Debt Consolidation Credit Counseling In Phoenix

It is really easy to accrue a lot of debt with school loans. Most people have to take out several loans to complete their education. This can leave them with a lot of loans from different lenders. Repayment of these loans takes time since you are paying different lenders and it can be expensive. You can save some money and time if you consolidate your school loans.

If you decide to consolidate your school loans, there are several different consolidation programs. You will first want to look at what type of loans you received. If you borrowed from the government, you will qualify for different consolidation programs than if you borrowed from a private lender. You will want to review your options. It's possible that you received both private and government loans. It is still possible to consolidate your loans, even if this is the case.

If you plan to consolidate, there are a few different consolidation programs. Which one you choose may depend a little on what type of loan you received. There are different consolidation programs for private loans vs. government loans so be sure to look into your options based on the types of loans you have.

There are typically four refinancing options to choose from when you decide to consolidate loans. Option number one is called the standard repayment plan. With this program, you make monthly payments on a fixed interest rate. Repayment schedules will range anywhere from ten to thirty years. Option number two is called the extended repayment plan. With this program, your payments are less than with the standard repayment plan and the payment schedule is between twelve and thirty years. This repayment plan varies depending on how much you have borrowed.

Option number three is called the graduated repayment plan. With this plan, your monthly payments increase every two years. You have options of paying the amount back over twelve to thirty years. Option number four is called the contingent repayment plan. With this plan, your repayment schedule is contingent on your family size, total amount of loan debt, and your annual income. With this repayment program, the payments are spread out over twenty-five years.

So the best student loan consolidation program really depends on what works best for you and your situation. Consolidating your student loans might be one of the greatest graduation gifts you can give yourself.