how do you defer your student loans or how do you put them in consolidation?
November 6, 2010 by admin
Filed under Student loans
I need to make payments but by installment
How to get the best student loans
November 6, 2010 by admin
Filed under Student loans
I need to make payments but by installment
please ignore the first answerer, it sounds like someone looking to personally profit from your situation.
your question is two fold, to defer means that you are not making payments on the loan. loans can be deferred due to still being in school, either half time or full or because of unemploment etc.
consolidation means that you are taking the whole of your loans and combining them into one large loan.
please check with your financial aid office who can best guide you since they have all of your information and are best suited to help your needs.
First of all, if you have more than one loan and you have used different lenders, take steps to have all your loans moved to one lender. It’s much easier to manage your obligations that way.
You can defer a student loan for a variety of reasons: active military duty, service in the Peace Corps, a return to school at least half-time and economic hardship are just a few of the reasons you may be able to defer. You must speak to the lender or servicer and obtain deferment forms (the correct forms), which are often available online at the lender or servicer site.
If you have use multiple lenders, you must file the deferment with each lender for the specific loans that lender holds. Deferring one loan does not affect others that are with different lenders/servicers.
You can consolidate your loans. Often, the single payment on the combined total will be less than the individual loan payments would have been. If you consolidate, get a fixed rate. Do NOT agree to a variable rate.
Shop around for the best consolidation offer. Keep in mind that if a lender is offering to dramatically lower your payments, this is because they are extending the repayment term to the extent that it will likely cost you hundreds of thousands of dollars in interest over the long haul. So be careful. Make sure you understand every aspect of the consolidation.