Through private loan consolidation, you can combine your private loans so you only make a single monthly payment. You generally can't consolidate your private loans with any federal loans. You’ll need to pass a credit check.

Advantages

• 1 monthly payment
• Extended repayment period
• Possible lower monthly payments (depending on credit score)
• No prepayment penalties

Disadvantages

• Possible higher interest rate (depending on credit score)
• Loan is not forgiven upon borrower’s death
• No hardship or forbearance options
• Processing fees
• Loan origination fees

More Information

For more information about private loan consolidation, visit FinAid.org.