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The Federal Loan Consolidation Program was created in 1986.
In 1998, the United States Congress changed the interest rate to the aforementioned fixed rate weighted mean, effective February 1, 1999.
When thinking about whether or not to consolidate your student loans, you’ll need to take a variety of factors into consideration.
These loans form the backbone of the Federal government’s initiative to make college more accessible to students across the country. Department of Education understands the difficulties many students face when it comes time to repay their outstanding college loans, and as the primary lender for all federal student loan programs offers the Federal Direct Consolidation Loan for qualified students with two or more outstanding federal education loans.