here is my scenario – advise is appreciated:
I have $94,000 in Parent Plus Loans and my daughter has $30,000 in Federal unsubsidized loans
I have good credit and will not qualify for IDR or loan forgiveness due to my income
My daughter is graduating in May 2026 so we’ll need to start paying on her loans by December.
I need to consolidate the 4 PP loans into one and get a fixed monthly rate before the deferment ends
Here are my questions:
Where is the best place to shop around to find consolidated loan options with good fixed interest rate? should I just use the Federal Student Aid standard repayment plan or look outside to governments programs to private options?
I will be paying for both the Parent Plus Loans and my daughters Federal loans. Should I consolidate all of these into 1 or is there any advantage for her or me to keep them separate?
TIA
looking for parent plus consolidation advise
byu/Dry-Scar7148 inStudentLoans
Posted by Dry-Scar7148
2 Comments
Consolidating and refinancing are two separate things. You cannot consolidate your loans and your daughter’s loans together.
Refinancing would be taking out a private loan to pay off your federal loans. That isn’t a great idea. You lose all federal perks and protections such as IDR, deferment/forbearance options, disability discharge, etc.
You can read about federal loan consolidation here: [https://studentaid.gov/manage-loans/consolidation](https://studentaid.gov/manage-loans/consolidation)
You don’t have to consolidate your parent plus loans if you are sure about not needing an IDR plan. You still have access to the standard, graduated, and extended plans.
But the future can be uncertain and you are just getting started on these loans. I’d recommend consolidating them ASAP and making a payment on ICR. That would lock in your future eligibility for IBR if you need down the line. If you don’t do it now you won’t have the option later.
Consolidate the pp loans into 1 and do standard 30 year then consolidate her loans into 1 also