Consolidation of Student Loans – What is Your New Student Loan Repayment Plan?
Student loan repayment plans are different depending on your individual circumstances. Your college institution will set the criteria, most likely based on their policy at that time. There are essentially two types of student loan repayment programs and they both also have somewhat specific criteria for you to qualify for. You may be eligible for one type or the other. Some specific criteria to be considered for either type of program are as follows. Listed below are the types of student loan repayment programs offered.
First is the standard student loan repayment plan. This program requires that you are a full-time student at an accredited college and that you maintain steady employment throughout your course of study. In order to qualify for this plan, you must be enrolled in a college or university at least for the full academic year. You must also be able to meet all the other eligibility requirements. Eligibility for standard student loan repayments does not depend on whether or not you attended college.
Another type of student loan repayment plan is the Postgraduate student loan repayment plan. Like the standard one, you are required to be a full-time student at an accredited college and you must maintain steady employment during the academic year that you qualify for the plan. You also must be able to meet all of the other eligibility requirements. Like the standard plan, you are not eligible for the benefit if you are not enrolled in an undergraduate course that starts in the first September of the year after you graduate.
The last type of student loan repayment plan is the Student Loan Consolidation. Under this plan, you consolidate all of your college debt into a single loan. This means that you will make only one payment every month instead of paying back several different loans. There is a set student loan repayment threshold amount that you must achieve before your loan will become eligible for consolidation. It is important to note that even if you reach the repayment threshold amount, you will still have to pay back the original college loans that you consolidated into one.
The repayment begins on the day that you graduate from your postgraduate course. In most cases, you are granted a grace period of six months following graduation. During this time, you are not obligated to start to repay your consolidation loan. In most cases, your consolidation company will begin the payment process as soon as the grace period has expired. The repayment process starts with your lender, and it is the same company that will calculate the amount that you need to pay back.
In addition, you must meet certain criteria before your consolidation loan can be approved. These requirements can vary by lender, but all require that you have a high school diploma or the equivalent. You also need to be at least 18 years old. Furthermore, you must plan on attending the college of your choice for the foreseeable future. If you choose not to pursue your postgraduate studies, the student loan repayment plan with that particular school cannot apply.
Once you have reached the student loan repayment threshold amount, you will need to find a way to pay back your consolidation loan. Most lenders offer various repayment options, and you can opt to have payments deducted from your salary or scheduled to occur monthly. If you have an interest-only mortgage or another type of adjustable rate mortgage, you may need to renegotiate the terms of your interest-only period. Generally, you are not allowed to change your term during this time, however. Repayment starts as soon as your loan is paid off, and usually after six months to a year.
In order to determine if your refinancing decision is right for you, I would first recommend that you do some additional research regarding student loan repayment plan 2. You can do this online via various web sites dedicated to helping students with their money management needs. You will want to go through all of the various pros and cons in detail. While you’re doing your research, if you come across a lender offering something called a “term plan,” keep in mind that this is simply a repayment plan. It is not intended to replace the original student loan.