Print This PageFederal Direct Consolidation Loans
A Direct Consolidation Loan allows students to combine one or more of their variable rate loan(s) into a fixed rate loan.
How do I apply?
Applying to the Direct Loan Consolidation Program is free with no fees and provides borrowers with the ability to consolidate a broad range of student loans. Additionally, the program allows borrowers to keep their existing benefits intact, lower their debt to income ratio and includes no prepayment penalties.
Go to www.loanconsolidation.ed.gov to find out more information about the benefits of consolidating your loan(s) through the Direct Consolidation Loan Program. If you need additional information, you can call (800) 848-0979 (TDD (800) 848-0983) to speak with a knowledgeable service representative about the benefits of consolidation.
How is the interest rate calculated?
A consolidation loan's fixed interest rate is based on the current weighted average interest rates of the loans consolidated.