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America’s Biggest Millennial Boomtowns

Editorial Note: The editorial content on this page is not provided or commissioned by any financial institution. Any opinions, analyses, reviews, statements or recommendations expressed in this article are those of the author’s alone, and may not have been reviewed, approved or otherwise endorsed by any of these entities prior to publication.

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In August, we published our study of America’s biggest boomtowns. It looked at three categories of data — industry growth, population and housing changes and workforce opportunities. As a follow-up to our study, we are providing a look at the top 50 metro areas that are attracting millennials and helping them prosper.

Using four metrics (millennial population change, workforce participation, unemployment rate and median wages), we scored the top 50 cities. A 100 was the highest possible score.

Here is a look at our findings.

Hover over a metro in the map below to see how it performed between 2011 and 2016.

Key findings

  • San Francisco topped our list of millennial boomtowns with a final score of 89, thanks to top growth in the millennial labor force, wages and overall population.
  • Denver and Austin, Texas, come in second and third, with scores of 80.6 and 80. The two cities saw notable millennial population growth and dropping unemployment rates.
  • All but two of the top 10 metros lie west of the Mississippi River. Four are on the West Coast and two are in Texas.
  • Virginia Beach came last on our list, mostly due to its shrinking millennial labor force and lackluster unemployment numbers. It had a final score of 9.7.
  • Providence, R.I., and Philadelphia rounded out the bottom three with scores of 13.3 and 21.7, respectively. Providence actually lost almost 3% of its millennial population, and wages for millennials in Philly only rose by 2.4%.
  • Oklahoma City saw the biggest wage increase: Millennials in 2016 enjoyed 33.6% more in median earnings than they did in 2011, although that still leaves them behind 32 other metro areas in terms of absolute dollars.
  • Unemployment among millennials was nearly cut in half in Nashville, where the rate dropped from 10.3% to 5.3% (a 48.1% change).

The scope of our research

Using the Pew Research Center’s definition of millennials (those born between 1981 and 1996) means that a portion of millennials would have been minors or pursuing an education or job training in 2011. To avoid including the working statistics of high schoolers, we limited this study to people born between 1981 and 1991, meaning people who would be between the approximate ages of 20 and 30 years old in 2011.

Even with that restriction, it’s important to remember that in general, people enjoy better employment opportunities and see higher wages as they gain experience, skills and workplace sophistication. Also, more people enter the workforce as they complete their educations, which often happens in their early 20s. Therefore, at least some of the increases in workforce participation and earnings are due to the natural age progression of this cohort.

Even so, we find that the millennial population is growing – and prospering – more in some places than in others. Millennials who live in the metros at the bottom of our list may be at risk for accruing more debt and less wealth over their lifetimes, thanks to opportunity losses. Those who move to the cities at the top of the list may find that they’re better equipped to pay down debt and gain assets at a faster rate as they gain toeholds in more lucrative job paths.

The elements of a millennial boomtown

More millennials

We tracked the five-year (2011-2016) population changes of those born between 1981 and 1991. Interestingly, millennial populations actually decreased in nine of the 50 metros we analyzed, which demonstrates that many millennials are actively migrating.

Labor force participation

It’s a truism in economics that when local working conditions and opportunities improve, many people who don’t participate in the workforce will decide that it’s a good time to pursue outside employment. Therefore, we wanted to see not just the change in overall population, but the change in the number of people who work or are actively seeking work. The size of the labor force generally increased, even in places where the millennial population shrank, except in Providence and Virginia Beach.

Unemployment

How much has the unemployment rate declined for millennials over that five-year period? Unemployment for the nation as a whole has dropped significantly since 2011, but there’s a big difference between the 19.6% drop for millennials in Las Vegas and the 48.1% drop in Nashville.

Median wages

We calculated the change in median wages for those born between 1981 and 1996. As discussed above, we would expect wages to go up for this group, generally, simply because they aged and gained worked experience during the intervening years. However, we found that median wages actually dropped a smidge in Richmond, Va., and Washington, D.C.

The biggest millennial boomtowns

1. San Francisco

Final score: 89.0
Housing is a struggle in San Francisco, but that isn’t deterring millennials. While the overall population of millennials increased by 16.2%, the millennial workforce jumped by 31.1%. To put that into context, the workforce increase represents about 5,000 more people than the population increase. That could be because so many people in the Bay Area have secondary and advanced degrees, meaning they may not have entered the workforce until they were well into their 20s, or may have dipped out of the workforce to further their education.

