student loan consolidation - direct loan program

The Higher Education Act (HEA) provides for a student loan consolidation program under both the Federal Family Education Loan (FFEL) Programs and the Direct Loan Program. Under these programs, a borrower’s loans are paid off and a new consolidation loan is created. These programs simplify loan repayment by combining several types of Federal education loans (that may have different terms and repayment schedules or may have been made by different lenders) into one new loan. The interest rate may be lower than on one or more of the underlying loans. In addition, the monthly payment amount on a consolidation loan is usually lower and the amount of time to repay may be extended beyond what was available in the separate loan programs. These features should result in more manageable debt and should make borrowers less prone to default.

UK student loans

the majority of students, a loan will comprise of the tuition fee loan plus a maintenance loan, and this will be paid directly at the start of each academic term. Everyone on an eligible course qualifies for 75% of the maximum loan, regardless of income, and the rest is income-assessed. These loans accrue interest at the rate of inflation, which means that the amount repaid has the same value as the amount borrowed.

The repayment of loans is repaid through the tax system, and only begins after the student has left higher education and is earning over £15,000. This system of collection is known as Income-Contingent Repayment (ICR), because it tapers the repayment obligation according to the gross income of the account holder. It is distinct from the previous mortgage-style scheme in which the monthly repayments were fixed and account holders whose incomes exceeded the deferment threshold, were required to repay the entire instalment each month.

SLC becomes responsible for the administration of financial support after the award authority has completed the income assessment and eligibility elements of the application process.

SLC provides a broad range of products & services to education funding in the UK.

Part time students UK

The main sources of help for part-time students are:

1.A Fee Grant (to help with tuition fees) - paid directly to your college or university
2.A Course Grant (to help with study costs, such as books, materials and travel) - paid directly to you

What’s available will depend on your personal circumstances and the course you’re doing.

You won’t have to repay any help you get through the Fee Grant or Course Grant.

Your university or college decides how much the tuition fees are for part-time courses: there’s no minimum or maximum amount.

If you study part-time, it’s assumed that you’ll meet your living costs through work and savings. But if you’re on a lower income, you may be able to get financial support aimed at helping you pay for tuition fees and costs related to your course (such as books and travel).
The maximum Fee Grant you can get is based on how ‘intensive’ your course is - how long it will take to complete compared to an equivalent full-time course.

For the most intensive courses, a maximum of £1,435 is available for 2008/2009 through the Fee Grant and Course Grant combined.

If you’re receiving certain benefits, you’ll get the maximum Fee Grant and the maximum Course Grant available for your course’s intensity.

Full time students in UK

sudents should study first, pay back when you’re earning

There’s a student finance package available to help with the costs of higher education. The main

sources of help for full-time students are:

1. Student Loans and grants from the government
2.bursaries from universities and colleges

If you take out a Student Loan from the government, you won’t have to start paying it back until

you’ve left your course and are earning more than £15,000 a year.

And any help that you get through a grant or bursary doesn’t have to be repaid at all.
Who does this information apply to?

The pages within 'Student finance: what you can get for 2008/2009' outline the help available if you:

first point you shoild live in England, and the second is that you are a new student, or you started in or

after 2006/2007

The package of financial help available will be different if you live outside England. It will also be

different for students who started in 2005/2006 or earlier - and for some students who started in

2006/2007 after taking a gap year.

debt managment helps student

It helps the student to plan his/her repaying program. student`s financial situation will be stabilized and he/she will most likely have additional money in your monthly budget for essential items. so every student will have a clear plan for resolving their credit problems and they’ll have the encouragement to work on that plan until any student is living debt free. Certified credit counselors will design a debt management plan to meet every student`s specific needs and help them get back on a manageable budget. A debt management plan is for the students if they want:
Reduced creditor calls.
Reduced payments.
Reduced interest and finance charges
Waived late and over-limit fees.
Help with reestablishing credit.
Support in maintaining your commitment to becoming debt free
Having your debts paid off in a realistic and reasonable length of time

Debt Consolidation -- Means

An agreement is worked out with your creditors based on what you can afford to pay. In many instances payment amounts and interest are lowered helping you to get out of debt quicker and for far less money.

Debt consolidation is typically some type of loan in which most or all of a consumer’s debt is rolled into one payment. Loan types can include signature, second mortgages, home equity line of credit and others. Although in some situations debt consolidation loans can afford a consumer an opportunity to address high credit card interest rates or multiple payments to multiple creditors there are some common risks involved. To begin with, caution must be used in the type of loan chosen. Think long and hard about consolidating unsecured debt to a loan secured by your home. In a worse case scenario, you are putting your home at risk. Also, carefully examine the terms of any consolidation loan with a variable interest rate for what rate increases could mean to you down the road. Finally, understand this – research shows that consolidating your debt into another loan to gain a handle on debt, often back fires on consumers. Odds are that within one year you will increase your debt by using the same credit cards you paid off in the consolidation loan, finding your self making payments not only on the credit cards but also on the consolidation loan.

STUDENT LOAN CONSOLIDATION

Student Loan consolidation - LOANS

Student loans, unlike grants and work-study, are borrowed money that must be repaid, with interest, just like car loans and mortgages. You cannot have these loans canceled because you didn’t like the education you received, didn’t get a job in your feld of study or because you’re having financial difficulty Loans are legal obligations, so before you take out a student loan, think about the amount you’ll have to repay over the years.

Types of Loans:

Federal Perkins Loans are:

• Made through participating schools to undergraduate, graduate and professional students.
• Offered by participating schools to students who demonstrate the greatest financial need (Federal Pell Grant recipients get top priority).
• Made to students enrolled full-time or part-time.
• Repaid by you to your school.

• Stafford Loans are for undergraduate, graduate and
professional students. You must be enrolled as at least
a half-time student to be eligible for a Stafford Loan.

STUDENT LOAN COMPARISION

TYPES OF LOANS	ELIGIBILITY	LOAN AMOUNT	INTEREST RATE	REPAYMENT PERIOD
Federal Perkins Loans	Undergraduate and graduate students; do not have to be enrolled at least half-time*	Undergraduate—up to $4,000 a year (maximum of $20,000 as an undergraduate) Graduate—up to $6,000 a year (maximum of $40,000, including undergraduate loans) Amount actually received depends on fnancial need, amount of other aid, availability of funds at school	5 percent	Lender is your school Repay your school or its agent Up to 10 years to repay, depending on amount owed
FFEL Stafford Loans	Undergraduate and graduate students; must be enrolled at least half-time*	Depends on grade level in school and dependency status (see chart on page 11) Financial need not necessary	Changes yearly; for 2005-06 was 5.3 percent for loans in repayment For those with fnancial need, government pays interest during school and certain other periods	Lender is a bank, credit union, or other participating private lender Repay the loan holder or its agent Between 10 and 25 years to repay, depending on amount owed and type of repayment plan selected
Direct Stafford Loans	Same as above	Same as above	Same as above	Lender is the U.S. Department of Education; repay Department Between 10 and 30 years to repay, depending on amount owed and type of repayment plan selected
FFEL PLUS Loans	Parents of depen­dent undergraduate students enrolled at least half-time* (see dependency status); parents must not have negative credit history	Student’s Cost of Attendance* - Other aid student receives ___________________________	Changes yearly; for 2005-06, was 6.1 percent for loans in repayment; government does not pay interest	Same as for FFEL Stafford Loans above
		= Maximum loan amount
Direct PLUS Loans	Same as above	Same as above	Same as above	Same as for Direct Stafford Loans above, except that Income Contingent Repayment Plan is not an option

Federal Stafford Loans

Cash in on a great offer! Get one of the most affordable loans available. Federal Stafford Loans are government-secured student loans available to undergraduate and graduate students at rock-bottom rates. There’s no collateral or credit check required, and payments are deferred until you graduate. "

Stafford Loan Eligibility

• You must have submitted a FAFSA to be eligible for a Stafford loan.
• For subsidized Stafford loans, you must have financial need as determined by your school.
• You must be a U.S. citizen or national, a U.S. permanent resident, or eligible non-citizen.
• You must be enrolled or plan to enroll at least half time.
• You must be accepted for enrollment or attend a school that participates in the Federal Family Education Loan Program.
• You must not be in default on any education loan or owe a refund on an education grant.

Stafford Loan Interest Rates

Note: Graduate Stafford Loans (both subsidized and unsubsidized) have a fixed interest rate of 6.8% through 2013.

