MMA School Search

Posts Tagged ‘Consolidation’

With student loan debt at an all-time high, many college students and their parents are looking for solutions to repaying their student loans and lowering their monthly payments. This especially is crucial for recent graduates who have wrapped up their college education and are looking to land their first job. Many new grads find their college debt staggering and their monthly payments overwhelming.

The Federal Student Loan Consolidation Program was created for just this purpose: to help students repay their student loan debt under reasonable terms. According to NextStudent, the Phoenix-based premier education funding company, there is a little-known added benefit to federal student loan consolidation, or combining multiple student loans into one easy-to-manage package. Once original outstanding student loans are paid in full, oftentimes a borrower’s credit score improves.

This happens since the borrower’s record shows that several student loans were taken out and then paid off. When students make the wise decision to consolidate student loans their credit score improves as a direct result, this enables them to qualify for lower rates on their first home or even a new car.

Multiple Student Loan Consolidation Options

Another little-known fact is that after the final distribution of a Federal PLUS Loan, parents can consolidate PLUS loans anytime, even while their child still is in college. Borrowers may consolidate their student loans within the six-month grace period following graduation, during repayment, or even when the student loans are in deferment or forbearance. With up to 30 years to repay and at a fixed rate of 8.25 percent or lower, many borrowers find that their payments are reduced by up to 60 percent, which may allow them to financially get on their feet.

Easy, Hassle-Free Qualifying

NextStudent makes it easy to qualify for a federal student loan consolidation. Borrowers are required to have student loans totaling ,500 or more and must include at least two federal student loans like the Stafford Loan or PLUS Loan. No credit check or co-signer is required, and most applicants qualify over the phone in as little as five minutes. Optionally, borrowers may use NextStudent’s easy online e-application. When contacting NextStudent, all borrowers receive individual attention and get their student loan consolidation questions answered through their personally assigned Education Finance Advisor.

Since the federal government changes the mandated student loan consolidation rates for lenders each year in July, the only difference among lenders is the individual incentive packages that each one offers. Therefore, it is important that students and their parents carefully scrutinize not only the character and reputation of the company, but also the specific incentives, such as reduced rates and discounts.

Many Benefits with Incentive Packages

There are three packages offered by NextStudent, including the popular “Standard Locked” package. This option includes a LOCKED RATE reduction of 1 percent after 36 on-time payments, as well as a .25 percent discount when a borrower chooses repayment via Auto-Debit. In addition, borrowers may select either the “2%” package or the “Google” package. The “Google” package offers a .375 percent discount after only six months of on-time payments (not locked), a 1 percent discount after 36 on-time payments (not locked), as well as the standard .25 percent discount for Auto-Debit repayment. The “2%” package offers the same .25 percent Auto-Debit payment discount, in addition to a 2 percent rate reduction discount after 36 consecutive on-time payments (not locked).

Regardless of the package selected, borrowers can know that their college financial planning strategy is a sound one when selecting NextStudent. Not only will borrowers be able to more easily manage their student loans with a federal student loan consolidation , but such a student loan consolidation through NextStudent may put them on sound financial footing for their future.

NextStudent believes that getting an education is the best investment you can make, and it is dedicated to helping you pursue your education dreams by making college funding simple. Learn more about student loans and student loan consolidation at NextStudent.com.

The Federal Family Education Loan Program (FFELP) helps students and their families save money by bundling multiple student loans into a single student loan, locking in the new student loan at a low interest rate and offering benefits in the form of interest rate reductions. H.R. 5, a bill recently passed by the House of Representatives and now being debated in the senate, will have a negative impact on Federal Consolidation Loans if it is approved by the senate and becomes law.

This legislation doubles the fees paid by FFELP lenders to provide federal student loans, which may eliminate the incentive benefits offered by FFELP lenders. It also encourages colleges to participate in the Direct Lending Program, which does not offer many interest rate reduction benefits to students when they do a student loan consolidation on their student loans.

Loss of Benefits Costs Students

According to NextStudent, the Phoenix-based premier education funding company, over the past three years, 4,653,000 students consolidated their federal student loans through FFELP lenders. As result of the interest rate reductions offered by FFELP lenders, such as NextStudent, a borrower who consolidated ,000 last year could save ,513 more than a borrower who consolidated with the Direct Lending Program. Additionally, a medical student could save more than ,512 over the life of his or her student loan by consolidating with FFELP. These would be the savings lost if the current legislation becomes law.

