Frequently Asked Questions about Federal Student Loan Consolidation

Here are the most commonly asked questions about federal student loan consolidation.

What is federal student loan consolidation?

Federal student loan consolidation is a government-sponsored, free program that allows federal student loan holders to bundle their loans into one loan with one lender and one repayment plan. In doing so, federal student loan consolidation allows borrowers to save on monthly payments, reduce interest rates, and even extend their repayment term. If you would like to know more, please visit our how consolidation works page.

How do I apply for federal student loan consolidation?

You can apply for federal student loan consolidation on our website for free by filling out our online application. You can complete our application in less than two minutes, as we will just ask you for some basic contact information. If you apply during our regular business hours (8 AM - 10 PM EST), we will contact you via telephone within 15 minutes to complete the process.

Does the government issue my loan with federal student loan consolidation?

Though federal student loan consolidation is sponsored by the federal government, private lenders still originate the consolidation loan. You will make your federal student loan consolidation payments to a private lender.

How do I know if I'm eligible for federal student loan consolidation?

To be eligible for federal student loan consolidation, you must meet the following criteria:

• Have at least $5,000 in student loans
• Loans have not been previously consolidated
• A parent or student with federal student loans
• Not in default on any loans
• No longer in school (graduated or dropped out)
• Parents can consolidate any time after the loan has been disbursed