Academic Year	Subsidized Rates	Unsubsidized/Graduate Rates
2007-08	6.80%	6.80%
2008-09	6.00%	6.80%
2009-10	5.60%	6.80%
2010-11	4.50%	6.80%
2011-12	3.40%	6.80%
2012-13	6.80%	6.80%
Current Stafford Loan interest rates in effect from 07/01/2008 to 06/30/2009

Federal Student Loan Consolidation Rates

		Rates through June 30, 2007		Rates effective from July 1, 2007
	Date Disbursed	Grace Period Rate	Repayment Rate	Grace Period Rate	Repayment Rate
Stafford	7/2006 - Present	6.8% Fix	6.8% Fix	6.8% Fix	6.8% Fix
	7/1998 - 6/2006	6.54%	7.14%	6.62%	7.22%
	7/1995 - 6/1998	7.34%	7.94%	7.42%	8.02%
	7/1994 - 6/1995	7.94%	7.94%	8.02%	8.02%
	Prior to 7/1992	8.09%	8.09%	8.17%	8.17%
PLUS	7/2006 - Present	8.5% Fix	8.5% Fix	8.5% Fix	8.5% Fix
	7/1998 - 6/2006	7.94%	7.94%	8.02%	8.02%
	7/1994 - 6/1998	8.34%	8.34%	8.05%	8.05%
	10/1992 - 6/1994	8.34%	8.34%	8.05%	8.05%
	7/1987 - 9/1992	8.49%	8.49%	8.20%	8.20%
Grad PLUS	7/2006 - Present	8.5%	8.5% Fix	8.5% Fix	8.5% Fix
Perkins	All Disbursements	5%	5%	5%	5%

common view - Student Loan Debt Consolidation

A student loan debt consolidation loan allows you to combine your federal student loans into a single loan with one equal monthly payment. The repayments of a student loan debt consolidation loan can be significantly lower than the payment required under the standard 10-year repayment option. Under the Federal Family Education Loan (FFEL) Program, banks, secondary markets, credit unions, private bankers and other lenders provide the student loan debt consolidation loan. Under the William D. Ford Federal Direct Loan (Direct Loan) Program, the federal government provides the student loan debt consolidation loan.
Most federal education loans are eligible for inclusion in a student loan debt consolidation loan, including subsidized and unsubsidized Direct and FFEL Stafford Loans, SLS, Federal Perkins Loans, Federal Nursing Loans, and Health Education Assistance Loans. However, private education loans are not eligible for inclusion in a student loan debt consolidation loan.
To find out which loans can be included in a student loan debt consolidation loan contact the Direct Loan Origination Center's Consolidation Department if you’re applying for a direct student loan debt consolidation loan. Contact a participating FFEL lender if you’re applying for a FFEL student loan debt consolidation loan.

It is worth noting that you are still eligible for a student loan debt consolidation loan after you graduate, leave school, or drop below half-time enrollment. You can also get a student loan debt consolidation loan while you're in school. You must, however, be attending at least half time and have at least one Direct Loan or FFEL in an ‘in-school period’ which generally means that you have been continuously enrolled at least half time since the loan was disbursed. There are a number of conditions that need to be met for you to qualify for a student loan debt consolidation loan, particularly if you are delinquent or in default and your loan holder will be able to give you all the necessary information.
If the same holder holds all the FFEL loans you want to consolidate, you must obtain the student loan debt consolidation loan from that holder, unless you haven't been able to get a loan with income-sensitive repayment terms that are acceptable to you. To be eligible for a William D. Ford direct student loan debt consolidation loan, you must have either a direct Stafford subsidized or unsubsidized loan that will be included in the student loan debt consolidation loan or have at least one Federal Family Education Loan (FFEL) program Stafford subsidized or unsubsidized loan. this link provides you more information.

http://www.debt-helper.info

Private Loan Consolidation - An Easy Method of Debts

when completing your studies, a major problematic still persists i.e. how to clear the debts incurred for sponsoring your higher education. As you have lent the loans from various lenders, making multiple payments at the same time will definitely burn your pocket. The only vital solution available to you is student private loan consolidation. By resorting to this option, it will be easier for you to pay off your debts in a easy suitable methods.first thing is that you consolidate all your unpaid high interest debts in to a single loan will make it easier for you to clear the debts. All you have to do is to make a single monthly payment at reduced rates. it is not a matter from whom you have availed the loans, be it from government or private lenders. One thing is certain that students' loans pile up in a fast paced manner. But with this consolidation loan, it permits you to bundle up all the previous debts in to a single manageable amount. -- this is to avoid the multiple creditors and this is the way, you have to deal with only one lender to whom you are obliged, instead of multiple creditors. http://www.gradloanusa.com/

