After deciding to consolidate your student loans, the next step is to figure out how to go about it. You may have several choices of lenders, and what you choose could affect the amount you ultimately pay. Choose carefully.

The Department of Education provides the Federal Direct Consolidation Loans Program. Numerous states have student consolidation loans, some for your federal loans and others for your state loans. Then there are private lenders offering consolidation loans as well. You might first check with your current loan providers to see what they have to offer. They may have a better deal for current customers.

Federal Direct Consolidation Loans

Federal Direct Consolidation Loans are run by the US Department of Education and provide a means to combine multiple Federal loans into one.

You can apply online for the Federal Direct Program by visiting the FDCL website.

State Student Consolidation Loans

Several states offer consolidation loans as part of their education loan programs. Check with your state to see if they have a loan consolidation program.

Private Student Consolidation Loans

Private loans can not be consolidated under the Federal Direct Plan. If you have private loans that can't qualify for the federal and state student loan consolidation programs, there are many lenders who make private consolidation loans available to students. Check with your own lenders first to see if they have a consolidation program.

Student loan consolidation is another case where a little work now can pay off in the long run by saving you time, money and lots of aggravation.

By Ken MacKenzie
www.goarticles.com