Depending upon the type of student you were, your college practice was either packed with stress, studying and the excitement of reaching fresh learning vistas – or it was packed with beer, parties, and stringing up out with lots of members of the opposite hook-up.
Either way, it is a fact that you – like all college students – had to come up with a way to pay for the entire practice. Whether you attended a less expensive state school as an in-state resident or whether you went to a fancy-schmancy private university, your student loans likely run into the ems or even hundreds of thousands of dollars.
The reality of having to repay all of those loans hits most grads at one of the worst-possible times: just a few months after graduation. Just when you are faced with the need to find a job, get an apartment, and generally get your post-college life on track, you get hit with your very first student loan bill.
Things can even be worse if you have numerous loans, given that you are having to manage numerous payments at once.
However, for those with numerous loans, there is a bright side: you are likely to be eligible for private student loan consolidation.
Who Qualifies For Private Student Loan Consolidation?
If you have more than one student loan through a private lender (i.e., not the federal government but rather through a private bank), you are eligible to consolidate your student loans through a private consolidation lender.
You should consider consolidating if you are less than half-way through your repayment period, if you want to reduce your monthly payments, and/or if you believe your credit score has improved since your initial loans were received.
How Your Consolidation Loan Interest Rate Is Determined
For private loans, your consolidation loan interest rate is determined by a combination of the going prime rate – or other major right like the LIBOR – and your credit score. Of course, your private lender will have some discretion as to your fresh interest rate, which is precisely why it pays to shop your rate around with numerous lenders.
Trio Steps To Finding The Best Bank For Student Loan Consolidation
Here are Three steps to finding the best bank for private student loan consolidation:
1. Embark with a list of at least 3-5 banks: Do your research online to get together a list of at least Trio to Five banks who specialize in private student loan consolidation. Recall, it is very unlikely that your very first suggest will be your best, so by researching numerous banks you will have a much better chance of potentially saving thousands of dollars in interest over the life of your loan.
Two. Visit their websites: These days, there is nothing like the Internet in terms of conducting efficient, prompt and comprehensive research. Begin with each company’s website. If you like one or more sites and have the time, order an information packet through the mail.
Trio. Apply to at least Three of them: Once you have found at least Trio lenders you like based upon your research, apply to all of them. When the offers begin rolling in, be sure to wait for all of the offers before making a decision.
Go after these tips in order to find the best bank for your private loan consolidation.