The interest weight of a consolidation loan is now the weighted average of the interest rates of the loans being consolidated, rounded up to the nearest .25% It's not mathmatically possible to get a lower rate with this formula In addition to that, federal regulations do not allow each borrower more then one consolidation, except in a few limited circumstances: if you have a consolidation loan that has been referred to the guarantor for default prevention, or defaulted, you may be able to consolidate directly with the federal government on an income-contingent-repayment plan Certain public service positions have repayment benefits, and effective 7/1/08, eligible borrowers who already consolidated may re-consolidate with the direct loan program in order to get those benefits.
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