You see advertisements all over the place where you can get really low student loan consolidation rates. Just be careful and do your research!!
My student loans have been consolidated together. At the time, the interest rate wasnâ€™t that low, but what it did was lump the debt together and I only had to make one loan payment a month. I really enjoyed that feature. My husbandâ€™s loans are also consolidated.
Now, why did we consolidate our loans together to have just one huge loan?? There are a few big reasons why we havenâ€™t done that. Please note that this might not hold true for all consolidation vendors, but it did for the company our loans are through. The minute we put those two loans together, they cannot ever be separated. Now, I hope to be married for life, but things can happen. Itâ€™s not too hard to divide the checking account balance. It would be very difficult to try to split up student loan payments. So that is one reason. Another big reason is that both of our names would be tied to the large consolidated amount. If something happened to one of us, the other would be responsible for the full amount. As I understand it right now, if something happened to me tomorrow, my loan would be forgiven and my husband would not have to pay it back. That would not be the case if we combined our loans together.
Donâ€™t take my word for everything here, because this has just been my experience. Things could be different for a company that you are consolidating your student loan debt through. Just be cautious and read the fine print.