From saving money to improving your credit score, there are many benefits to consolidating student loans. Here are the top ten reasons why you should streamline these debts.

1. Peace of mindHave you had sleepless nights? Do you find yourself awake at 3 am tossing and turning wondering how you are going to meet all your student loan payments this month? Worrying about whether or not you can afford to pay your bills? By consolidating your student loans, you can save up to 60% on monthly payments.

2. Lock in a low interest rateDont procrastinate, by organising your Federal student loan consolidation before June 30th of this year, you can take advantage of the current low interest rate of 4.7 percent. As well, you will secure this interest rate for the life of the loan, so you wont have to worry about a rate increase.

3. Streamline your paymentsHave you racked up multiple loans with varying amounts over the course of your time in school? Many of us have. It can be confusing to keep track of all of the bills. When you consolidate, you will simplify your life by only having to pay one amount to one lender.

4. Auto-payTo further simplify your bill paying, sign up for auto-pay at the time you do the loan consolidation, and you can save yourself the cost of a stamp and the time it takes to write a check. The lender will simply deduct the amount from your bank account on a regular schedule. Most lenders provide a discount for borrowers who sign up for auto-pay.

5. Improve your credit scoreWhen you do your student loan consolidation, the new lender will pay off your existing student loans. This process of loan payment, along with reducing the number of outstanding loans will improve your credit score. And, dont worry if you dont currently have stellar credit. Because your loans are guaranteed by the U.S. government, your credit score wont be checked as part of the application process. 6. Help your parentsDid your parents borrow money to help pay for your education? They too can consolidate their PLUS loans and lock in the current interest rate.

7. "On Time" payment discountLike auto-pay, lenders reward borrowers with an interest rate discount for paying on time for a certain period (usually 36 months). Make sure to ask your lender about discounts when you apply to consolidate your student loans.

8. Forbear or defer Once you have completed your student loan consolidation, you will retain these Federal borrowing privileges.

9. Financial Savvy Maybe you werent a straight "A" student, but everyone will think that youre a financial genius when you tell them what you are saving on your student loan consolidation.

10. Get out of default status You can stop the harassing phone calls or wage garnishments by consolidating loans that are in default and get back on track with your financial status.

About the Author

Mike OBrien offers advice and information about student loan consolidation This is a quality web site with a choice of student loan consolidation and general debt consolidation information and the best way to deal with it.