To provide more complete comparisons, the site features products from our partners as well as institutions which are not advertising partners.While we make an effort to include the best deals available to the general public, we make no warranty that such information represents all available products."Advertiser Disclosure Wednesday, February 1, 2017 The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities.Sallie Mae private student loans allow borrowers to defer payments until after graduation, have no initiation fees, and can be obtained in amounts up to the entire cost of annual tuition plus expenses.Federal Direct Consolidation Loans help to combine multiple loans into one, eliminating separate payments and simplifying the process.Sometimes it’s to reduce the monthly payment requirements by stretching them out of a longer repayment period.
The terms student loan consolidation and student loan refinancing are often used interchangeably, but they actually mean two very different things, and they have very different sets of pros and cons.
Federal Direct Consolidation Loans are available to all students holding Subsidized and/or Unsubsidized Stafford Loans, Direct PLUS Loans, Federal Supplemental Loans for students, Federal Perkins Loans, Federal Health Education Assistance Loans and Federal Nursing Loans.
If you have already consolidated your federal loans in the past, you may also be able to re-consolidate and add other outstanding federal student loans using a Federal Direct Consolidation Loan.
Sallie Mae loans are typically used by students who require additional funding once all other options have been exhausted.
Students who turn to scholarships, grants, work-study programs, private funding and federal loans first, but are still not able to cover all the expenses involved with college tuition, books and accommodations, often turn to private lenders like Sallie Mae.