Consolidate Your Student Loans - 6 The Main Reasons To Take Control Of Your Financial Future

In the academic world of today's students, most have a surplus of $20,000 of debt students complete their university studies. This large sum of money, of course, can make life in a time when you can not have a job or go to work at low wages initially as the first step in their careers. Often, the debt of students spread over a number of different loans, possibly, both federal and private and that you must handle it wisely and to ensure the debt is paid in respect of interest as possible during the credits.

The student loan consolidation is a natural step to take control of this problem, but it should not consolidate federal and private loans into one loan, otherwise you lose their federal benefits, including the postponement or subsidized rates. Those who have borrowed federal Stafford, federal direct loans and Perkins loans while attending college are eligible to consolidate federal student loan.

6 reasons to consolidate your student loans

• Instead of the standard conditions for the loan of 10 years, a consolidation loan may be spread over 30 years, if necessary, greatly reducing your monthly mortgage payments - up to 50% - in a time when finances are tight. This leaves you more money to cover living expenses.

• To reduce the monthly payments, this may reduce their debt / income and thus improve your credit score.

• Interest rates are low as I have never been and can restore the monthly payments to low interest rates.

• A loan consolidation leaves you with a loan only for the management - which is more manageable, less stressful and more importantly, we feel more in control of their finances.

• Student loans do not charge more established penalty for early repayment, so that his career is progressing and are able to pay a large chunk of your loan will not be penalized for that.

• From 1 July 2009, students may be eligible for a new government program that bases reimbursement of student loans as income.

Therefore, if student loans currently eligible for the federal government, totaling more than $20,000, the loans are in default and the borrower has graduated or are enrolled less than half the time it makes no sense to ask for a loan consolidation.