Private new student loan debt consolidation is different from its federal counterpart. We’ll explain what it is and how it can help you here.
Private student loans are any education loans not guaranteed by the federal government. These loans are sometimes also called alternative education loans. The purpose of private student loans is to cover the educational expenses that traditional financial aid doesn’t cover. Private student loans, as well as private new student loan debt consolidation, are credit-based. That means these loans require a credit check. To qualify, you either need a good credit history or a co-signer. If you require a co-signer for private new student loan debt consolidation, we allow you to release the co-signer from the agreement after you make so many payments on-time.
Rates for your private new student loan debt consolidation will vary by quarter. Our rates are tied to the London Interbank Offered Rate (LIBOR) plus a margin. To determine the rate on your consolidation loan, we average the LIBOR rate for the previous three months. The Wall Street Journal publishes the LIBOR rate daily. Private new student loan debt consolidation is also subject to an origination fee, which ranges from 0%-5%. The origination fee will depend heavily on your credit or whether you are able to recruit a co-signer with good credit.
Our private consolidation loans can be repaid over a 30-year term, and we do not charge any prepayment penalties. Your first payment is usually due 60 days after the private consolidation loan is issued. We also offer eligibility for forbearance benefits on our private student consolidation loans. If you fall upon economic hardship, we might be able to temporarily postpone your payments or reduce your monthly payment principal.
If you have private student loans of any kind, you can save money with new student loan debt consolidation. Here are some benefits to our private consolidation loans:
If you have any questions, please check out our Frequently Asked Questions page.
