Consolidating canada student loans dating john mecom
When you refinance, you can When you have multiple federal student loans, you can consolidate those loans using a Direct Consolidation Loan.
The interest rate you pay, as a whole, will not change—you’ll end up with a weighted rate on the resulting loan that is effectively the same rate you were paying on those loans separately.
However, there are other types of loans that can handle different types of debt. That means you could use a personal loan to refinance your student debt, a credit card or two, and your auto loan.
This only makes sense if you’re truly going to save money.
In the private market, lenders might be willing to compete for your loans, and you can get a good deal if you have good credit.
Since credit scores change over time, you might be able to do better now if you’ve been making payments on time for several years.
Refinancing: Replace a loan (or multiple loans) with a completely new loan, ideally a much better one.
Make a quick amortization table for each loan including your existing loan, and go with the option that works best for you.Avoid racking up debt again once you free up those lines of credit. But moving from federal loans to private loans is not something you can reverse—you’ll lose the benefits of those federal loans forever.For example, if you work in public service, you might have the opportunity to get federal loans forgiven after 10 years of employment—good luck getting that deal from a private lender.The idea is the agency will negotiate with creditors to make payments more affordable.You only make one payment, but the payment goes to the agency, which then pays off your multiple loans for you.