Consolidation vs. Standard Loan Comparison Consolidated Loans reduce the total monthly payment amount by combining outstanding student loans into one new loan.
Consolidation creates a new promissory note.
The consolidation may result in fewer deferment options and a higher interest rate. The repayment period may be up to 30 years, depending upon the amount to be repaid. To compare repayment terms between multiple standard loans and the resulting consolidated loan, use this simple comparison calculator below. First , tell us what loans you currently have.