Most mortgages are the 10 to 30 year variety. This means that rather than spend a couple of years getting out of credit card debt, you will be spending the length of your mortgage getting out of debt.\n\nSpend more over the long haul: Even though the interest rate is less, if you take the loan out over a 30 year period, you may end up spending more than you would have if you had kept each individual loan.\n\nYou can lose everything: Consolidation loans are secured loans. If you didn’t pay an unsecured credit card loan, it would give you a bad rating but your home would still be secure. If you do not pay a secured loan, they will take away whatever secured the loan. In most cases, this is your home. \n\nAs you can see, consolidated loans are not for everyone. Before you make a decision, you must realistically look at the pros and cons to determine if this is the right decision for you.
1121280
Hey here's a whole blog filled with tons of useful information regarding federal loan consolidation and student loans. All kinds of info there, hope it helps:) http://federal-loan-consolidate.blogspot.com/
568759
Generally, the loan companies that call you out of the blue are the ones that you shouldn't trust -- they're engaging in a practice called Direct Marketing, which is usually a sign that their company isn't strong enough to get its business in a more "low-pressure" way. Most good companies won't call you unless it is (a) on your school's behalf or (b) you are already their customer.\n\nYou can listen to what they have to say, but don't apply for anything or give out your personal information unless YOU called THEM. (Even if you do trust them, it's often easier to consolidate online or on paper -- that way you can cross your "t"s and dot your "i"s and keep a record of the transaction).  \n\nIf you decide to consolidate, whatever you do, make sure you're getting a "Federal Consolidation Loan." I've encountered some companies who have VERY sneaking ways of convincing people that their consolidation product is the same as the Federal Loan Consolidation program, when it really isn't -- so be careful or you could lose all the benefits of the Federal program.\n\nThe Federal Trade Commission's "Do Not "Call" registry applies to cell AND home phone numbers.  You can register for free and if someone DOES call you, you can lodge a complaint here: https://www.donotcall.gov/Complain/ComplainCheck.aspx
608383
If you could provide a little additional information, that would help.  What kinds of student loans do you have?  Have they been consolidated? Are you a teacher?\n\nIf the loan is private, there isn't much that you can do to lower your rate -- most private loan rates are variable meaning that they change with the market and, sometimes, with your credit.  \n\nIf your loans are federal I have to ask: Are you sure the rate is 8.5%??  Federal Stafford loan interest rates have been capped at 8.25% for years.  And the only way your rate would be FIXED that high there would be if you had consolidated when rates were at an all-time high (the last time rates were that high was in 1999).  \n\nIf you haven't consolidated yet, consider doing it right away -- it's the easiest and safest way to (1) lower your monthly payments and (2) lock in a low interest rate while still maintaining the protection of the Federal student loan programs (just make sure you apply for a *Federal* Consolidation Loan).  When you consolidate, any eligible, Federal student loans that you have will be lumped into one new loan, your rate will be fixed at today's rate (5.3% if you're consolidating only Stafford loans) and your repayment term will be extended out beyond the standard 10-year repayment term (for a loan of $46,000, you will probably receive 25 years to repay). Extending your repayment term will mean that your monthly payment will be lowered (often significantly).\n\nIf you have consolidated, the only way that you can re-consolidate is if you...\n\n(1) borrow a *new* Federal student loan (probably not a wise decision, financially, as it wouldn't change your overall rate much)\n\n(2) if you "have been unable to obtain a Federal Consolidation Loan with income-sensitive repayment terms acceptable to [you]," you can obtain a Direct Consolidation Loan, which is the other type of student loan consolidation that the federal government offers. \n\nThis might be your best option. Just make sure that your current loan is a Federal Consolidation Loan (if it's already a Direct Consolidation Loan, you're out of luck). If it is, check the Dept. of Ed's website to see if you are eligible: http://loanconsolidation.ed.gov/borrower/beligible.shtml . There's no credit check on these loans, so it can't hurt to try!\n\nThere are private companies out there that claim to be able to "reconsolidate" any federal consolidation loan. These companies are SO disreputable that I hesitate to even mention them. DON'T DO IT. They're in business only to make money off of you. Many of them don't even deal in Federal Consolidation Loans, so you could end up with a "reconsolidated" private loan with horrible terms and none of the benefits and security of the Federal student loan that you started with.\n\nFinally, about student loan forgiveness: loan forgiveness is almost always not an option for someone who has consolidated, so you will need to make the choice between Loan Consolidation and Loan Forgiveness.  Before deciding, keep in mind two things: \n(1) interest rates are on the RISE and scheduled to rise to 6.8% in July, so if you want to consolidate, you should do it before July 1\n(2) Forgiveness (a.k.a. "cancellation") of Stafford loans is rare unless you are a teacher in a low-income area.  To see if you qualify for teacher forgiveness, read this site carefully:\nhttp://studentaid.ed.gov/PORTALSWebApp/students/english/teachercancel.jsp?tab=repaying\n\nBy all means, if you qualify, go for it!
