Why Consolidate with Wells Fargo?
Benefits from Another Big Lender
Wells Fargo earns kudos from industry critics for its deep dip into diverse financial markets and its mission to diversify its workforce. Commercial, small business and personal financial sectors are fairly equally attended to. Within the personal banking end of business the Wells Fargo Student Loan Center is abuzz with activity. This is not exclusive to WF, which shares student loan territory with competitors Chase, Citibank, Wachovia, and Bank of America, besides others.
The stable of student loan products includes the Federal Family Education Loan Program (FFELP) loans, private undergraduate, private graduate, continuing education, and specialized studies loans for health and law professionals. In some cases borrowers may be approved for loans in the full amount of their tuition. After graduation the combination of federal and private loan debt may prove volatile for a new grad’s checkbook.
Student consolidation loans have quickly taken up position alongside all other student loan products, a commonplace loan product like any other, but with features that empower imperiled college graduates and parents. The earlier new grads plan for consolidation, say most lenders, the earlier they benefit from low interest rates and are better able to take charge of their financial future.
The biggest perk of consolidating student loans is the almost 50% cut in your monthly payments. For some the short-term advantage may not outweigh the long-term expense of a consolidation. But for anyone near default or with other financial responsibilities, a Federal Consolidation Loan or a Private consolidation loan with Wells Fargo can remedy the problem.
Federal Loan Consolidation with Wells Fargo
The FFELP loans offer borrowers the chance to convert one or more federal loans, even through various lenders, into one. Non-negotiable terms of a federal consolidation loan include:
- Fixed interest rate since July 1, 2006. Rate is determined on “weighted value” of all your federal loan interest rates as of the date on your consolidation application. The rate is capped at 8.25.
- Also, since July 1, 2006, students still in school are not eligible to consolidate loans.
- Federal Consolidation program is fee- and credit-check-free.
Private lenders like Wells Fargo personalize the loan with the addition of its own borrower perks and loan terms:
- Repayment terms may be extended up to 30 years for loans in excess of $60,000.
- There is no minimum required.
- Apply to have your payments deducted automatically/electronically from your checking account and earn a .25% interest rate deduction.
- Make 36 consecutive, on-time monthly payments and you reap an additional 1.00% off the interest rate.
Private Loan Consolidation with Wells Fargo
If you and/or family members struggle to pay one or more private educational loans, with Wells Fargo or with another lender, you may be eligible to consolidate those loans using the Wells Fargo Private Consolidation Loan. This is a credit-based loan. Apply with a co-borrower and lower your interest rate one way or the other.
Variable interest rates apply to the private consolidation loan. The better your credit and that of your co-borrower’s the better your rate. You may opt to release your co-borrower after so many on-time payments without sacrificing your interest rate. Repayment perks include a .50% deduction in interest rate for electronic debit payments from your Wells Fargo checking account, or .25% from an account through another lender; and an additional .50% for 48 payments made on time and consecutively.
Include a Wells Fargo financial advisor in your consolidation decision. He or she is trained to provide you with the best products and services, as well as solid and responsible financial management advice.
