Phildelphia Student Loan Consolidation Lawyers

For residents of Philadelphia, PA, grappling with student loan debt, consolidation offers a beacon of hope. It's a path to simplifying payments and potentially securing more favorable terms. Students and graduates looking for a fresh financial start can find solace in the possibility of consolidating their student loans.

Speak with an experienced attorney regarding the consolidation of your student loans! Contact Graham & Borgese via online form or call (888) 801-7765 to schedule a free initial consultation.

Key Benefits of Loan Consolidation for Philadelphia Borrowers

Consolidating your student loans can renew your eligibility for new loans, grants, and even deferments. It's a crucial step in improving your credit score by updating the status of your loans and shielding you from the repercussions of defaulted loans, such as tax intercepts and wage garnishments.

Income-Based Repayment Plans: A Lifeline for Graduates

One of the standout features of government student loan consolidation programs is the array of income-based repayment plans available. These plans are tailored to fit your financial situation, ensuring that your payments are manageable based on your income level—a particularly useful option for those navigating the job market in and around Philadelphia, PA.

Direct Loan Consolidation: The Only Path Post-2010

Since July 1, 2010, the Direct Loan consolidation program remains the sole government consolidation loan program. This is crucial information for Philadelphia students and alumni, as it means FFEL consolidation loans are no longer on the table. Direct Loan consolidation is the pathway you'll need to explore to combine multiple student loans into a single, streamlined payment.

Private Consolidation Loans: A Word of Caution

While some lenders may offer consolidation for private education loans, Philadelphia residents should be wary. Transitioning federal loans into a private consolidation loan can strip you of valuable federal loan benefits, such as deferment and affordable repayment options. Moreover, federal consolidation loans typically boast lower interest rates than their private counterparts.

Eligibility and Process for Federal Consolidation Loans

If you're a Philadelphia resident with defaulted loans, Direct Consolidation offers the chance to make three consecutive monthly payments under new terms. Eligibility extends to those with outstanding Direct Loans or FFEL loans, provided certain conditions are met.

Before the Department of Education processes your consolidation, they'll send a summary sheet detailing the loans included and the repayment plan chosen. It's imperative for Philadelphia borrowers to review this information meticulously to ensure accuracy.

Debt Collection Costs and Loan Rehabilitation

When consolidating out of default, be aware that collection costs up to 18.5% of the principal and interest may be added to your new loan balance. For those in Philadelphia who've previously defaulted on a consolidation loan, options may be limited, but loan rehabilitation remains a viable alternative.

Graham & Borgese: Your Local Philadelphia Advocates

Looking for help with student loan consolidation in Philadelphia, PA? Look no further than Graham & Borgese. Our expertise is customized to the specific needs of Philadelphia residents, and we provide a free consultation to help you understand your alternatives. Contact us to take the first step toward financial freedom and a clearer route for managing your student loan debt.

For additional information or to schedule a free consultation, please contact us or come to our Philadelphia office. We're dedicated to guiding you through the complexity of student loan consolidation and determining the best solution for your specific needs.

Get in touch with a seasoned Philadelphia student loan consultation lawyer. Graham & Borgese is ready to help you. Call (888) 801-7765 or submit our online form.