The unemployment rate for millennials dropped 40.3%, which is fairly impressive. That still only put San Francisco at No. 15 for highest unemployment rate drop among millennials. Fourteen other metros had bigger drops, including Detroit (42.9%), Minneapolis (44.4%), and Columbus, Ohio (45.7%).

But for millennials who are working, median wages have skyrocketed 32.4%, to $40,304. That’s the second highest wage on our list after neighboring city San Jose, and the second largest wage increase after Oklahoma City.

2. Denver

Final score: 80.6
Denver boasts the biggest increase of the millennial population between 2011 and 2016, at 18.7%.

Its 27.9% increase in labor force is second to San Francisco. But about 13,000 of the new arrivals aren’t working or are looking for work. That may be because despite the second sharpest drop in millennial unemployment (46.3%), median millennial wages have only increased 13.1%, to $32,243. That increase is the 15th smallest jump on our list.

3. Austin, Texas

Final score: 80.0
Austin has changed immensely in recent years. It has seen a population explosion over the last few years, and millennials were certainly part of that burst. Their numbers increased by 17.5%, the second biggest gain on our list behind Denver.

Despite an impressive workforce gain of 22.6% (5th highest), more millennials simply moved to Austin over joining the workforce. However, that’s not surprising for a major university town with extensive graduate and undergraduate programs.

Further, unemployment dropped 45.1% for millennials — the fourth biggest decline on our list — and median wages increased 21.7%, to $30,228.

4. Nashville, Tenn.

Final score: 76.4
Nashville seems eager for new millennial employees, as demonstrated by the biggest drop in unemployment of any metro on our list (48.1%). The city also has the 6th lowest millennial unemployment rate (5.3%). Overall, the millennial population increased by 11.4% (9th highest), and the labor force rose by 16.7% (15th highest).

Although Nashville also saw the third highest median wage increase (30.4%), that still only increased median wages up to $29,220. That median wage puts Nashville in the middle of the pack in terms of absolute dollars.

5. San Jose, Calif.

Final score: 74.7
The seat of Silicon Valley is the first place on our list where more millennials entered the labor force than actually moving into the metro. The millennial population increased by 13.3%, and 27.5% more are working or looking for work. That comes out to a difference about 4,000 people.

That’s somewhat surprising considering the relatively mediocre millennial unemployment rate of 6.7% (18th lowest) and comparatively modest median earnings increase of 25.9% (10th highest on the list). Of course, millennials in this city see the highest earnings of any metro on our list, with a median wage of $42,319.

The most sluggish cities for millennials

50. Virginia Beach, Va.

Final score: 9.7
Virginia Beach came in last on our list by performing dismally across all four metrics. The metro did enjoy a small bump (3.2%) of millennials between 2011 and 2016, but 2% fewer millennials were engaged in the labor force, the worst showing on our list. That could be because while the 7% unemployment rate isn’t the highest on our list (Riverside, Calif., takes home that honor), the 20.3% reduction was actually the smallest across the 50 metros.

Median wages for millennials have only increased 6.6%, which is 7th lowest among metros we reviewed, to $28,212. That median is distinctly middle of the pack, but the growth rate suggests there may be wage stagnation, as we would expect this age group to see wage gains just by moving from entry-level to more experienced levels over that five-year period.

49. Providence, R.I.

Final score: 13.3
Providence saw its millennial population drop by 2.8%. Part of this may be attributed to the fact that Providence is a college town. Thus, this drop may represent millennial students who have moved on after completing their undergraduate and graduate degrees. However, we did find that this metro area had one of the smallest population increases in our previous study.

Similarly, the millennial labor force shrank by 0.3%. The high millennial unemployment rate of 8.5% (8th worst) may have something to do with that, along with the 11th lowest income increase (9.9%).

48. Philadelphia

Final score: 21.7
Perhaps it’s no surprise that the millennial population of Philly only increased by 0.7%. Unemployment for that age group is 8.8% and median earnings only increased by 2.4%. That earnings increase represents a paltry five-year cost of living raise for most people.

The millennial workforce did rise by 10.6% during that period, however. It seems that local residents are picking up whatever new jobs are becoming available.

