Chances are if you’re dealing with student loan debt, you’re not just dealing with one loan. And if you couldn’t cover the costs with federal loans, you very well may have turned to a private lender, such as a bank or other lending institution (e.g., Sallie Mae) to fund the rest of your expenses.
Do NOT fail to research the topic before consolidating, because that could end up costing you tens of thousands of dollars!
Direct Consolidation Loans are the end result of a loan consolidation process.
Student loan debt is a grave concern in modern America.
In fact, the amount of debt from student loans topped $1.3 trillion at the end of 2016, and 68% of seniors graduating from public and nonprofit colleges have student debt – the average is $30,100.
Many large financial institutions offer loan consolidations. (CFG), also known as Citizens Bank, rises to the top of the list in numerous surveys as a leading company in providing student loan consolidation services.
Citizens Bank allows individuals to consolidate together, in one loan agreement, both their federal and private student loans.Simply put, this is the process of combining your multiple student loans into a single, bigger loan, possibly with a new lender.You’ll no longer owe the original loans, and since this consolidated loan is new, it will come with a new interest rate, a new payment policy, and new terms and conditions.With a Citizens Bank student loan consolidation, borrowers can also combine their undergraduate and graduate loans together.Annual consolidation loan rates range from 2.19 to 9.39%.All of these consolidation advantages can make paying off your student loans much more convenient, and loan consolidation is also a helpful way to improve your overall credit score.