A Guide to School Loan Consolidation

Many students and teachers have been emailing asking for information on loan consolidation.

Here it is in a quick, printable guide:

What is exactly is student loan consolidation?

Loan Consolidation

A new loan created by combining your current loans in order to reduce the amount of the individual payments and extend the term of the loan. For college students this is usually done with a Federal Family Education Loan Consolidation Loan (FFEL) or a Direct Consolidation Loan.

How can I get a consolidation loan?

• If you're applying for Direct Consolidation Loan, contact their consolidation department at 1-800-557-7392.
• If you apply for a FFEL Loan you or your guardians will need contact a participating lender, or the company that hold the majortiy of your loans currently for assistance.

Where can I get more help?

On the web:

• Federal Student Aid
  This government site provides the most information for students. Don't miss the repaying loans section.
• Direct Consolidation
  Another government site with consolidation information not only for borrowers, but schools and loan holders as well.
• Student Credit
  Offers some tips and helpful advice to managing student credit. For example loan forgiveness, information on what to do if you default on a student loan.

By phone:

Federal Student Aid Information Center (FSAIC) - 1-800-4-FED-AID (1-800-433-3243)

TTY users (for the hearing-impaired) can call -1-800-730-8913