radebus said:Hello,

I would like to consolidate all of my loans from Direct Loans with UHEAA. I've read the entire thread but still have a few questions. Here is some background regarding my situation:

1. As of today all of my loans are with Direct Loans (~$15,000)
2. I had one Federal Perkins Loan which has been completely paid off (not sure if this will hurt my chance of consolidating since my only lender is Driect Loans)
3. I am out of my grace period (since I have been out of college since 2003 and been repaying my loans since then)
4. My current interest rate is 3.37% with Direct Loans minus .25% for electronic debiting.


Questions:

1. Can I still consolidate with UHEAA based on my situation above?
2. How long will this process take?
3. Does the "single lender" stuff apply to me?


I hope that someone can shed some light on this for me. Thank you in advance.

Doubtful. Some of the other posts have touched on this. There is a single lender rule, which says that if all the loans you wish to consolidate are with a single lender, you must consolidate with that lender. My wife ran into this problem. The solution, if you are still in school, is to take out a loan from a different lender. Otherwise, dunno.

losmacs said:radebus said:Hello,

I would like to consolidate all of my loans from Direct Loans with UHEAA. I've read the entire thread but still have a few questions. Here is some background regarding my situation:

1. As of today all of my loans are with Direct Loans (~$15,000)
2. I had one Federal Perkins Loan which has been completely paid off (not sure if this will hurt my chance of consolidating since my only lender is Driect Loans)
3. I am out of my grace period (since I have been out of college since 2003 and been repaying my loans since then)
4. My current interest rate is 3.37% with Direct Loans minus .25% for electronic debiting.


Questions:

1. Can I still consolidate with UHEAA based on my situation above?
2. How long will this process take?
3. Does the "single lender" stuff apply to me?


I hope that someone can shed some light on this for me. Thank you in advance.

Doubtful. Some of the other posts have touched on this. There is a single lender rule, which says that if all the loans you wish to consolidate are with a single lender, you must consolidate with that lender. My wife ran into this problem. The solution, if you are still in school, is to take out a loan from a different lender. Otherwise, dunno.

The department of education (direct loans servicing) is the exception to the single lender rule. They will always release your loan information to an FFELP lender.

minerva66 said:I've spent many many hours reading all the posts on consolidation loans, thanks so much for all who provided info...you guys will save me a lot given our serious student loan debt. I've read everything and called several lenders, now I just need to pull the trigger but need a quick reality check on the various scenarios and which one I should choose.

Background:
Me: one loan with US Dept of Ed of $28K at 3.92%
Husband: all loans with Sallie Mae, $34K at 3.37% and $58K at 3.92%

Scenario #1:
We both consolidate with US Dept of Ed, rate = 3.625% (already includes -.25% deduction)

Scenario #2:
I consolidate with UHEAA at 2.67% (includes -1.25%), drops to 1.67 after 48 payments
Husband stays with Sallie Mae (too late to do 2 step process with UHEAA), rate = 3.637 (includes -.25%), drops to 2.637 after 36 months

Scenario #3:
We do spousal consolidation with Graduate Leverage. They will do 2 step process (first move mine, then add husband's) and they say it's not too late bc the app's for both will be in by tomorrow. Makes me a little leary, but the guy seemed extremely knowledgeable and they seem to have a good reputation. Rate would be 3.75 (includes -.25%), drops to 2.75% after 20 payments.

I don't know why the consolidated rates in Scenario #1 and #3 aren't the same, they should be considering both consolidations would include all of our loans weighted the same. Nonetheless I don't think it changes the scenarios much.

Although I understand all of the stuff up to here, I don't have a clue how to do the financial comparison. If it matters, you can assume we'll pay off the loans in approx 10 years.

I would really appreciate any advice based on the above.

Also, anyone know if there's any harm in submitting multiple consolidation requests, e.g. with US Dept and GL just to be sure one of them goes through?

I suggest #2, then follow Rathipon's posts on getting around the single lender rule to consolidate at even lower rates.

I just want to give OP serious props for starting this thread. UHEAA is da bomb! The total amount of interest for the next 30 years will be less than the amount of interest I have accumulated so far (I am out of school for 4 years now). It may sound hard to believe but yes it is true. So, I would say I got a pretty good deal.

mainedvd said:I am getting a %7.65 rate on my loans and it is killing me. I am hearing about these lower interest rates, but I already consolidated with Sallie Mae and I feel very helpless. Instead of watching what I owe decrease, it just seems that it stays the same.
What do I need to do?
Please help me.

Earn more, spend less

Seriously, the 7.65 is private, correct? I have the same problem (a portion at 7.25) I just consolidated to reduce monthly federal payments in order to spend the difference on my private loans. Pay as much principal as you can. Unfortunately, most private lenders won;t likely be able to give you a loan too much under 8%, unless there is some collateral (like a house or car), even if you have good credit. A lot of people are in your position. Just try to enjoy life as much as you can, with budget principles, and try to make more money in the future.

Went with UHEAA, called 3 times, very helpful & clear. I'm around 1.625% right now, 0.625% after 48 payments. I did lose my rebate for my fed loans (1.5%, so a few hundred) because I consolidated through a private lendor. I called the feds and they said because I won't make my first 12 payments on time that I lose the rebate, I said well I made one payment in full on time, so I think it's safe to say I will make the other 11 payments of $0.00 on time, but they told me no. Right now I'm digging up papers to find where it says I lose my money if I go through a private lendor, so if anyone has any info on how to fight this I would appreciate it!

Your consolidation loan % is based on what you are consolidating. Since the loan you are consolidating is at 2.875%, you should get that rate with Dept of Ed or UHEAA. They do not look at how that % was derived.

I can't answer the rest of your questions.

Can anybody see what I can do in my situation?

I have the following loans:

EdFinancial Services $11,000
Perkins (w/ my school) $8,000
Stafford Loans $22,971
Citi (private) $22,700
--------------------------------
TOTAL $64,671
(all this is with about 5 different lenders)

How do I consolidate this massive debt for just an undergrad degree with the lowest interest rate and lowest monthly payment possible? I am guessing probably UHEAA like everybody else, but will I get all the discounts, reductions, etc.? Also, is it possible to bundle in my private loan with the federal loans under one consolidation?

I appreciate any input, thanks! By the way, I graduated on May 13th, so I only have a few more days until my grade period expires! And I know I already missed the July deadline for the rate hike. HELP!

nanotech2 said:Can anybody see what I can do in my situation?

I have the following loans:

EdFinancial Services $11,000
Perkins (w/ my school) $8,000
Stafford Loans $22,971
Citi (private) $22,700
--------------------------------
TOTAL $64,671
(all this is with about 5 different lenders)

How do I consolidate this massive debt for just an undergrad degree with the lowest interest rate and lowest monthly payment possible? I am guessing probably UHEAA like everybody else, but will I get all the discounts, reductions, etc.? Also, is it possible to bundle in my private loan with the federal loans under one consolidation?

I appreciate any input, thanks! By the way, I graduated on May 13th, so I only have a few more days until my grade period expires! And I know I already missed the July deadline for the rate hike. HELP!

Your best bet would probably have been to consolidate back to get the pre-July 1 after you graduated (you could have consolidated the Stafford loans, at least). Since you missed it, I would say probably to go with the one with the best borrower benefits