One of the easiest ways to start getting student loan help to pay off student loans is to refinance your loan so that you combine it into one low monthly payment.

Repayment options on paying back student loans offer you the opportunity to pay back loans based on your financial situation at the time.

Frequently Asked Questions about Student Loan Help

Here are the answers to the most commonly asked questions about student loan help.

What is student loan help?

The kind of student loan help we describe on this site refers to student loan consolidation. Consolidation can make the repayment of education debt cheaper and faster by bundling all of the loans into one. Generally, combining the loans lowers the average interest rate, which enables borrowers to repay the debt in less time without having to make large payments.

What does student loan consolidation cost?

If you get student loan help from a federal consolidation loan, then there is no cost. By law, lenders cannot charge application or origination fees for federal student loan consolidation. However, if you have private student loans, they will not be eligible for federal consolidation. In that case, you will have to pay all of the typical loan fees when you consolidate.

How is my consolidation loan's interest rate determined?

With federal student loan help, your consolidation loan's interest rate is determined by taking a weighted average of the interest rates of your existing federal loans. Your lender will round this average up to the closest 1/8th of a percent. Federal law caps the interest rate on consolidation loans at 8.25%. Once your new rate is determined, it remains fixed for the life of the consolidation loan. Even if market interest rates fluctuate, your rate will not change.

If I consolidate my student loans, will the federal government be my lender?

No, federal student loan help is sponsored by the government, but they do not actually distribute the loans. Private lenders issue federal consolidation loans, but the loans are guaranteed by the federal government. If you decide to consolidate, you will apply for a federal consolidation loan through a private bank or other lending institution as you would with any other loan.

Will I need to pass a credit check to qualify for student loan help?

Whether a credit check is required will depend on the type of consolidation loan for which you apply. If you want a federal consolidation loan, no credit check is involved. On the other hand, for private student loan consolidation, you will need to pass a credit check, just as you would with any other private loan.

What are the benefits of consolidation my education debt?

First of all, you streamline the repayment process by only having to make one payment to one lender every month. Secondly, you can make your monthly payments more affordable by getting a better interest rate or lengthening the term of your loan. Finally, you may be able to pay off your student loans faster with a more affordable, fixed interest rate. Learn more about ways to save money on the next page.