If your monthly payments are manageable, it may be tempting to consolidate out of convenience. Once you near the end of your repayment – once you have a few thousand dollars or a couple more years to go – it’s usually not worth it to consolidate.
You may lose any accrued benefits on your current loans.
If you want to consider refinancing, Money Under 30 partner Credible offers a free and easy way to see the loan rates and monthly payments you would qualify for from selected lenders — there’s no obligation or impact to your credit.
Read more: See how much you could save with student loan refinancing here.
Lower monthly amounts, though, mean you pay more over the loan’s life.
Maybe you’re in a contract position with an end date, on track to a better-paying job, or planning to stay home with a child.
If your life circumstances are changing, you may want to adapt your loan repayment plan to match.
You’re more likely to have the same monthly payment each month.
The initial interest rate (when you first sign on) may be higher.