Phoenix, AZ -- (SBWIRE) -- 01/07/2014 -- Handling the payments for several student loans can be very difficult, which is why so many recent graduates look into student loans debt consolidation. Credit-yogi.com understands this difficulty and is here to offer some suggestions that might help former students combine their debts, such as:

- Reasons to Consolidate
- Is it the Right Thing to Do?
- Private Loan Combining
- Federal Student Loan Consolidation

When & Why to Consolidate

Many college graduates took out several loans to pay for their education, and it’s tricky trying to pay all of them. So, when it becomes a choice between paying the loans or having food for a particular week, it’s time to seek a student debt consolidation loan. If one must borrow money that is meant for other bills just to make his loan payments, combine the debt. When loans are consolidated, they are merged together so a borrower has only one payment to make each month, resulting in an easier, more affordable plan.

Is Consolidation Right for One’s Situation?

While considering student loans debt consolidation, think about whether this is the best option for one’s situation. Granted, doing so will give one a single payment that one can repay over 30 years. Taking this action may also connect one to other payment plans that may not have been available before. Keep in mind that by paying the loan over a longer period of time, one is also paying more interest on it, so compare the current loan payments to what it would be after consolidation to determine which is better.

Consolidating Private Student Loans

Private loans are made through private lenders such as banks or credit unions and must be repaid to those institutions. They must also be consolidated there. The best method of obtaining a student debt consolidation loan is applying for it with one’s original lender. An excellent reason to do this is to change the interest rate on the loans from adjustable to fixed, saving money in the long run. Remember that private loans and federal loans cannot be combined and visit the original lender soon.

Federal Loan Merging

Generally, going through finaid.gov links one to a Direct Loan department. This means that when one needs student loans debt consolidation, he will apply for Direct consolidation. Practically every federal student loan can be combined, including Stafford, Perkins, and Direct PLUS loans. To do this, one must have at least one Direct loan in a grace period or being paid currently. There are no fees for applying.

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