Private Consolidation Loan

• Introductory rate starting as low as 5.76%
• Option to pay interest-only for the first two years
• If you have a cosigner now, this could be an avenue to get them off

Looking to grab the precise consolidation loan is not that difficult. The loan market is full of lenders who are willing to help you in this regard. Before approving the loan, the lenders would check your background, financial position, the extent of the debts that remains to be paid along with the interest rates. then after which, they will offer you the consolidation loan at reliable rates, which in turn will save you a considerable amount of money.
Student private consolidation loan can be best obtained through the online mode. The online lenders approve the loan instantly so that you can settle the debts as soon as possible. By taking a deep research, you will be able to select a deal that suits your prevailing circumstances. .If there is any confusion;consult with bankers and take the help of finance advisers. Over and above all, it can be assumed that with this consolidation loan, you have the means to settle your debts without facing too many obstacles.
Julia Russell works as an executive in financial department for Get Student Loans. She has a lot of experience in finance field. To gain more information about Student Private Loan Consolidation, bad credit student loans, student loans refinance, college student loans visit

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A Student's Guide - Best Consolidation of Loans Practices

In Recent days reality that the steep and huge prices of education and further increasing its requirements and demands of the college lifestyle, making young students to seek out the best consolidation-loan student practices to help them to cope with their difficult financial situations. After having read this brief yet informative article, one would have gained a little more understanding which specific best consolidation-loan student practices is best suitable for you. which will actively boost one`s credit scores.

Knowing the best consolidation-loan student practices and methods can help student with lot of expenses, bills, loans and unplanned miscellaneous expenses etc., settling them all can be daunting to say the least! A Method for long way can be simplified student lifestyle. This is possible as you have just one bill to pay every month instead of multiple creditors knocking down your college dorm and disturbs.card bills, car payments, you can also choose to consolidate student loans into one streamlined bill, still it may in the long run you end up paying a higher interest rate. http://www.gradloanusa.com

• 30 year payback option on current balance
• No pre-payment penalties for early payment

Additional benefits you may be interested in when choosing to consolidate student loans with the regular expenses, is that they paint a better picture on your credit history. Having a good credit score can be your emergency lifeline in case you need to make that emergency loan-- in case you are pushed against the wall with nowhere else to turn to.

Ultimately one of the best tools a student can possess is have the ability to have steady source of funding in case of unexpected situations. A good credit score, best consolidation-loan student practices can help to achieve that end.
Kyle Black is a writer and researcher in many fields including the financial markets. Save thousands of dollars today and avoid unnecessary interest rates and bad financial decisions.

This is the link for Free informative,crucial, and objective resources, tips and guide (nothing sold here) in the areas of Banking, Loans, Credit-repair, Debt Consolidation,Credit Repair and related areas. Click here - http://www.BankingandLoans.info.

Consolidate Student Loans - Smart Tips

Consolidating student loans is a great opportunity to lower your monthly payments and free up some cash each month. The following tips we provided here to find the best methods for you on the process of consolidating student loans:

•If you are in your grace period, it is the best time to consolidate your student loans. You are in the grace period if you have finished school but you are not yet in the repayment period, which usually begins 6 months after your graduation. If you consolidate your student loans during your grace period you can usually qualify for a lower interest rate from the lender.

•The federal government passed a recent law that lets borrowers consolidate their student loans with any eligible FFELP (Federal Family Education Loan Program) lender. This means that you have more lenders to choose from than you did in the past.

•The federal government has set the interest rate on consolidation of federal school loans, and this is part of federal law, so lenders are legally bound and cannot charge you a higher interest rate for any reason. It's always best for you to get the lowest interest rate you can from the lender that you choose, but interest rates on consolidating student loans that were backed by the federal government are fixed for the life of the loan and can't be higher than 8.25%. That doesn't mean that a lender can't charge you less interest, so it still pays to shop around for the best rate.