47. Richmond, Va.

Final score: 26.3
Richmond has the ignominy of the worst wage change for millennials. Median earnings went down by 2.1%. Washington, D.C., was the only other metro to see a negative earnings change, at 1%, but still managed to rank 18th overall, thanks to strong showings in other categories.

Although Richmond has a respectable millennial unemployment rate of 7.6%, an unemployment decrease of 32.3% was 12th lowest on our list and thus didn’t earn many points. A workforce increase of 12.4% was dead center of the pack, and the millennial population growth of 3.9% ranked 32 out of 50.

46. St. Louis

Final score: 26.8
St. Louis saw its millennial population shrink by 1.1%. Workforce participation was up by 6% (40th out of 50), but some or all that can probably be attributed to young adults entering the workforce after school or training, rather than attractive economic conditions.

Even though median earnings in 2016 were the 16th highest at $30,228, the earnings increase of 14.2% ranked 33rd highest on the list of 50. Despite these findings, a March 2018 study we conducted found that St. Louis was one of the best places for working women.

Top 5 and bottom 5 cities in each metric

Top 50 metro areas in the U.S.

Methodology

Using data from the U.S. Census American Community Survey, hosted on American FactFinder and by IPUMS USA, we tracked the five-year change between 2011 and 2016 (the last year for which all data was available) for those born between 1981 and 1991. This represents a subset of millennials, who are generally defined as those born between 1981 and 1996 (the reason for limiting the population to this subset is described above). These millennials would have been between the approximate ages of 20 and 30 in 2011 and 25 and 35 in 2016.

We limited the review to the 50 largest metropolitan statistical areas (“MSAs”) due to limited data availability.

The analyzed metrics were:

  • Population data included the age groupings of 20-24 and 25-29 for 2011; and 25-29 and 30-34 for 2016.
  • Labor force data included the age groupings of 20-21, 22-24 and 25-29 for 2011; and 25-29 and 30-34 for 2016.
  • Employment data included the age groupings of 20-21, 22-24 and 25-29 for 2011; and 25-29 and 30-34 for 2016.
  • Median wage data is for those born between 1981 and 1991.

Because the U.S. Census has changed the boundaries of some MSAs in the intervening years, we collected the data from FactFinder at the county level and then mapped it to the current MSA borders.

Each data series was scored relative to the other metros so that the biggest positive change received a score of 100 and any 0 or negative changes received a score of 0 (except for unemployment rate, where this was reversed). The highest possible score for each metric was 100 and the lowest was 0. The four metric scores were then summed and divided by four for a final score. The highest possible final score was 100 and the lowest was 0.

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Sample Goodwill Letter to Remove a Late Student Loan Payment from Your Credit Report

Editorial Note: The editorial content on this page is not provided or commissioned by any financial institution. Any opinions, analyses, reviews, statements or recommendations expressed in this article are those of the author’s alone, and may not have been reviewed, approved or otherwise endorsed by any of these entities prior to publication.

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If you’ve pulled your credit report recently and discovered that there’s been a late payment reported on your student loans, you might be wondering what you can do to recover. Late payments can damage your credit, especially if you stop paying your loans for an extended period of time.

We’ve already gone over the repercussions of delinquency and default, but now let’s take a look at another method of repairing your credit report — sending a goodwill letter to your creditor.

What is a goodwill letter?

A “goodwill letter” is a simple way to repair your credit report, and it can be used for both federal and private loans. The purpose of a goodwill letter is to restore your credit to good standing by having a lender or servicer erase a lateness on your credit report.

Typically, those who have experienced financial hardship due to unexpected circumstances have the most success with goodwill letters. They allow you to ask if your student loan servicer can empathize with the situation that caused the lateness and erase it from your report.

It can also be used when you think the late payment is an error — for example, if you were in deferment or forbearance during the time of the late payment and weren’t required to make any payments, or if you know you’ve never been late on a payment before.

What makes a convincing goodwill letter?

If you’ve been looking for a goodwill letter that will work well, we have some tips on what you should include in your letter:

1. An appreciative tone

It’s important that the entire tone of your letter comes off as thankful and conscientious. If you were actually late on your payments due to extenuating circumstances, taking an angry tone probably won’t help your case.

2. Take responsibility

You want to be convincing and honest. Take responsibility for the late payment, and explain why it happened. They need to sympathize with you. Saying you just forgot isn’t going to win you any points.

