At Consolidation411.com, we've done our homework. We review offers from the consolidation industry's top lenders and put together a list of the best programs available. These programs are our top picks to help you consolidate your student loans, manage your debt more effectively, and make your repayment dollars work harder for you. Check out Consolidation411.com's Top Programs for more information.
How low can your payments be?
Depending on the plan you select, you could save hundreds, even thousands, over the life of the loan. Here are some examples:
| Current Loan Amount |
$25,000 |
$40,000 |
$60,000 |
| Current Est. Monthly Payment* |
$292 |
$467 |
$701 |
| Est. Payment After Consolidation** |
$188 |
$273 |
$384 |
| Monthly Reduction*** |
$104 (36%) |
$194 (42%) |
$317 (45%) |
* based on current rate of 7.14% during repayment under the standard 10 year payment plan.
** based on standard grace period consolidation rate of 6.625% and calculated based on the Federal Consolidation Program Level Repayment Plan with extended payment terms with no incentives. Your actual rate and payment may vary.
*** incentives can improve this savings, plus as interest rates rise, consolidated fixed rate will provide substantial savings.
What type of borrower benefits are out there?
There are many programs to choose from:
- Grace period discount of .6% - standard, but some offer additional discounts
- Principle reduction or cash back - more rare, but have seen 3.33% one-time reduction after 30 consecutive on-time payments (up to a maximum of course)
- Continuous on time payments - interest rate reductions of 1% generally after 24-48 months (loan amount to qualify varies)
- Auto debit savings - usually .25% reduction in interest rate
- Additional Principle Reduction Programs - servicer programs to help pay down principal (ex. UPROMISE - lenders that use AES as a servicer provide this benefit)
What is UPROMISE?
UPROMISE is a program that allows you to link your debit, credit, grocery cards and a few other cards to your loan account to pay off your loans. Family and friends can also link their savings to your account. This is a great additional way to decrease your loan amount by just living your daily life. Watch how buying groceries, shopping online and at retail stores, eating at certain restaurants, paying your long distance phone bill and more can reduce the principal on your loans!
Get more information about UPROMISE at www.upromise.com.
