Which of these loans should I consolidate?

[Omari]

These are my government loans:

 

PER24A	$12,250.00	5.000%
DL		$11625.00	4.21% (new variable rate)
DL		$8250.00	6.8% (fixed)

 

I am trying to get the math correct. I'll be consolidating with the government directly (if there is a better option, then please let me know).. the government offers 0.25% reduction for automatic debit, and a 0.8% reduction (its immidiate, but gets cancelled if I'm late on a payment within the first 12 months), for a total of 1.05%.

 

The reason I'm asking is because of the 6.8% loan. That 6.8% skews my final interest payment upward, but after the 1.05% reduction, that loan's interest rate is effectively reduced by going in on the consolidation. What should I do, add it to the consolidation plan, or leave it seperate?

 

Also, if I consolidate without adding in that fxed 6.8% loan, then decide later to add it to the consolidation, would I be allowed to do that? What are the rules for reconsolidating?

 

Thanks!

Edited July 2, 2008 by Omari

[martshap]

Omari,

 

Did you ever get answers to these questions? You are definitely asking the right (intelligent!) questions!

 

Unfortunately, the vast majority of the info. on this forum has to do with student loans that are behind or defaulted. I have spent at least half-a-day scouring the web for decent information on questions like the ones you are asking and I can't believe how hard it is to get good answers.

 

If there is a moderator around, I would suggest some sub-topics for the student loan forum to separate out the credit related questions from the repayment options/consolidation-related questions!

 

MS