Federal student loan consolidation pays off your old loans and combines them into a new loan. A consolidation loan simplifies repayment by replacing multiple loan payments with a single loan payment. A federal consolidation loan cannot include private student loans. However, a private consolidation or refinance loan can include both federal and private student loans.
Interest rates on federal consolidation loans are fixed for the life of the loan. The rate is determined by calculating the weighted average of the loans being consolidated. Find out what your interest rate will be if you consolidate your federal student loans.
PrivateStudentLoans.com recommends you consider all financial aid alternatives including grants, scholarships and federal loans
(Federal Stafford, Federal Parent PLUS, Federal Grad PLUS) prior to applying for private student loans.