Loan Consolidation

About Federal Student Loans

Loan Consolidation

If you make more than one monthly student loan payment, you may find life easier with one affordable payment. A Direct Consolidation Loan brings all of your federal student loans together with a fixed interest rate. The rate is determined as an average of the loan rates that are being consolidated (rounded up to the nearest one-eighth percent).

Consolidation gives you up to 30 years to repay your loan, depending on your loan balance. Though increasing the repayment period also increases the total amount of interest you will pay over time, you can always pay more than the minimum due with no penalty.

Most federal student loans, including subsidized and unsubsidized Direct and Family Federal Education Loan Program (FFELP) Stafford and PLUS loans, are eligible for consolidation. Private education loans are unfortunately not eligible to be consolidated.

If you have any questions about consolidation or need assistance, please call us at 866.426.6765.

How to Apply

Apply online for a Direct Consolidation Loan here. You will need your PIN, which you can get at You can choose your servicer and your application will be forwarded to your new servicer for processing. The consolidation process will take approximately 30 days after your application is received.

Once your Direct Consolidation Loan is completed, the servicer you have chosen will provide your customer service—answer your questions, discuss your repayment options, and process your payments.

Adding Loans to Your Direct Consolidation Loan

After your new Direct Consolidation Loan is complete, you still have the opportunity to add additional eligible loans. If you would like to add other eligible loans, your servicer must receive your Request to Add Loans Form within 180 days from the date your Direct Consolidation Loan is completed (originated). Please note that if you have more than six loans to add to your consolidation loan, you will need to submit more than one Request to Add Loans Form.

If your Direct Consolidation Loan is serviced by Nelnet, you may request to add other eligible loans to it by completing this form and mailing it to:

P.O. Box 82658
Lincoln, NE 68501-2658

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