Student Loan Consolidation Companies

With the recent economic crisis making matters worse for people already in debt, it has especially been difficult for those who are struggling to get gainful employment and have student loans to repay. These people have to seek out loan consolidation companies for readdressing their debt situation. According to statistics, people have to pay almost 15 percent of their discretionary income towards repayment of student loans. The recently passed Health Care and Education Reconciliation Act of 2010 promises to lift some burden off the shoulders of people with student loans. Certain reforms in the act are very promising but do not qualify most of the population reeling under education loans. Under the new act, students who repay their student loan on time for 20 years are eligible for debt forgiveness, earlier the time limit was 25 years.

For a person reeling under debt, it is crucial to seek out the best consolidation companies to help deal with the financial situation. Checking the credentials of the company is very important, do so by looking up the company on the Internet and by asking around on finance forums. Consider all the pros and cons of consolidating student loans before entering into a contract with any company.

Care One Providers
Care One providers are an online debt consolidation company who help people better deal with their debt situation. They claim to provide personalized options to suit individual needs when it comes to debt consolidation. Some of the services they provide are debt management, settlement, and counseling to consolidate private student loans. Their website also claims that they can reduce the interest rates and lower monthly payments to help people deal with their debts.

American Debt Resources Inc.
They have been operational since the year 2001 and are quite aware of the financial management plans required to help people with a debt problem. American Debt Resources Inc. claim that they will be able to consolidate your student loans in one monthly installment. Unlike some other consolidation services, they offer shorter repayment periods which will benefit the client. The company also proclaims that it will address the issue of late payment fees and other penalties accrued by the client on the debt.

Chase Student Loans
They are one of the better private student loan consolidation companies amongst the ones available in the market today. The company does not consolidate federal student loans and as far as private loans are concerned the eligibility criteria is a minimum loan amount of USD 7,500 and maximum of USD 150,000. They offer to consolidate your student loans by combining your different installments in one reduced monthly installment. They do not charge any application fees and have competitive rates in the market.

Be careful when you choose loan consolidation companies, remember to check their credentials before getting into any sort of agreement. It is also advisable to check free credit counseling companies before you get involved into any sort of contract for debt consolidation.