I have about $40,000 in student loans that I got privately through Chase. Because they aren't Stafford or government loans, I have been told that their is no way to consolidate them. Does anyone have any suggestions on how to consolidate them? The current payments are $650 a month and are killing me.
Private student loan consolidation is a relatively new option, but there are several lenders out there willing to do it. I have a friend in the dental profession (LOTS of student loan debt) who told me he recently used Wells Fargo to consolidate all his private student loans. They'll do up to $100K, and your interest rate is essentially based solely on your credit score. In his case, it worked out well because he makes good money now and his credit is a lot stronger than what it was when he was in school, so he was able to secure a much better interest rate when he consolidated with WF. I believe Chase provides the service as well, but I don't personally know anyone that has used them to consolidate. Whoever you choose to go with, make sure there are no prepayment penalties. You want to always have the option to pay the balance in full, without penalty, if the money is available.
