Consolidating student loans from aes
If you miss the deadline, unpaid accrued interest may be capitalized (added to the Unpaid Principal), and your monthly payment will no longer be based on your income.
This may cause your Monthly Payment Amount to increase.
After 180 days, you will need to apply for a new Direct Consolidation Loan.
You remain responsible for interest that accrues on your unsubsidized loans.Keep in mind that if you are paying your current loans under an Income-Driven Repayment plan, or making qualifying payments toward Public Service Loan Forgiveness, then you will lose any credit toward loan forgiveness for payments made prior to consolidation.If you consolidate, you may lose borrower benefits that are associated with your current loans, such as interest rate reduction, timely payment incentives, or some loan cancelation benefits.The repayment term is generally up to 10 years and may be up to 30 years for Consolidation Loans.Extended repayment plans offer up to 25 years to repay your loans.
Monthly payment amounts are based on your total loan amount – the more you owe, the higher your monthly payment will be.