3. A good recent payment history

Besides sympathy, you want to gain their trust that you will continue to make payments. If your lender sees payments being made on time before and after the period of financial hardship, it might be more willing to give you a break. When you have a pattern of late payments, on the other hand, it’s more difficult to convince them that you’re taking this seriously.

4. Proof of any errors and relevant documents

If you’re writing about a mistake that occurred, still be friendly in tone, but back up the errors with documentation. You’ll need proof that what you’re saying is true. Unfortunately, errors are often made on credit reports, and it may have been a clerical error on behalf of your servicer. If you have any written correspondence with them, you’ll want to include it.

5. Simple and to the point

The last thing to keep in mind is to craft a short and simple letter. Get straight to the point while telling your story. The people reviewing your letter don’t want to read an essay, and the easier you make their lives, the better.

Sample goodwill letter No. 1

Below is a sample goodwill letter for student loans to give you an idea of how to structure your own:

To whom It may concern:

Thank you for taking the time out of your day to read this letter. I just pulled my credit report, and discovered that a late payment was reported on [date] for my account [loan account number].

During that time, my mother fell terminally ill, and I was the only one left to care for her. As such, I had to leave my job, and my savings went toward her health care expenses. I fell on very rough times after she passed away, and was unable to make my student loan payments.

I realize I made a mistake in falling behind, but up until that point, my payment history with you had been spotless. When I was able to gain employment once again, I quickly resumed paying my student loans, making them a priority.

I’m not proud of this black mark on my record, but it’s the only one I have, and I would be extremely grateful if you could honor this request to remove the lateness from my credit report. It would help me immensely in securing other lines of credit so that I can further improve my credit score.

If the lateness cannot be removed entirely, I would still be appreciative if you could make a goodwill adjustment.

Thank you.

Sample goodwill letter No. 2

If you’re writing a letter because the lateness on your credit report is inaccurate, then try something similar to this:

To whom it may concern:

Thank you for taking the time to read this letter. I recently pulled my credit report and found that [Loan servicer] reported a late payment regarding my account [loan account number].

I am requesting that this late payment be assessed for accuracy.

I believe this reporting is incorrect because [list the supporting facts you have]. I have included the documentation to prove that [I made payments during this time / that my loans were in forbearance/deferment and didn’t require any payments].

Please investigate this matter, and if it is found to be inaccurate, remove the lateness from my credit report.

Thank you.

Make sure you provide as many personal details as possible — without making the letter too long, of course. You should also include your name, address and phone number at the top of the letter in case your loan servicer needs to reach you immediately.

Where to send your goodwill letter

Now that your letter is written, it’s time to send it. This can be done either by fax or by mail. Most student loan servicers have their contact information on their website, but you can also look on your billing statements to see if they specify a different address.

Additionally, you can try calling the credit bureau where the lateness was reported to see if they can give you the contact information you need.

It’s important to mention that goodwill letters are not a means to immediate success. Unfortunately, it often takes several attempts to correspond with servicers and lenders to get them to acknowledge that they received a letter from you.

Your best bet is to get a personal contact at the company who has the power to erase the late payment from your credit report.

If all else fails, try as many different communication methods as possible. Phone, mail, fax, live chat (if your servicer offers it) and email them. Several people who have tried this report that it’s possible to wear your servicer down with a decent amount of requests.

Addresses and fax numbers to try

Here are some addresses and fax numbers for several of the larger servicers, as listed on their websites. Again, it may also be worth phoning your servicer to get the name of someone there that can help you. If you have federal student loans, you can also check this Federal Student Aid page for more contact information.

Nelnet

Documents related to deferment, forbearance, repayment plans or enrollment status changes:

Attn: Enrollment Processing

P.O. Box 82565

Lincoln, NE 68501-2565

Fax: 877-402-5816

Great Lakes

Great Lakes

P.O. Box 7860

Madison, WI 53707-7860

Fax: 800-375-5288

Sallie Mae

Sallie Mae

P.O. Box 3229

Wilmington DE 19804-0229

Fax: 855-756-0011

Navient

For anything other than federal loans, check here

Navient – U.S. Department of Education Loan Servicing

P.O. Box 9635

Wilkes-Barre, PA 18773-9635

Fax: 866-266-0178

Cornerstone

P.O. Box 145122

Salt Lake City, UT

84114-5122

Fax: 801-366-8400

FedLoan

For letters and correspondence

FedLoan Servicing

P.O. Box 69184

Harrisburg, PA 17106-9184

Fax: 717-720-1628

EdFinancial

For FFELP and private loans, check here

Edfinancial Services

P.O. Box 36008

Knoxville, TN 37930-6008

Fax: 800-887-6130

Documents to include with your goodwill letter

Don’t let your efforts go to waste by forgetting to send documentation with your letter. Here’s a quick checklist of what you should include:

