Sallie mae not consolidating
Nowadays, 7 out of 10 college graduates have student debt and the average has over ,000!If you took out a loan to pay for college, you are probably paying too much, and could potentially save thousands through refinancing!These loans may have originated from one of two major federal student loan programs: the Federal Family Education Loan (FFEL) program or the Federal Direct loan program.Federal student loans from the FFEL program were issued by private banks and lending institutions like Sallie Mae, but are still federal student loans because they are guaranteed by the government.If the Sallie Mae loan is a federal student loan then you would most likely be able to do a Direct Loan federal consolidation of both loans.
Borrowing all or mostly federal loans preserves the possibility that all or most of a borrower's educational debt may be eligible for Public Service Loan Forgiveness.
The first step in working toward Public Service Loan Forgiveness is to ensure a borrower has eligible federal student loans.
Because only Federal Direct loans are eligible for PSLF, only payments made on Federal Direct loans count toward the required 120 qualifying payments -- and only these Federal Direct loans will be forgiven.
Before you consolidate, consider the following pros and cons: Note: Just remember, you must continue making payments after submitting your application until you receive notice from your servicer that underlying loans have been paid off.
You have the option to select the servicer of your choice (of which, Nelnet is an option) After your new Direct Consolidation Loan is complete, you may still add more eligible loans to your existing consolidation.