President George W. Bush Speaks On The Brewing Student Loan Crisis

In his weekly radio address, President Bush spoke about the brewing
crisis in the student loan markets. WATCH VIDEO

In his address he mentioned the “Lender of Last Resort Program” for
student who cannot secure funding for college. He further mentioned
the need for the ability of the govenment to step in and buy the loans
when necesarry to provide liquidity to the system.

He also signaled to the Senate get something started, as the House of
has already passed the ”Insuring Continuing Accessing Student Loans
Act” and the Senate has yet to act on the issue.

The Presdent would need a bill on his desk, before June 1, 2008 to avoid
any major problems with loans for the September Semester.

The parent’s role on the students’ quest for federal assistance - Part 3

Student Loan Consolidation

While student loans have helped many students by enabling them to pursue further studies by providing financial assistance, it can also be an emotionally and mentally exhausting journey.

Repaying a large student loan or multiple student loans can be a long burden, which extends many years, well into your working years. Many student’s who have graduated, find himself or herself having to set aside a large portion of their salary just to repay the student loans. It is not unheard of to have to repay a student loan for as long as 10 to 15 years.

So what solution is available to help? A student loan consolidation plan may be able to help you particularly if you are repaying several student loans concurrently. A student loan consolidation plan consolidate your student loans into one loan thus you only need to make one payment each month.

There are several types of student loan consolidation plans available depending on whom you lend it from. An example of a federal student loan consolidation is student loan consolidation from the Student Loan Consolidator. Check with your school or lender for more information or the Internet.

There are several ways in which you can repay a student loan consolidation. The most common is a standard repayment plan. You repay a fixed amount every month until you fully repay the loan.

A graduated payment plan allows you to repay the student loan after you have graduated. It is suited for students who have no income during studies and only able to repay when they graduated and have a job.

A variable payment plan allows you to adjust how much you repay each month depending on your income level. It allows a greater flexibility and is more suited for people whose income varies each month. An example would be salesmen who earn via commission.

Another advantage of student loan consolidation is that it also helps to improve credit rating. Since you are effectively getting a new loan and your existing loans have already been cleared, it will help to improve your credit rating and easier to get financial assistance should you need one in future.

It is sometimes beneficial in getting a federal student loan consolidation loan as the interest rates are one of the lowest available and the government loan is open to anyone having studied in an American Education Institution. However, if you are nearing the end of your student loan repayment, then it is often not worth it to get a student loan consolidation.

Learn About Student Loan Consolidation To Help You Save Money

Do you have multiple student loans for which you are making multiple payments per month? With student loan consolidation, you can merge all of your loans into a single loan with one payment per month.

Here Are 6 Benefits Of Consolidating Your Student Loans?

1. Easy to maintain, single payments per month.

2. Enables you to have manageable repayments of your student loan after you have graduated, especially if you had huge student loans.

3. Student loan consolidation is also beneficial to those students who have graduated; but find that they're still having difficulties managing the payments of all of the student loans they acquired to cover their college fees.

4. A more organized and cost effective plan, with lower interest rates will help you save some money.

5. A long term plan to paying your loan, giving you a longer timeframe to pay for your loan.

6. A longer payment plan also means a lower monthly payment, which gives you more flexibility.

You have an option to increase your monthly payments if you are able to, thus shortening the overall time frame for your repayments, and making you debt free sooner.

It is very simple to apply for a student loan consolidation. Lending institutions vary in their requirements and specifications for eligibility. Some of the information that is usually asked for is personal information, list of loans and contact information.

If you are considering consolidating your loan, it is recommended that you research on the offers from a few selected lending institutions and identify an offer that is most suited for their needs.

While your application for student loan consolidation is being processed, it’s important that you continue paying for their existing loans.

Students have the convenience of applying online. Once they have been accepted they would receive a notification email that relates to all of the necessary information about the new payment plan. The lending institution would pay all the existing loans. The borrowers would have to keep up with the payments for their consolidated student loans.

If a student has any questions, it is recommended that they seek out the assistance of a loan councilor to get the advice and evaluation of a loan expert.

If you are looking for an efficient and cost effective way of managing your student loans, then student loan consolidation is for you. With a consolidated loan, you gain more financial freedom and you save some money through lower interest rates.

Dean Shainin is a consultant specializing in student loan consolidation. Get valuable resources, tools, information and more articles on student loan consolidation, visit this site: http://www.studentloanconsolidationtips.com

Get free valuable online tips for debt consolidation from his: Student Loan Consolidation website.