Advantages to consolidating student loans
Once you sign in to Student using your personal identifiers and Federal Student Aid PIN, you will be able to electronically complete the Federal Direct Consolidation Loan Application and Promissory Note.
The primary reason is that no matter how good the rate or terms offered by a private loan consolidation, they almost never will be as good as those offered by a federal government consolidation.
A PLUS loan made to the parent of a dependent student cannot be transferred to the student through consolidation.
Therefore, a student who is applying for loan consolidation cannot include the PLUS loan the parent took out for the dependent student’s education.
You still have the same amount of debt, but the number of lines of credit goes down, thus raising your score.
Another credit score advantage of student loan consolidation is that it will show that you have paid off all of your other loans.