A Direct Consolidation Loan allows you to consolidate (combine) multiple federal education loans into one loan. The result is a single monthly payment instead of multiple payments.
WHY SHOULD I CONSOLIDATE MY LOANS?
Loan consolidation can greatly simplify loan repayment by centralizing your loans to one bill and can lower monthly payments by giving you up to 30 years to repay your loans. You might also have access to alternative repayment plans you would not have had before, and you’ll be able to switch your variable interest rate loans to a fixed interest rate.
WHAT INFORMATION I WILL NEED TO APPLY FOR CONSOLIDATION?
To complete your consolidation application you will need the following information:
Loan details— Check your student loan account online, review your loan documents, or contact your lender or loan servicer. If you don't know who your loan servicer is, you can find out at NSLDS.ed.gov. You will need to know which loans you want to consolidate.
Income details— If you are interested in having your consolidation loan setup on an Income-Driven Repayment Plan, such as the Income-Based Repayment Plan or Income-Contingent Repayment Plan, you will need to supply your income information during the consolidation process.
-
Adjusted Gross Income (AGI)
-
Family Size
WHAT TYPE OF LOANS CAN BE CONSOLIDATED?
Most federal student loans, including the following, are eligible for consolidation:
-
Direct Subsidized Loans
-
Direct Unsubsidized Loans
-
Subsidized Federal Stafford Loans
-
Unsubsidized Federal Stafford Loans
-
Direct PLUS Loans
-
PLUS loans from the Federal Family Education Loan (FFEL) Program
-
Supplemental Loans for Students (SLS)
-
Federal Perkins Loans
-
Federal Nursing Loans
-
Health Education Assistance Loans
-
Some existing consolidation loans
Private education loans are not eligible for consolidation. If you are in default, you must meet certain requirements before you can consolidate your loans.
Complete Direct Consolidation Loan Application: www.studentloans.gov