  • The account number for your loan
  • Your name, address, phone number and email
  • Statements showing proof that you paid (if you’re disputing a late payment)
  • Documentation showing that you’ve paid on time at all other points aside from when you experienced financial hardship (if that’s the case)
  • Identifying documentation so your servicer knows you sent the request

Also note that if you’re mailing anything, you should send it by certified mail with a receipt requested. This way you’ll know whether your letter made it to the servicer.

What to expect after submitting your goodwill letter

Once you submit your goodwill letter, you should hear back from your creditor with a decision in a few weeks. If two to three weeks have passed without word, follow up via email or phone call.

As you know, there’s no guarantee that your goodwill letter will work. The decision to remove a negative mark from your credit report is entirely in the hands of your creditor.

If your creditor rejects your petition, you’ll have to accept the ding on your credit report and take other steps to boost your credit. But if they agree to repair your credit, you should see the delinquency removed from your report and your credit score increase as a result.

A higher credit score can make life a lot easier, whether you want to take out a loan, open a credit card or, in some cases, even rent an apartment. For student loan borrowers, a strong credit score also opens the door to student loan refinancing, a savvy strategy that lets you restructure your debt, possibly changing your monthly payment and potentially saving money on interest.

If your credit score rebounds and you want to take proactive steps to conquer your student debt, refinancing could be the answer you’ve been looking for, so long as you no longer need the protections that come with federal loans.

Either way, though, make sure to keep up with student loan payments so you don’t end up with a delinquent account dragging down your newly repaired credit score.

Resources

If you’re interested in exploring goodwill letters further — and the results that others have had — check out these websites:

  • Ed.gov: They cover disputes, what to do about them and how to go about rectifying them here.
  • ConsumerFinance.gov: If you have loans with a private lender, and your lender had reported you as late when you weren’t, you can file a complaint with the Consumer Financial Protection Bureau (CFPB) to see if they can help you.
  • myFico Forums: The forums on myFico are populated with helpful individuals that might be able to give you contact information for certain servicers. There are some people reporting success with goodwill letters, and they may be willing to share their letters with others upon request.

It’s worth the time to write a goodwill letter

If you’ve discovered that a late payment has been reported on your credit, and it’s because you fell on hard times or is inaccurate, it’s worth trying to get it erased. These dings on your credit are there to stay for seven to 10 years. That’s a long time, especially if you’re young and hoping to buy a house or a car in the near future. It’s a battle worth fighting.

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FedLoan Consolidation or Refinancing: Which Is Best for Your Student Loans?

Editorial Note: The editorial content on this page is not provided or commissioned by any financial institution. Any opinions, analyses, reviews, statements or recommendations expressed in this article are those of the author’s alone, and may not have been reviewed, approved or otherwise endorsed by any of these entities prior to publication.

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If your FedLoan Servicing repayment isn’t going as you had hoped, you might be staring at two seemingly similar options: Both FedLoan consolidation and private loan refinancing would consolidate or group your federal education debt, making for a more straightforward repayment.

But that’s where similarities between consolidation and refinancing end. If you’re unsure about which to go with, read on for the details.

What to know about FedLoan consolidation

Consolidation involves taking out a direct consolidation loan to repay your original federal student loan debt, and it could solve a number of problems.

Most notably, you could make a single monthly payment to one servicer instead of a handful of them (if you have multiple federal loans serviced by various companies). Although that won’t save you any money, it could bring you much appreciated simplicity.

Through federal loan consolidation, you could also expect the following benefits:

  • Choose your new loan servicer, whether that’s FedLoan or a competitor.
  • Become eligible or retain eligibility for Income-Driven Repayment (IDR) plans and Public Service Loan Forgiveness (PSLF).
  • Lower your monthly payment by switching from the 10-year standard repayment plan to an IDR plan.
  • Lock in a fixed interest rate (if any of your older federal loans were tagged with a variable rate).

