Are you tired of managing multiple federal student loan payments, with multiple interest rates or multiple servicers? The program may allow you to consolidate your federal loans into one, and select the consolidation servicer of your choice. The Direct Consolidation Loan program is offered by the U. Department of Education to federal student loan borrowers.
By separating and being aware of which kinds of loans you have, you will be able to identify what your consolidation options are.
Each lender’s policy is different, so be sure to explore your options before you pick the one that works the best for your situation.
Usually, the only qualification for a federal student loan consolidation program is that your loans are federal loans and not private (or have been consolidated previously by a private lender).
If your loans are private You will have to go the refinancing route.
Student loan refinancing is done through private lenders.
Department of Education made the landmark decision to allow you to choose your consolidation servicer (of which, Great Lakes is one) under the Direct Consolidation Loan program.