Menu
Financial Aid Books
What is Loan Consolidation
When to Consolidate
Why Should I Consolidate
Which Loans are Eligible
Stafford Unsubsidized Loan
Stafford Subsidized Loan
Signature Student Loan
Perkins Loan
Community College Loan
Tuition Answer Loan
Poor Credit Student Loans
Current Loan Rates
Stafford Loan ............
6.80%*
PLUS Loan ................ 8.50%*
Loan
Consolidation ..6.375%*
*subject to change
Additional Resources
Welcome to the School Loan Consolidation Network
Federal Stafford Subsidized Loan!
The information below will help you compare the different types of student loans available and also show you the various options when deciding to do a school loan consolidation. This information can also be found on the SallieMae.com website.
|
|
Eligibility
- You must have submitted a FAFSA.
- For subsidized Stafford loans, you must have financial need as determined by your school.
- You must be a U.S. citizen or national, a U.S. permanent resident, or eligible non-citizen.
- You must be enrolled or plan to enroll at least half time.
- You must be accepted for enrollment or attend a school that participates in the Federal Family Education Loan Program.
- You must not be in default on any education loan or owe a refund on an education grant.
Loan terms
Loan limits
| Dependent | Annual loan limit |
| Freshman | $3,500* |
| Sophomore | $4,500* |
| Junior or senior | $5,500 |
| Independent | Annual loan limit |
| Freshman | $7,500* |
| Sophomore | $8,500* |
| Junior or senior | $10,500 |
| Graduate or professional | $20,500* |
| Undergraduate dependent lifetime limit | $23,000 |
| Undergraduate independent lifetime limit | $46,000 |
| Graduate or professional lifetime limit** | $138,500 |
Interest rate
For Stafford loans first disbursed beginning July 1, 2006, the interest rate is fixed at 6.8%.
Fees
For loans first disbursed July 1, 2007–June 30, 2008: Up to 2.5% in fees that includes a 1.5% federal origination fee and a 1% federal default fee. There are lenders and guarantors that work with Sallie Mae that pay all or a portion of these fees.
Repayment
- Standard repayment: You make both principal and interest payments each month for up to a 10-year repayment term. This plan has the lowest total interest cost.
- Graduated repayment: You make reduced payments in the early years of repayment and increased payments thereafter, while still paying off the loans within the maximum 10-year period. With graduated repayment, you have a higher total loan cost than with standard repayment.
- Income-sensitive repayment:
Payments are a percentage of your gross income. You
must reapply every year for this plan and payments
are adjusted annually to reflect changes in income.
With income-sensitive repayment, you have a higher
total loan cost than with standard repayment.
- Extended repayment: If you have high student loan debt, you may be eligible for up to a 25-year repayment term and the choice of standard or graduated payments to keep payments affordable. With extended repayment, you have a higher total loan cost than with standard repayment.
- Student loan consolidation: You combine your eligible loans into a new loan with a single monthly payment and a fixed interest rate. While student loan consolidation can substantially lower your monthly payments, it will generally result in a higher total loan cost.