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Frequently Asked Questions

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Our Frequently Asked Questions page can answer most questions you have regarding the servicing of your student loan account. Just select a category or topic within a category and scroll to a question that suits your needs.

    Q: Can my spouse and I consolidate all of our loans into one loan?
    A: No, married couples may not consolidate their eligible loans jointly.
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    Q: Can I consolidate my loans while in school?
    A: No, you must be in the grace period or have entered repayment on each loan being consolidated.
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    Q: Can I consolidate defaulted student loans?
    A: Yes, if a lender accepts defaulted loans for consolidation and if satisfactory repayment arrangements are made with the holder of each defaulted loan (3 or more consecutive on-time full monthly payments) or an income sensitive repayment schedule is set up with the Consolidator.
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    Q: If I have already applied for consolidation with one lender, can I apply with another lender that offers a more appealing loan?
    A: No, a borrower must certify that only one application for Consolidation is pending.
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    Q: If all my FFELP loans are held by one lender, can I request consolidation from another lender?
    A: Yes, as long as they are an authorized Lender for FFELP Consolidation Loans.
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    Q: Can I consolidate my private loans with my other student loans?
    A: No, only the following loans are eligible for consolidation:
    • FFELP loans (Stafford - sub and unsubsidized, PLUS, Grad Plus, SLS, and Consolidation)
    • FDLP - Federal Direct Loans (Stafford, PLUS, Grad Plus, SLS, and Consolidation)
    • FISL loans - Federally Insured Student Loans
    • Federal Perkins loans
    • HPSL - Health Professions Student Loans (including LDS - Loans for Disadvantaged Students)
    • NSL - Nursing Student Loans
    • HEAL - Health Education Assistance Loans*
    *Conduent does not consolidate HEAL loans.

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    Q: Can I add other student loans to my Consolidation loan? How?
    A: Yes, if the loans are eligible and the request is made within 180 days. Contact Conduent Consolidations at 1-800- 283-6221 and ask for a "Request to Add Loans". You can also download the request to Add Loan Application at Click on Loan Consolidation and select Consolidation downloads.
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    Q: Do I pay a guarantee or origination fee for consolidating my loans?
    A: No, lenders can not charge a guarantee or origination fee for consolidation.
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    Q: What is an LVC?
    A: An LVC is a Loan Verification Certificate, which is a document that must be completed by the holder(s) of each loan to be consolidated. It is used to obtain information on the underlying loans and to quote a pay-off.
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    Q: How is the interest rate calculated?
    A: It is a weighted average of the interest rates on the loans being consolidated, rounded up to the nearest 1/8%, not to exceed 8.25%. The outstanding balance is multiplied by the current interest rate, the subtotals are added, then divided by the sum of the outstanding balances and rounded up to the nearest 1/8 %. Example provided below:

    Outstanding Balances Interest Rate
    $3500 7%
    $3200 5%
    $5500 9%
    $3500 x .07 = $245
    $3200 x .05 = $160
    $5500 x .09 = $495
    $245 + $160 + $495 = $900
    $900 / $ 12200 = .07377 or 7.377%
    7.377 % rounded to the nearest 1/8 = 7.5%

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    Q: What will be my outstanding balance on my Consolidation loan?
    A: It will be the total of all outstanding principal balances, unpaid accrued interest, late charges and collection fees (if applicable), for the loans included in the consolidation request.
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    Q: When does interest begin accruing on my Consolidation loan?
    A: Interest begins accruing from the date the funds transfer from the consolidating lender to the holder of the underlying loans.
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    Q: What happens if the consolidating lender does not pay off all of my student loans or a portion of a loan?
    A: If an entire loan was not included in the consolidation and Conduent is servicing the consolidation, you should contact the Conduent Consolidation Department at 1-800-283-6221 to request an add-on. If a portion of a loan was not paid off during the consolidation process and Conduent services the underlying loans, contact our Borrower Services Dept at 1-800 -835-4611. If a request has not already been made, an Underpaid Letter will be submitted to the Consolidator. If a portion of a loan was not paid off and Conduent does not service the underlying loans, you should contact the servicer and request that they send an Underpaid Letter.

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    Q: When is my first payment due?
    A: A first payment due date will be established within 45-60 days after the date on which the last disbursement discharging the underlying loans is made.
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    Q: What is my new repayment term?
    A: The following table outlines the repayment terms according to the outstanding balances on all education loans (regardless of whether they are included in your Consolidation loan):

    Sum of all Education Loans Maximum Repayment Term
    Less than $7500 10 years
    $7500 - $9999 12 years
    $10,000 - $19,999 15 years
    $20,000 - $39,999 20 years
    $40,000 - $59,999 25 years
    $60,000 or more 30 years

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    Q: What types of repayment plans does Conduent offer for Consolidation loans?
    A: Conduent offers the following repayment plans:

    • Standard - a fixed monthly payment
    • Graduated repayment - increased payments over the term of the loan
    • Income-sensitive - payments are adjusted annually based on your expected income
    • Extended repayment - available to borrowers with loans that total more than $30,000, will extend repayment term from 20 to 25 years

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    Q: Will my Consolidation loan be eligible for deferments or forbearances?
    A: Yes, if the consolidation loan is disbursed on or after 7/1/93, the consolidation loan may qualify for the following deferment/forbearance types:
    • Education-related (fellowship or rehabilitation training)
    • Unemployment
    • Economic Hardship
    • Forbearance (all types)

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    Q: Are there any penalties for prepayment or paying the loan off early?
    A: No, there are no penalties for prepayment or paying the loan in full prior to the final due date.
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    Q: Can I consolidate a previously consolidated loan?
    A: Effective 7/1/06, reconsolidating an existing consolidation loan is not allowed. You can consolidate an existing consolidation loan if you have another FFELP loan.
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