Student Loan Consolidation Locks In Interest Rates

Federal student loan consolidation is free of charge and can lower monthly payments by up to 60 percent. Also, there are no prepayment penalties. NextStudent offers some of the most aggressive benefits in the industry including a discount of .25 percent for Auto-Debit and a 1 percent LOCKED interest rate reduction after the first 36 on-time payments. These benefits can save borrowers thousands of dollars over the life of their consolidated student loan.

Other packages include the Google Package: a discount of .25 percent for Auto-Debit, a .375 percent discount after six months of on-time payments and a 1 percent discount after 36 on-time payments (not locked). The 2% Package features a discount of .25 percent for Auto-Debit and a 2 percent discount after 36 on-time payments (not locked).

Qualify over the phone in as little as five minutes. NextStudent’s personally assigned Education Finance Advisors will walk you through the student loan consolidation process from start to finish.

NextStudent believes that getting an education is the best investment you can make, and it is dedicated to helping you pursue your education dreams by making college funding simple. Learn more about Student Loans and Student Loan Consolidation at NextStudent.com.

NextStudent, a leading Phoenix-based education funding company, recommends that students and parents start to consider consolidating their federal student loans, especially if they have taken out any variable rate loans such as a Stafford Loan or PLUS loan in order to fund their education.

If you graduated in 2007 with student loan debt including variable rate Stafford Loans, it is a wise idea to consolidate now in order to eliminate the headaches associated with managing a student loan whose payment changes when the rate of the student loan increases or decreases. It may make smart financial sense to consolidate your student loans into one single loan with a fixed-rate and reduced monthly payment.

Consolidating has its Benefits

Another advantage of student loan consolidation is that it simplifies debt management and the repayment process, because only a single payment is required to a single company each month. Student Loan Consolidation extends repayment to 30 years, which helps many new graduates increase their cash flow when starting out in their new careers.

It is easy to qualify for a NextStudent Federal Consolidation Loan which can be done over the phone. Additionally, every NextStudent customer is assigned their own personal Education Finance Advisor who can answer any question borrowers many have as well as walk them through the student loan consolidation process.

�

Earn Benefits by Consolidating with NextStudent

There are a couple of options from which borrowers can choose when consolidating with NextStudent. Package No. 1 includes a .25 percent interest rate discount for making automatic monthly payments directly from a checking or savings account, and a 1 percent LOCKED RATE interest reduction after 36 consecutive on-time payments. Package No. 2 includes a .25 percent interest rate discount for making automatic monthly payments from a checking or savings account, and a 2 percent interest rate discount (not locked) after 48 on-time payments.

LOCKED Discount

Borrowers have the option of consolidating their student loans with so many different lenders that oftentimes finding the best one can be a difficult and confusing process. NextStudent not only offers superior customer service, but its 1 percent LOCKED interest rate reduction after 36 consecutive on-time payments is guaranteed for the life of the consolidation loan and is an incentive that is hard to beat.

NextStudent recommends that borrowers take the time to research lenders before deciding with which one to consolidate. Ensure that your lender operates with integrity, honesty and ethics. NextStudent has a long-standing reputation as a trustworthy, high-caliber organization that places serving others as a No. 1 priority.

NextStudent believes that getting an education is the best investment you can make, and it is dedicated to helping you pursue your education dreams by making college funding simple. Learn more about Federal and Private Student Loans at Nextstudent.com.

With the ever-rising cost of college tuition in the United States, private student loans have become a fact of life for many college students. Private student loans can help bridge the gap when it comes to savings, federal financial aid and college costs. NextStudent, a leading Phoenix-based education funding company, now offers a student loan consolidation option for private student loans.

As with any student loan, there are different private consolidation loan solutions available to students and their parents. Therefore, it is important for borrowers to research options in order to select the private consolidation loan that best fits their needs. NextStudent offers a competitive private loan consolidation product that is comparable to those of a federal student loan consolidation with rates as low as 6.33% APR for the first year only.

For example, a typical student loan of ,000, where the borrower has chosen to make payments of principal and interest, with an interest rate of�6.705% APR, subject to change every calendar quarter,�and with a loan term of�30 years, will have a payment of 8.25 (subject to change if the interest rate changes).

