A Consolidation loan is a new loan with new terms; Consolidation loans are created by paying off your existing federal loan(s).

Consolidation may enable you to:

• combine multiple federal education loans into a single loan
• extend the repayment term of your federal loan(s) and lock in a fixed interest rate
• lower your monthly payment amount

• You can consolidate your federal loans with VSAC if you are a Vermonter or an existing VSAC borrower.
• You can consolidate even if you only have one federal loan.
• You can consolidate even if your loans are held by multiple FFELP lenders or through the Federal Direct Loan Program.

Learn more

• What are the pros and cons of consolidating?
• Am I eligible?
• Should I apply during my grace period?
• What will my repayment terms be?
• Other frequently asked questions
• Return to main Consolidation page