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[Ima Google]

I just finished year 1 of a 4 year professional program and have
incurred about 28K in student loans thus far. The interest rate is
low, at 2.8% and I am considering consolidating this single loan so
that I can lock in the low interest rate. I have a mix of half
subsidized and half unsubsidized loans.

Are there any negatives to consolidating and locking in this rate? My
main concern is will there be an effect on my future loans for the
final 3 years of school? (Will I still be eligible for more student
loans or will consolidating the current loan change my status) The FAQ
that I read stated that my loan will go into "repayment status" but
that I will be able to defer since I'm a full time student. Just to
clarify, I will be able to defer the payments and the government will
still pay the interest on the subsidized part of my loan until I
graduate, right?

I am not concerned about losing the grace period after graduation as I
already have a stable income and plan to start repaying immediately
anyway.

My current loan is through Total Higher Education (T.H.E) and they are
also offering to do the consolidation. The process looks pretty easy
and just requires an application and an online signature, but I would
like to go ahead and get this completed as soon as possible.

Thanks in advance for any advice!

[Steve Blank]

No negatives to consolidating considering the current lowest interest
rate ever, except you lose the grace period as you know, but the trade
off is worth it.
Consolidation does not have any affect on ability to take future loans.
Government continues to pay interest on subsidized loans.
Must get the process completed by July 1 to lock in the current low rate.
Do it fast.

Steven B. Blank
College Financial Aid Consultants
29 Ives Hill Court
Cheshire, CT 06410
(203)250-7761