LOAN CONSOLIDATION: Student borrowers can save money now
Student loan borrowers can save money by applying for loan consolidation.
"If you have one or more student loans, you may be able to dramatically reduce your repayment burden," said Paul Crawford, director of financial aid.
Loan consolidation allows borrowers to convert variable rate student loans into one loan at a lower fixed rate.
On July 1, 2001, interest rates on variable rate student loans dropped to the lowest levels in more than three decades, Crawford reported.
Borrowers who apply by Sept. 30 may save an additional .8 percent, lowering the rate to under 5 percent for some students, Crawford said.
"For borrowers, this presents a tremendous opportunity for real savings if they elect to refinance through loan consolidation," he said.
Consolidation is available free of charge at
www.loanconsolidation.ed.gov.