Consolidating college access loans

25 May

Perkins borrowers may have multiple outstanding loans, but many students also carry federal Stafford Loans, and others issued through the Direct Loan Program.Students with multiple federal loans are increasingly concerned about how they will meet repayment obligations after graduation.There is no cap on the interest rate of a Direct Consolidation Loan.The Texas Higher Education Coordinating Board ( is the state-sanctioned student loan resource designed exclusively for the benefit of Texas students.Consider private loans only when your income, savings, and other financial aid, including federal loans, don’t meet the cost of attendance. If you borrowed for college before 2011, you might have borrowed under the Federal Family Education Loan Program (FFELP), but, effective July 1, 2010, no new loans were being issued under that program.When your loan defaults, you’re considered in violation of your loan agreement, and your lender or servicer can request immediate payment in full.Get answers to your questions about student loan default in our default FAQ.Perkins Loans are federally-guaranteed student loans that are issued jointly, by the U. government and individual financial aid departments at colleges and universities.

Once your loans are combined into a Direct Consolidation Loan, they cannot be removed.

The CAL may be used to cover part or all of the student's Expected Family Contribution (EFC), which is calculated by completing the Free Application for Federal Student Aid (FAFSA).

However, the amount of federal aid for which you are eligible must be deducted from the cost of attendance in determining the CAL loan amount.

Some loans are always ineligible for consolidation.

While these loans may not be included in a Direct Consolidation Loan, they may be considered in the calculation of the maximum repayment period under the Graduated or Extended Repayment Plan.