Unlike federal student loans (with the exception of the PLUS loan), private student loans are credit-based and the majority of lenders choose to offer other incentives to apply such as graduation rewards, co-signer release and more.
Additionally, federal law currently does not include provisions for discharging private student loans in a bankruptcy settlement, so that avenue is closed for the time being (September 2010).
If you are looking for this service because you are having trouble making your minimum monthly payments, we recommend that you contact your lender and explore your options. Some banks will temporarily reduce or suspend your payments during times of economic hardship, but interest will continue to build in the meanwhile.
Otherwise, private loan consolidation may be a good solution for you. Our users have reported reductions up to 50% on their monthly payments, depending on their creditworthiness and other factors.
To learn more about consolidation, check out StudentLoanConsolidator.com »
5 Most Recent Student Loans Blog Posts:
The Student Loan Help blog is sponsored in part by: