You can “consolidate” just one loan, or several loans.
You can consolidate loans even if you’re already in default.
It is possible that there is coming legislation that will change the interest rate on federal loans, dropping it as low as 3.86% on undergrad loans and something like 6.41% for grad loans.
From my research on the net it is only possible to re-consolidate an already consolidated federal loan if I am adding a new federal loan to the consolidation.
Within that consolidation are two loans; both of which would be subject to the aforementioned interest rate drop.
I am taking grad courses (company pays for them), but I'd be willing to take out a small loan I could instantly pay back for a chance to re-consolidate.
This may be a good option if any of the following are true: The vast majority of federal loans are eligible for consolidation, including subsidized and unsubsidized Stafford loans (GSLs), Direct loans, Supplemental Loans for Students (SLSs), Perkins loans, FISLs, and (except in an IBR Plan Consolidation Loan) PLUS Loans.
(To find out what type of loan you have, see Types of Federal Student Loans.) All borrowers with these loans are eligible to consolidate after they graduate, leave school, or drop below half-time enrollment.
Here's the rundown you need to determine whether student loan refinancing and consolidation is right for you.
First, what does consolidating student loans really mean?
You should consider the pros and cons of consolidation before making this choice.
This section contains information about how to consolidate if you have already defaulted on your loans.
If you're consolidating with the federal government, consolidating your loans means combining your multiple federal student loans into one new federal loan, called a Direct Consolidation Loan.