•If you have both federal and private student loans, don't let your lender put them together into one consolidated loan. If you do, you will lose the federal benefits that are part of your federal loans. For instance, the cap on interest charged is at 8.25% now for federal student loans, and you would lose this cap if you consolidated both federal and private loans into the same loan. Deferment and forbearance are options that you can use with federal student loans if you fall upon bad economic times like losing your job to layoff or termination, becoming disabled and unable to work, etc. These are important benefits that you would be wise not to lose. Deferment is when the government allows you to postpone payment of the principal on the loan for a period of time. Depending on the type of loan you have, you may or may not need to repay the interest during deferment. Forbearance is when the government allows you to stop your payments for a period of time, but you still need to pay the interest payments. In both deferment and forbearance, there may be ways for you to add the interest payments onto the back of your loan so that you pay nothing during the period of deferment or forbearance.

•The Higher Education Act was passed for the protection of students taking out loans for educational expenses. It specifically mandates that federal student loan consolidations have to have fixed interest rates, no processing fees or loan fees of any kind, no credit checks for the borrower, no prepayment penalties if the borrower pays off the loan early, and a lower interest rate if the loan is consolidated during the grace period.
Visit
http://www.coreconsolidatestudentloans.com/consolidate-student-loans/student-loan-consolidation-tips.html

Education Loans -The Great bridge For a Prosperous Future

In Recent days to pursue a higher education of choice, one has to shell out a huge amount. In the recent years, there has been a steep increase in the cost pertaining to education. This is really concerning - due to this reason most of the students find difficult to continue their higher studies. In these conditions, education loans can be of great help as it provides relief by taking care of all the expenses. This loan facility turns out to be of rewarding option for the students in particular.

Federal Loan Consolidation

What are the loans are eligible to consolidate in the federal student loan consolidation program?
Stafford Loans, Plus Loans, Consolidation Loans, Perkins Loans, Heal Loans, NSL Loans, HPSL Loans and Direct Loans(all)

One can easily source these loans from government agencies as well as from private lenders. The students also have the option to avail these loans from online lenders. Besides, online application of the loans makes it extremely easy for the applicants to obtain the finance in a hassle free manner. The amount thus obtained can be used to take care of expenses such as paying admission fees, library charges, hostel dues, purchasing computer or books, equipments etc. as per the need and requirement, the students can derive the finances. However, lenders while approving the loans also take in to account the income level of the parent or guardian.

The applicants can obtain the loans either in secured form or unsecured form. Secured forms of the loans are protected against an asset. This option of the loans offers a bigger amount at comparatively low rates. On the contrary, unsecured form of the loans are bereft of any collateral pledging. Since the amount is advanced without any collateral, lenders to cut down the risk factor approve the loans with a slightly high rate of interest.
As the students are dependent and are not having any income of their own, these loans come with some unique facilities. For instance, the repayment tenure of the loans is quite flexible. The amount borrowed can be repaid after 6 months of completing the course or until the borrower has not secured a suitable job.
Education loans are prefect for the students who are not in a position to undertake higher studies. With these loans, they have access to easy and low rate finance, which in turn enables them to take care of all the expenses.
Julia Russell works as an executive in financial department for Cheap College Loans. She has a lot of experience in finance field. To gain more information about Education Loans, college loans, student loans, college student loan visit

http://www.cheapcollegeloans.co.uk.

Student Loan Consolidation Is Great Money Management Which Save Money and Time With a Loan

Have u just finished your College and need to reduce your student loans?? Student Loan Consolidation is a great way to manage your money after you have completed school life. With current history low interest rates your student loan consolidation couldn’t come at a better time. You can combine federal and private loans under a single low monthly payment. Student Loan Consolidation Is Great Money Management which save money and time with a loan consolidation.

Is it possile to avail federal benefits if I consolidate my student loans with Graduate Loan Associates?

You retain benefits such as Deferment, Forbearance, interest tax deductibility, and the Death and Disability Benefit. Also, if you have subsidized and unsubsidized loans they will also stay split when you consolidate your student loans in case you want to go back to school or need to put them into Deferment.

With your student loan consolidation you can save money and pay federal and private student loans off at the same time. With interest rates at record lows you can benefit with low monthly payments. After graduation consolidation loans can help reduce the stress of repaying by putting all your student loan all under one easy monthly payment. Everyone saves time and money with a loan consolidation.