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Find Your Federal Student Loan Consolidation Rate


Your federal student loan consolidation interest rate is the weighted average of your federal loan interest rates, rounded up to the next eighth of a percentage point. This means that larger loans are more important in your final interest rate.

See your consolidation rate

How Federal Loan Consolidation Rates Work

  • Consolidation simplifies your payment. When you consolidate federal loans, you combine several loans into one, leaving you with one monthly payment. For example, consolidating a loan of $ 10,000 at 5% interest with a loan of $ 20,000 at 7% interest will give you a weighted average interest rate of 6.33%. This would be rounded to 6.375%.

  • Your interest rate will stay the same. There is no limit to the height of your interest rate, but it will not change throughout your repayment term.

  • Consolidation will not reduce the overall amount you pay. You won’t pay less interest when consolidating your student loans. Your payments may be lower because your payments are extended.

  • It helps you qualify for other refund and rebate plans, if you qualify. Consolidation could also help you qualify for certain income-based repayment plans and forgiveness programs. You don’t have to consolidate all of your federal loans – you can choose to consolidate only those that need it. For example, you need to consolidate parent PLUS loans first before moving on to the income-based repayment plan. You must also consolidate Perkins loans or those in the Family Education Loan Program in order to qualify them for Public service loan remission.

  • You never have to pay to do it. Consolidation is always free. Consolidate your federal loans on studentsprêts.gov.

Other ways to lower the interest rate on your student loan

If you want to save money on interest, refinancing student loans may be a better bet than consolidating federal student loans.

You can refinance federal and private loans, not just federal loans. Refinancing is ideal for high interest private loans in particular, as you will lose access to some protections if you refinance federal loans.

Not everyone will be eligible for refinancing. Your interest rate will depend on your credit score, income, and other factors.

You can also lower the interest rate on your student loan by subscribing to automatic monthly payments through your lender or by benefiting from a loyalty discount if you have a private loan via a bank that offers one.