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The Federal Loan Consolidation Program was created in 1986. In 1998, the United States Congress changed the interest rate to the aforementioned fixed rate weighted mean, effective February 1, 1999.
Borrowers with federal Direct Loans or Federal Family Education Loan Program (FFELP) loans who consolidate their loans by June 30, 2024, will have any eligible payments from before consolidation ...
Forfeiture of federal benefits: If you choose to consolidate federal student loans with a private loan, you lose access to federal loan benefits. These include income-based repayment plans along ...
The program replaced the earlier Federal Family Education Loan (FFEL) program which issued "guaranteed loans" — loans originated and funded by private lenders but guaranteed by the government. The FFEL program was eliminated because of a perception that it benefited private student loan companies at the expense of taxpayers, but did not help ...
Perkins loan. Health Education Assistance Loan Program loan. Commercially-held Federal Family Education Loan. People who have already received forgiveness or paid off their loans are not eligible ...
In July 2015, a Federal Reserve Bank of New York Staff Report concluded that institutions more exposed to increases in student loan program maximums tended to respond with disproportionate tuition increases. Pell Grant, subsidized, and unsubsidized loans led to increases of about 40, 60, and 15 cents on the dollar, respectively.
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