Consolidating salliemae loans

If you have both Direct Loans and other types of federal student loans that you want to consolidate to take advantage of PSLF, it’s important to understand that if you consolidate your existing Direct Loans with the other loans, you will lose credit for any qualifying PSLF payments you made on your Direct Loans before they were consolidated.

In this situation, you may want to leave your existing Direct Loans out of the consolidation and consolidate only your other federal student loans.

Today it is a privately owned company well known as a lender to students throughout the U. Sallie Mae distributes and holds more student loans than any other lender in the country; as such, Sallie Mae loans are often the subject of consolidation packages.

Sallie Mae loans are typically used by students who require additional funding once all other options have been exhausted.

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Sometimes called 'good faith loans,' these loan agreements are made on the basis of the applicant's credit score and income.

If you have already consolidated your federal loans in the past, you may also be able to re-consolidate and add other outstanding federal student loans using a Federal Direct Consolidation Loan.

Since Sallie Mae is no longer a federally owned entity (since 2004), Sallie Mae student loans are not eligible for Federal Direct Consolidation.

Consolidating allows you to merge multiple eligible loans into a single loan.

Before you consolidate, consider the following pros and cons: Note: Just remember, you must continue making payments after submitting your application until you receive notice from your servicer that underlying loans have been paid off.

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