Consolidation w/DL gives it new forgive time period?

[gabbyraja]

I have Student Assistance Foundation for some loans from the early 2000s. 3.25%. Never late or defaulted, etc.

 

I've just gone on IBR (yay!) and pay $0. In 25 years my loans will be forgiven if I'm still in IBR. However, the person I was talking to told me ("I shouldn't be saying this, of course") that if I consolidated with DL that that time period would be 10 yrs, so I may want to look into that. I haven't been able to find ANY info on this. Anyone else heard this? Got a link?

 

I'm going back to school next week, taking out new loans at 6-something % (boo!) and if I had to take the 6% on the old loans in order to consolidate I'm not sure I'd want to... Just looking for info so I can decide...

 

Thanks

Jessica

[Saria]

The 10-year forgiveness provision for DL only applies to public service employees.

 

http://studentaid.ed.gov/PORTALSWebApp/stu...english/PSF.jsp

[LynnInMN]

If you consolidate the old loans and the new loans, you new interest would be a weighted average of your current loans.