The first thing you would ask yourself whencontemplating on a consolidate debt loan is, what is consolidate debt loans? Consolidatingsome or all your debts is a process of combining all your debts in to a single or one loan,with one monthly payment and in most cases low interest rate.

The lending company, whoconsolidate all your debts into one, will pay off all your current debts and loans andissue a new loan to you.

Now that all your current debts are in one loan, you will onlyneed to make one single monthly payment.

This could be your first query when thinking ofconsolidation, but either way it is entirely up to you.


Some of the benefitsof a consolidation are that the payment processes get simplified.

No more multiple monthly paymentsthat may stresses you out.

You can lock in a low interest rate which will mean more savingsfor you.

You can also extend the payoff time to several years depending on your eligibility(though this will increase your total interest to be paid on the life of the loan).

You willonly deal with one lender and can also lower your monthly payment.

You may also ask, am I eligible for a consolidateddebt loan? Almost anybody can ask and get to consolidate debt loan.

You can also consolidateanytime you would like to do it.

Eligibility for consolidation varies from company to companyor from lender to lender, as their basis for approving varies.

But this can easily be checkby logging online to verify or inquire about their qualifying requirements.

For studentloans, it is a little bit different.

Some consolidators will require a minimum of 10,000.

00dollars in total debts for them to consolidate your loans.

For school consolidation loans,the best place for you is through the federal government loans program.

Here you can getthe lowest interest rate for your college and/or school loans.

How about my monthlypayments?How much will they cost me? A monthly repayment again varies depending on the amountof the loan and the length of the loan term.

The shorter the loan term, the more the amountis, whereas the longer the term is,the less amount money you have to pay monthly.

Forstudents who do consolidate debt loans, they usually have flexibility payment options,depending on their budget and income.

Just a reminder, the faster you pay it off, theless interest you have to pay.

How much is the interest on a consolidate debt loan? Mostlenders have a competitive rate of interest, but if you shop around, you will find thebest rate.

Do some due diligence and research among the lenders who has the lowest interestrate.

For student consolidation, it is usually the weighted average of the interest rateson the loans being consolidated.

Some have a variable rate and some have a locked interestrate (based on the current federal rate).

Please be reminded that even tenths of percentagepoint can mean hundreds of dollars to you so always consider the lowest possible interestrate.

Start of repayment and about deferring ofloans.

The start of repayment for students usually get a nine month grace period on repayingloans once you are out of school and some are 6 months.

But the best thing to do isstart sooner and you will be better off.

On deferring your loan, yes you can, but thatis if you are eligible.

If for some reason you are not employed, or you are encounteringsome financial and economic difficulties, the U.


department of education will paythe interest that accrues during the deferment period (this apply to school consolidationloans).

When you defer loans you do not have to pay it back, and interest will not accrue.

To maintain a good credit rating do not default on your school consolidation loans to avoidpenalties and more payments later on.

When you know your options, you may have the optionto consolidate debt loans.