Sallie Mae Student Loans Contact
With graduation ceremonies for the university to take place this spring, how students can get a good start in regard to management student loan payments?
Loan consolidation is an option. A Federal Consolidation Loan combines all the loans, in a single federal loan guarantee, again, that has a longer repayment term, fixed interest rate not exceeding 8.25 percent and the desirability for a monthly fee. Most important, borrowers who apply for a Federal Consolidation Loan before 1 July can potentially lock in an interest rate as low as 4.75 percent of the length of your repayment period, which may extend to 30 years.
Before the consolidation, however, Borrowers should carefully consider your decision, says Patricia Scherschel, vice president of loan consolidation for Sallie Mae, the nation's leading provider education funding and the largest consolidator of student loans. While consolidation is beneficial for most borrowers of loans, it is important to make an educated decision, she says.
"This is the beginning of a long-term financial relationship with your consolidation loan provider "Says Scherschel." Make sure you have time to ask questions and get a full understanding of your interest rate and possible discounts before signing points in the line.
Scherschel offers the following tips for borrowers who may be exploring the consolidation of loans.
• Contact your college financial aid office for recommendations and information on reliable and trustworthy lenders. Due to consolidation of Borrowers can extend their repayment terms of 30 years, it is important to choose a lender with a solid experience of the reputation of the industry, the options Flexible payment and superior customer service.
• Investigate a lender's borrower benefit program. Many lenders, including Sallie Mae, is offering reductions in interest rates by paying on time or using direct debit. Be sure to read the fine print of the program benefits offered, including whether, when and how you qualify for the benefit and how they might lose.
• Beware of the word "free." While lenders are not authorized to charge borrowers a fee to consolidate your loans, consolidation loans are interest free. It is important understand all the costs upfront.
• Keep on top of deadlines. On July 1, interest rates for federally guaranteed loans for education are expected to increase. Borrowers who consolidate interest rates today could save hundreds, even thousands of dollars.
"The consolidation is the key to ward off a rising interest rate, "says Scherschel." After the final exams are over, current students and graduates This spring should have an idea in mind: to achieve consolidation in their application before midnight on June 30. "
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Article Source: ArticlesBase.com – Loan Consolidation 101: Tips For New Graduates
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