Frequently Asked Questions

Student loans can be incredibly confusing but we’re here to help
A Direct Consolidation Loan is an option that combines all of your individual subsidized and unsubsidized Federal Student Loans into one single loan at a fixed interest rate. Using this method gives you the ability to pay all of your student debt through a single loan instead of having multiple loans.

  • Having only have one loan to keep track of.
  • Convenience of only needing to make one student loan payment each month.
  • May save money with a single, low fixed interest rate.
  • May be able to adjust the repayment plan to make paying off the student loan debt less burdensome .
  • May qualify for a renewed student loan deferment period.

The short answer is no. As of July 1, 2006, married couples can no longer apply for a Direct Consolidation Loan as joint borrowers.
Consolidating your loan usually takes about 30-90 days to complete after applying.
No, the Department of Education does not require a credit check to qualify or apply for consolidation of your federal student loans.
Yes as long as you are a graduate student borrowing with Federal Stafford Loans, Graduate PLUS Loans or any other federal student loan option.
Federal Student Loan Forgiveness Programs are programs issued by the federal government that forgive certain students of part or even all of their remaining student loan debt.

Student loan forgiveness is handled on a case-by-case basis and depends on a number of factors. Some of these factors include location, vocation, tax filing status, number of dependents, current income, and even the remaining balance of your federal student loans.

Contact us to see if you qualify for a federal loan forgiveness program.

There are a ton of Federal Loan Forgiveness Programs out there. Here are just a few:

  • Forgiveness based on an income-driven plan
  • Federal Perkins Loan cancellation
  • Loan forgiveness for nurses, health professionals, public servants, teachers and military personnel.

The application process for student loan forgiveness takes anywhere from 60 to 90 days depending on a number of factors. Once enrolled into a student loan forgiveness program, the forgiveness process can take anywhere from 10 to 25 years depending on circumstances.

The Obama Student Loan Forgiveness Program (also known as The Direct Loan Program (FDLP)) is the only government-backed student loan program in the United States. The FDLP program was apart of a reform made under the Health Care and Education Reconciliation Act of 2010. It expanded funding for federal student loans which in some cases allows borrowers to have their entire student debt forgiven after 20 years instead of the original 25 years on qualifying payments.

Student loans become delinquent after the first missed payment. If this continues longer than 270 days, the student loans are considered in default. Defaulting on student loans can drastically affect your financial future by:

  • Preventing you from receiving financial aid
  • Keeping you from getting hired for work
  • Losing your professional licenses
  • Being declined for new loans
  • Paying higher interest rates
  • Declined for new utility services
  • Losing up to 25% of your paycheck
  • Losing your Federal Income Tax Refund
  • Seriously affecting your credit score

Yes, your Federal Student Loan Repayment play can be changed at any time by logging into your account at
In most cases, you can usually get out of a default status within 4 to 8 weeks.
You may have your loans discharged in bankruptcy only if the bankruptcy court finds that repayment would impose undue hardship on you and your dependents. This applies to either Chapter 7 or Chapter 13 bankruptcy and must be decided in an adversary proceeding of bankruptcy court. Your creditors may be present to challenge the request.

The court uses a three-part test to determine hardship:

  1. Would the forced repayment of the loan prevent the borrower from maintaining a minimum standard of living?
  2. Can the borrower provide proof the hardship will continue for a significant portion of the loan repayment period?
  3. Has the borrower been in repayment for a minimum of 5 years and made good-faith efforts to repay the loan before filing for bankruptcy?

Interested in Federal Student Loan Repayment Plans?