A federal debt consolidation program is easily the most accessible and the most convenient debt consolidation program for students and others who are under debt. Federal student loans are the most sought after loans during study, for under grads and grads.
Almost every student in America, whether an American student or an overseas student, completes his or her studies through a loan; this is where the seed of debt is planted, which grows into a healthy tree of debt over the years, as you learn to live under debt, taking loan after loan. The federal rates of interest have been rising since July 2006 and if you do not jump on one of the schemes of a best debt consolidation program offered for consolidation, you may have to pay higher rates of interest on your debt consolidation later.
The Various Programs
The federal family education loan program (FFELP) is looked after by the United States Department of Education. This organization decides the rates of interest on all education loans, the rules governing the formation of schemes and the rates for consolidation of debts. The most important 香港集運公司 rule is the one that determines the weighted average interest rate. Some other rules are as follows.Certain loans like Perkins loans, subsidized and unsubsidized Stafford loans, nursing loans and loans for health and education assistance can be consolidated only after graduation.
No loans can be consolidated unless fully disbursed.
There have been two important changes since July 2006. First, married couples cannot combine loans any longer for consolidation. Second, school students no longer qualify for a federal debt consolidation program. Only grads can apply for Christian debt consolidation program.
A federal debt program can be used to consolidate direct federal loans through the federal government. There are other eligible loans as well like Supplemental Loans and Loans for Disadvantaged Students. You can search on the internet to find a suitable online debt consolidation program as there are many online lenders in the business of debt consolidation offering many extra facilities for the students and others who have taken federal loans and are now looking for consolidation of their loans. You can get many benefits like discounts for timely payments or one-time payments. The reason for being so lenient towards federal debtors is that these loans are secured by the federal government and no credit checks are required.
You can choose the best federal debt consolidation program from many standard programs on offer. You can choose between the Sallie Mae’s federal student loan consolidation program and Nelnet federal loan consolidation. Defaulted loans are not eligible for consolidation.