Special direct consolidation

[Tejas]

Has anybody gone this route. I am not sure I understand entirely how it works. I would appreciate hearing your experience if you have gotten the special direct consolidation loan. I know it is supposed to drop a 0.25% rate for each elegible loan and I beleive it is not a true consolidation as it does not lump your loans into one payment.

After going the special direct consolidation route can you then go through the standard direct consolidation process?

Also, as I am a PGY1 and have a family of 4, with all of my loans (stafford, plus, and perkins) currently in forebearance, if i were to get the special direct consolidation and then direct consolidate my loans, would my loans automatically remain in forebearance? If not, would they be eligible for forebearance once consolidated? Unfortunatly, with a family of 4 and loans >250k, I will not be able to repay for a while.

Also, I hate debt.

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[docmed2012]

I am curious to hear what others think about the special direct consolidation as well...not sure if its really worth it or if I should just go through the traditional consolidation. Not all of my loans qualify for the special direct either. You can only one do one type of consolidation at a time, and each takes about 90 days so it could be a while before everything is consolidated. I'm thinking the traditional consolidation might be better.

 

[Igor4sugry]

I am curious to hear what others think about the special direct consolidation as well...not sure if its really worth it or if I should just go through the traditional consolidation. Not all of my loans qualify for the special direct either. You can only one do one type of consolidation at a time, and each takes about 90 days so it could be a while before everything is consolidated. I'm thinking the traditional consolidation might be better.

I went this route. The benefits for me were the fact that I now had one less lender to deal with and I had a slightly lower interest rate. I came to a realization that the interest rates on our student loans today will never go down unless you take opportunity of programs such as this one.

It too me only 4 weeks to get the loan consolidated.

When you apply for consolidation all the eligible loans will be consolidated at the same time.

Deadline for this consolidation is June 2012