How to Lower Your Student Loan Interest Rates If You've Already Consolidated

It can take years for college graduates to earn substantial income. Thus, some graduates have a difficult time paying their student loans. Obtaining a low interest rate on a student loan can lower payments and ease the financial burden. Most students consolidate to lower their rate. But after a consolidation, you may want an even lower interest rate. Fortunately, options are available to help you get a reduced rate after a loan consolidation.

Instructions

1. Request a rate adjustment. Contact your student loan creditor and request a customer service rep. Mention your desire to lower your payment and interest rate, and then ask them to change your interest to the best rate available. A good payment history with your creditor helps negotiate a better rate.

2. Sign up for automatic payments. Federal student loan providers such as Direct Loans offer interest rate reductions to borrowers who enroll in their automated payment program. Contact the agency that services your student loan for more information on this rate reduction.

3. Refinance student loans with another lender. Check loan rates with another federal student loan lender or private bank to see if you can acquire a lower interest. If so, apply for a loan and then refinance or consolidate your student loans for a second time.

References

• Direct Loan Servicing
• Refinance Student Loan