Student Loan Consolidation?

[leebee]

Can someone explain why, or why not, one would consider consolidating student loans? DD is about to start repaying her grad school loans. Both are unsubsidized federal loans, managed by the same corporation. One is for $10K at 6.2%, one is for $15K at 5.6% We currently pay her undergrad loans. Not a lot left (~$5K) with pretty low interest rates (3-4%). I'm not sure what it really means to consolidate and if it'd be beneficial or not.

 

[jimmymc]

Consolidating only helps if it gets you a better interest rate or payment terms. Rates are high right now, so I doubt you'd do any better than the 6.2%.

 

[mjkacmom]

I think my oldest consolidated her loans for undergrad, but to get a better rate, which I doubt would happen now.