Federal Consolidation Loans
WHAT LOANS CAN BE CONSOLIDATED
Federal Family Education Loans (FFEL) and Direct Loans, including:
- Previous Consolidation Loans
- Perkins Loans
- Health Professions Student Loans
- Nursing Student Loans
- Health Education Assistance Loans (HEAL)
- Federally Insured Student Loans (FISL)
*Alternative loans are not eligible to be included in a Federal Consolidation loan
- Consolidation locks the interest rate.
- Consolidation can allow the borrower to bring together loans from multiple lenders for a single repayment Schedule (i.e., one monthly payment).
- Consolidation may allow the borrower a longer repayment period, which will reduce the amount of the borrower's monthly payment.
- Consolidation can allow a borrower to clear an overaward of Stafford loans or clear a defaulted student loan.
- Consolidation locks interest rate, while older Stafford loans that have variable interest rate.
- Consolidation may increase the total cost of the borrower's loan. The longer the repayment, the more interest the borrower will pay.
- The borrower may have to forfeit all or a portion of the grace period.
- The borrower may lose certain borrower benefits with current loans.
- Certain deferments may be lost; however, borrowers retain their ability to request most major deferments after consolidation.
- Borrowers who consolidate Perkins Loans lose deferment subsidy and cancellation eligibility.
For Additional Information on Consolidation please visit or call:
Federal Consolidation Loans (“Repayment and Consolidation”)