Borrowers Get More by Consolidating with NextStudent

NextStudent’s private consolidation loan offers borrowers a multitude of benefits, including a means to manage their student loan payments directly out of college. NextStudent’s private consolidation loan is a credit-based loan with interest-only repayment terms available for the first two years, up to a 30-year repayment term, a .25 percent interest rate reduction when paying via auto-debit, a reduction in the principal balance of up to 1.5 percent after 48 consecutive on-time payments, and no or low origination fees.

Borrowers may consolidate from ,500 up to 0,000. As is typical with most of NextStudent’s loans, borrowers may receive approval in as little as a few minutes over the phone. There are no prepayment penalties, although many students may opt for in-school deferment or choose to defer payments for up to 12 months following graduation. To be eligible, borrowers should be in repayment or about to enter repayment of their private student loans and not be in default of any student loans.

Real-Time Application Process

Applying for a NextStudent Private Consolidation Loan is fast and convenient. Applications can be completed over the phone with the help of a borrower’s personally assigned Education Finance Advisor. Decisions on the loan can be done in “real-time,” or borrowers may review the status of their loan’s progress online.

Student loan consolidation is a smart financial strategy that can help students and/or their parents manage student loan debt. NextStudent’s Private Consolidation Loan is a competitive product with many incentives. NextStudent prides itself on customer service and assigns a personal Education Finance Advisor to every customer. This advisor is available to walk customers through the college funding process from beginning to end.�

NextStudent believes that getting an education is the best investment you can make, and it is dedicated to helping you pursue your education dreams by making college funding simple. Learn more about Student Loans at NextStudent.com.

Many already are familiar with federal PLUS student loans for parents of college students and have taken advantage of this excellent funding source, whether their kids attend a community college or a public or a private institution. As with any federal student loan, borrowers may utilize funds to cover all educational costs, including tuition, fees and other expenses. Since credit-based PLUS student loans are not contingent upon a family’s tax bracket or level of need, almost anyone is qualified to receive one. With interest rates as low as 8.5 percent, this little-known technique makes for a very appealing tool to manage a family’s educational finances.

According to NextStudent, the Phoenix-based premier education funding company, many students and their parents, while familiar with student loan consolidation, are not aware of a little-known benefit available to families with multiple students in college. This tool gives parents peace of mind when managing and repaying different student loans, whether students attend Portland State or Stanford, as long as the same parent took out the PLUS student loan for each student.

PLUS Student Loan Consolidation Offers Flexibility, Easy Management

If a family has two children in college, with PLUS student loans taken out under one parent’s Social Security number, the student loans most likely will qualify for student loan consolidation. Keep in mind that each student’s parent PLUS loans should be renewed each year. A “renewal” is truly not a “renewal,” but rather a brand new student loan.

Here’s a scenario that will best illustrate the flexibility of folding multiple PLUS student loans into one easy-to-manage package. A family has two children, one is a freshman with a single PLUS student loan and another child has three additional PLUS student loans covering the first three years of school. All four PLUS loans may be consolidated into one. Again, the only stipulation is that all PLUS student loans are taken out by one parent using the same Social Security number.

PLUS Student Loan Incentives Offered by NextStudent

While federal PLUS student loans are available through many lenders, borrowers receive many rebates and incentives with NextStudent:

.25% Interest Rate Reduction: for using the Auto-Debit repayment feature

2% Interest Rate Reduction: after 48 months of consecutive on-time payments

3% Cash Rebate At Repayment: on the remaining principal balance after the first 12 months of consecutive on-time payments.

The NextStudent Advantage

In addition, NextStudent offers many advantages to parents when seeking to qualify for PLUS student loans:

Simple Online Application Process: Fill out NextStudent’s online application and know in minutes if you qualify.

Credit Solutions Program: For those who are initially denied due to poor credit, NextStudent can help resolve credit issues.

Personal Contact and Service: With NextStudent, borrowers are assigned a personal Education Finance Advisor who guides borrowers through the student loan and student loan consolidation funding process.

With personalized service and a host of benefits and incentives, NextStudent makes it easy for parents to help fund their child’s college education.

NextStudent believes that getting an education is the best investment you can make, and it is dedicated to helping you pursue your education dreams by making college funding simple. Learn more about student loans at NextStudent.com.