Start Is consolidating loans a good idea

Is consolidating loans a good idea

Your repayment term will generally start within 60 days of when your consolidation loan is first disbursed and will be based on your total federal student loan balance, among other factors; click on the link below for more details.

Your credit score still will be damaged if you default, though.

What lenders are looking for: Any reputable lender will check your credit history and ask about your income and debt when deciding whether to offer you a loan.

Someone with excellent credit and a low debt-to-income ratio may be offered interest rates as low as those seen on secured loans.

With federal loan interest rates for students in need doubling today to 6.8 percent and private student loans averaging between 8 percent and 12 percent, would it ever make sense to pay off student loan debt with a credit card?

There are dozens of ways to do this, and some include transferring debt to a zero or low-interest credit card, taking out a debt consolidation loan, applying for a home equity loan or paying back your debt through a debt repayment plan.

When researching loan consolidation options, you may come across what’s known as debt consolidation companies.

Using one or more credit cards to get out from under the burden of student loan payments can seem tempting, especially in terms of racking up rewards points, and low or no interest for a year or so with a 0 percent promotion.