If you have recently graduated from college, your student loans are probably fairly low on your list next to finding a job. However, one thing you should keep in the back of your mind is consolidating your student loans once your grace period is closer to ending.
Consolidation has two main benefits that can be of enormous financial help to you both in the present and the future: the improvement of your credit rating and lower net monthly payments.
Your credit can be improved via consolidation because the process literally pays off and reopens your student loans. To a computer (which is what calculates your credit score), this looks like you successfully repaid a long term debt and decreases your risk rating. You should see the benefit on your credit report and score fairly quickly after the consolidation is complete.
The lower payments originate from assigning a new interest rate and repayment term to your newly formed consolidation loan, pushing back the completion date and therefore lowering the monthly payments. The only downside is the longer repayment term means you pay more interest over the life of the loan.
If you want to learn more about student loan consolidation, check out StudentLoanConsolidator.com. There is a ton of information available from eligibility to repayment for you to browse and educate yourself on what products are available to make repaying your student loans easier.
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