How to Find the Lowest Student Loan Consolidation Rate

Photo Credit: Harrison Keely

Looking for Student Loan Consolidation Rates? This 'how to' will show you where to look so you can find the lowest rate.

Difficulty:

Moderately Easy

Instructions

Things You'll Need

• Existing student loans that are eligible for consolidation

1. Often, you'll find that the federal government offers the best interest rate. You can check their consolidation rates at http://loanconsolidation.ed.gov/help/rate.html

   They also have an online calculator that will tell you what your monthly student loan payments will look like.
   https://loanconsolidation.ed.gov/loancalc/servlet/Controller?controller_task=startCalculator

2. 

   You can also get consolidation loans from private banks. These are usually based on an interest rate called the Prime Rate, but usually add a little bit of interest to that rate.

   Well Fargo, for instance, posts its student loan consolidation rate here:
   http://wfefs.wellsfargo.com/jump/rates.html#priv_consol

   You can find the Prime Rate here:
   http://www.bankrate.com/rates/interest-rates/prime-rate.aspx

   Try asking a bank that you do your checking account with if they do student loan consolidation. Ask if they can give you a discount since you have other accounts with them.

3. As a last resort, check with a company that "specializes" in student loan consolidation. Here are the rates at Student Loan Consolidator, one of these companies:
   http://www.studentloanconsolidator.com/consolidation/projected-rates.php

   Be careful with these guys though. They're usually out to make a profit, so they might be looking out for their interests over yours. But if the rate is rate, give it a shot!

Tips & Warnings

• Most of the time, the federal student loan interest rate will be the best. If you're looking to consolidate with the least headache, go straight for the federal refinance.