There are many advantages for consolidating your federal student loans!
If federal student loan payments are piling up and the payments are becoming too much to handle, then Golden Mountain Consulting has the solution for you. Submit an inquiry form to learn more.
Standard Repayment Plan:
With the standard plan, you’ll pay a fixed amount each month until your loans are paid in full. Your monthly payments will be at least $50, and you’ll have up to 10 years to repay your loans.
The standard plan is good for you if you can handle higher monthly payments because you’ll repay your loans more quickly. Your monthly payment under the standard plan may be higher than it would be under the other plans because your loans will be repaid in the shortest time. For the same reason—the 10-year limit on repayment—you may pay the least interest.
Graduated Repayment Plan:
With this plan your payments start out low and increase every two years. The length of your repayment period will be up to ten years. If you expect your income to increase steadily over time, this plan may be right for you.
Income-Based Repayment Plan:
Under this plan the required monthly payment will be based on your income during any period when you have a partial financial hardship. Your monthly payment may be adjusted annually. The maximum repayment period under this plan may exceed 10 years. If you meet certain requirements over a specified period of time, you may qualify for cancellation of any outstanding balance of your loans.
Income Contingency Repayment Plan:
This plan gives you the flexibility to meet your student loan consolidation obligations without causing undue financial hardship. Each year, your monthly payments will be calculated on the basis of your adjusted gross income (AGI, plus your spouse’s income if you’re married), family size, and the total amount of your Federal Student Loans.
There are many types of student loans out there and only certain ones are eligible for consolidation. To see if your loans are eligible we listed all of the approved loans below that can apply for a student loan consolidation with:
In 2007, Congress created the Public Service Loan Forgiveness Program to encourage individuals to enter and continue to work full-time in public service jobs. Under this program, borrowers may qualify for forgiveness of the remaining balance due on their eligible federal student loans after they have made 120 payments on those loans under certain repayment plans while employed full time by certain public service employers.
To maximize your loan forgiveness benefit, you should repay your loans on the Income-Based Repayment (IBR) or the Income-Contingent Repayment (ICR) Plan, which are two of the repayment plans that qualify for loan forgiveness. Other qualifying repayment plans are the 10-year Standard Repayment Plan or any other repayment plan where your monthly payment amount equals or exceeds what you would pay under a 10-year Standard Repayment Plan.