Also, you might lose eligibility for certain cancellation or forgiveness programs, especially if you are including Perkins Loans in the Consolidation.
(In either case, check with your lender.) More Interest Paid With a longer repayment period, you'll pay more interest over the life of the loan.
Like many federal loan borrowers, you may have both FFEL and Direct Loans. Once these loans are consolidated, you will have repayment options, some which lower your monthly payments, from which to choose. Consider the advantages and disadvantages carefully before you act.
Once you consolidate, you are locked into a loan with a fixed interest rate. Therefore, if you consolidate your variable interest rate loans and the interest rates drop the following year, you have "locked" into the higher interest rate for the life of the loan.
Your school may have alternate entrance counseling requirements.If you borrowed any federal student loans before July 2010, there’s a good chance that some or all of your federal student loans are not Direct Loans.But that doesn’t mean you can’t qualify for the best repayment benefits—you can. If you consolidate, as a student borrower, here are some of the repayment benefits you could access: by the Department of Education.If you have several federal education loans, you may want to consider combining them into one new loan with one monthly payment.This is called loan consolidation and can help keep you organized and on track with repayment. Department of Education (ED) encourages borrowers with both types of loans to consolidate them into the Direct Loan program.