559736
M.K\n\nActually you can consolidate your loan with the government now http://www.loanconsolidation.ed.gov (Borrowers Services) and it's actually not as bad as you think. \n\nBefore you consolidate your loan check out the Borrowers Services and see if you can get a better rate. You can consolidate any amount even your $50,000 debt and its free to consolidate your loan!\n\nI know Salliemae is one of the best student loan consolidators but sometimes their rates can be a little high depending on your situation.\n\nDoesn't hurt to check them both out. Hope you get it worked out soon!
291399
They all have a max that you can borrow per year and through a lifetime. A stafford subsidized loan is one that the government pays the interest while you're in school. The stafford unsub loan, you have to pay interest or the interest accumulates while in school. \n\nA Federal Perkins Loan is a low-interest (5 percent) loan for both undergraduate and graduate students with financial need. Your school is your lender. The loan is made with government funds with a share contributed by the school. You must repay this loan to your school.
774254
Hi tthere Kit t,\n\nWhat happens alot of the time is when consolidating the lender does not consolidate all of your loans..\n\nIf this happened to you then you will actually be in luck,...\n\nIf you have one outstanding loan, my compnay can then consolidate you again by consolidating what ever samll loans you still ahve out there into your large consoliodated loan..\n\nThe reason this will benefit you is because we will offer you up to 3 years of forebarence at that point..\n\nMeaning, you wont have to worry about making a  payment to prioncipal or oibnterest for 3 years.. You can choose to send interest payments if you choose, but you will not be obligated..\n\nThis is what ido for alot of students that are looking to go back to school.. It can give you a little more breathing room until you are working full time makin genough moneY..\n\nGive me a call when you have a moment.. I would =eb happy to pull up yopur loans on the NSLDS (national student loan database system) This will tell us if we can re-consolidate you or not..\n\nAlso feel free tio check us out online.. Here is a link to my yahoo 360 profile which has links to our website as well..\n\n\n\nhttp://360.yahoo.com/profile-HlUDUhMib7M9Wlj6o6L2SfGcEYtkt9xsaQ--?cq=1\n\n\nLook forward to hearing from you!\n\nJason Fry\nStudent Aid Lending\n1-800-964-0642 ext 114\njasonf@studentaidlending.com
568469
Two of the major Federal Student loan programs -- Stafford and Perkins -- are unique in that they require absolutely NO credit check. In fact, Financial Aid Administrators are forbidden from checking your credit as a condition for receiving these loans. You don't even need to show financial need to obtain an Unsubsidized Stafford Loan -- as long as your school is accredited, you are enrolled at least half-time as a regular student, and your other financial aid doesn't exceed your Cost of Attendance, you will be offered a Stafford Loan.\n\nIf you have "maxed out" your eligibility for Federal loans, there are private companies that will lend you money even if your credit is bad (which you're fixing, I hope?).  If you have a creditworthy cosigner then your credit won't matter much at all.  That's what cosigners are for -- their credit acts as a "stand in" for yours!\n\nFirst, review the huge list of private loan lenders on FinAid's website: http://www.finaid.org/loans/privatestudentloans.phtml ... Go to each lender's site and read the terms and credit criteria of their loans until you find one that focuses more on one of your credit strengths (job history, perhaps).  Be careful when searching online for companies that specifically claim to offer loans to people with bad credit (companies like Astrive are questionable because they bypass the school). Make sure the company has a good track record before you commit to a 10-30 year relationship with them
1134957
You should consolidate now, you are allowed to consolidate if you are in-school.\n\nCurrently if you are in-school your stafford loan rate is 4.7%, consolidation would put you at 4.75%, if you are in repayment your current rate is 5.3% and you would consolidate at 5.375%.\n\nJuly 1st interest rates will increase to 6.54% if you are in-school and 7.514% if you are in repayment.  It will definitely pay to consolidate right now because of the amount of dollars you will save in interest over your repayment.  (Consolidating will extend repayment out over a longer period of time than what you are currently scheduled to repay, so the lender recoups some of the interest that way.)\n\nFind out who you have loans with at www.nslds.ed.gov under the Financial Aid Review tab.  This will tell you more info than you probably ever wanted to know about your loans in one place. (You will need your Dept of Ed PIN to access this information, to have your PIN emailed to you request a duplicate at www.pin.ed.gov)\n\nIt is up to you to choose who to consolidate with.  Emergency legislation passed earlier this month revoked what was called the Single Holder Rule so you can choose to go with any lender you would like.  It is good to find out if you get to keep your grace period, do you get an interest rate or principle reductions for making on-time payments or electronic payments to your account.\n\nThis application must be completed by midnight on June 30th, so act quickly.