The benefits aren’t bereft of fine print, however. When you consolidate loans you’ve already started repaying, for example, you reset the clock on any progress toward forgiveness via IDR or PSLF. Also, none of your private loan debt (if you have any) can be combined via a direct consolidation loan.

How to undertake FedLoan consolidation

If the pros outweigh the cons in your case, file your FedLoan consolidation application at StudentLoans.gov. According to the website, most applicants are able to complete the necessary forms in less than 30 minutes.

If you elect to keep FedLoan as your servicer, you can track your application progress via your MyFedLoan account. A resolution should arrive within four to six weeks.

FedLoan Servicing

What to know about student loan refinancing

When you consolidate your federal debt, your new loan’s rate will be a weighted average of your previous federal loans’ rates, rounded up to the nearest one-eighth of 1%.

Via student loan refinancing, however, you could reduce the collective interest rate of your federal debt — and (unlike with consolidation) your private student loans, too — potentially cutting it by whole percentage points.

That’s the greatest difference between FedLoan consolidation and private refinancing — and it explains why many creditworthy borrowers save hundreds even thousands of dollars on interest when working with a private lender.

Say you have four federal loans with FedLoan Servicing worth $35,000 accruing interest at an average rate of 7.00%. Now say you have sterling credit and stable income (or a cosigner who does). By refinancing to a rate of 5.00%, you’d save $4,218 on interest over the next decade.

To be eligible for such savings, however, you — and your cosigner, if you have one — must submit to a credit check. Only applicants with strong credit gain access to the lowest rates advertised by competing lenders. This stands in contrast to consolidation, which has no such credit requirements, making it a more accessible option.

If you have the finances to qualify for refinancing, you could enjoy other benefits besides a lower interest rate, including:

  • Leaving the federal student loan system behind and starting fresh with a top-rated private lender of your choice
  • Selecting fixed, variable or hybrid interest rates
  • Lowering your monthly payment in exchange for lengthening your repayment term and paying more interest overall
  • Releasing the cosigner on your undergraduate private student loans

The cons, however, are just as consequential. In exchange for the perks of private refinancing, you’ll lose access to all federal loan protections. This includes mandatory forbearance (should you need to pause your payments), IDR programs and forgiveness programs like PSLF.

Because refinancing is irreversible once you sign your loan agreement, it’s wise to weigh these plusses and minuses in advance.

How to refinance your FedLoan debt

If you elect to refinance, you can initiate the process by shopping around for the  best possible loan terms. You might also delay your search to improve your credit or find a cosigner who can help you qualify for the very lowest rates.

Once you’ve selected a refinancing lender — whether it be a bank, credit union or online-only lender — it would pay off your FedLoan (and any other eligible education debt). Then your lender would issue you the newly refinanced loan as a fresh start on your repayment.

Try crunching some numbers on our student loan refinancing calculator to estimate your savings (or cost), plus your new monthly payment, when comparing lenders’ quotes.

Should you pick FedLoan consolidation or FedLoan refinancing?

If you have poor credit and no cosigner in sight, you might already have your answer. Consolidation won’t save you money, but it will simplify your repayment, and it’s accessible to all federal loan borrowers.

With strong credit, you might also have the option of refinancing on the table. Whether it’s right for you, however, is another story.

As you’ll see, picking between consolidation and refinancing for your FedLoan debt (or any other loans, for that matter) isn’t just about what you’ll get. It’s about what you’re willing to give up.

This chart might help you as you consider which strategy is best for your situation:

What’s your repayment goal?Do you need federal protections?Your better option is probably ...
Switch to a single monthly payment (for your federal loans only)YesConsolidation
Switch to a single monthly payment (for both federal and private loans)NoRefinancing
Reduce your interest rateNoRefinancing
Work with a new loan servicerYesConsolidation
Work with a new lenderNoRefinancing
Choose a variable interest rateNoRefinancing
Lower your monthly paymentYesConsolidation
Lower your monthly paymentNoRefinancing
Make income-based payments and work toward loan forgivenessYesConsolidation

If you’d like to switch loan servicers, have a single monthly payment and reduce your interest rate, refinancing could deliver all three benefits.

But if you’re not willing to yield your government-exclusive loan options (such as IDR and PSLF), then you could settle for two out of three: Consolidation would allow you to work with a new servicer and achieve a simpler repayment, but not lower the rate.

Advertiser Disclosure: The products that appear on this site may be from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all financial institutions or all products offered available in the marketplace.

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