You can choose an income-based plan and pay off the loan faster: Some consolidation plans may offer you the option to choose flexible repayment terms.

This can be especially beneficial if you are a new graduate earning an entry-level income, but expect to rise up the ladder quickly and start earning a higher salary in the near future.

You may end up paying a higher rate of interest: If you consolidate your federal student loans and the new term is extended over a longer time period, you will inevitably end up having to pay a higher rate of interest overall.

Done this way, you will eventually pay a much higher amount than you would have had to pay if you had not consolidated your loan.

College may be over and done with (or nearing it), but your student loan balance is far from.

Graduation day, in fact, marks the beginning of our real journey towards financial freedom, and it all starts with paying off your debt.

If thoughts and questions about your college loan repayments stress you out constantly, you are not alone.

Staying on track with loan repayments can be a challenge, especially when you consider that many people end up spending more on their student loan repayment than they do on everyday commodities such as groceries, rent and amenities.It minimizes your monthly payment: Different loan consolidations come with different terms and conditions.In most cases, when you consolidate your federal student loans, you end up having to pay a much lower rate of interest than the combination of the original loans.This of course depends on the type of loan consolidation that you opt for.You may have to pay an origination or processing fee: While not all lenders charge an origination fee, some lenders may charge anywhere up to 2% of the total amount as a fee for processing your consolidation.You may lose some borrower benefits: If you decide to combine all your loans, you may lose certain borrower benefits.