What are current interest rates on
student loan debt consolidations?
 
Consolidation loans have a fixed interest rate.
The interest rate will be the weighted average of all the rates
of the federal loans consolidated, rounded up to the nearest
one-eight of one percent (1/8%), not to exceed 8.25%.

Lenders may also have additional incentive programs that
could reduce your consolidation rate by making on-time payments.

Current interest rates:

Stafford loans in grace or deferment - 6.54%
Stafford loans in repayment, including forbearance - 7.14%
Stafford loans disbursed on or after July 1, 2006 have a fixed
interest rate of 6.8%

Parents with PLUS loans and graduate and professional students
with Grad PLUS loans can qualify for consolidation as well.

How often do student loan debt consolidation rates change? 

The rates on federal Stafford and PLUS loans (excluding Perkins loans)
disbursed between July 1, 1998, to June 30, 2006,
have a variable interest rate that resets every July.

This gives you time to determine if consolidation makes sense for you.
You should begin the process of researching consolidation companies
immediately after graduation.

This entry was posted on Sunday, November 19th, 2006 at 1:06 am and is filed under Student Loan Debt Consolidation. You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback from your own site.