Does consolidating student loans lower payments
So Fi’s success is tied to innovative services that start with putting the entire loan application process online and making it fast. It takes just a few minutes to fill out the application and even less time – usually about two minutes – to receive an answer on whether you’ve been approved.One other feature that distinguishes So Fi is the pause button for customers who lose their job.When you consolidate student loans through private lenders, you essentially are refinancing your loans.Combining several student loans, whether federal or private, only makes sense if you are going to receive a lower interest rate and reduced monthly payment terms.It is quite common for people with student loans to deal with 10-12 lending institutions, which means 10-12 payments and 10-12 due dates each month.When you consolidate Loan consolidation for student loans was created to make it easier for millions of borrowers to pay off their debt.The form asks basic questions (name, social security number, date of birth, address, etc.); what loans you do and do not want to consolidate; and what repayment plan you will be using.There also is a section detailing certifications, terms and conditions and borrower’s rights and responsibilities.
If you submit it without signing, the application can’t be processed.
Their website even states that the company wants people who “…
have a responsible financial history and a strong monthly cash flow.” In other words, it might be tough to qualify with a low credit score or income.
The market for consolidating and refinancing student loan debt has exploded over the last five years.
Online lenders So Fi and Lend Key have jumped to the front of the line among newcomers who are becoming big players in a business that traditionally was dominated by banks and credit unions.