Credit
What is a Direct Consolidation Loan?
Quick Answer
A Direct Consolidation Loan combines federal student loans into one new Direct Loan at a weighted-average rate (rounded up 1/8%). Free at studentaid.gov; makes FFEL/Perkins eligible for PSLF and IDR but typically resets PSLF payment counts.
Warren Team
Updated April 26, 2026
37
Warren Team
Updated April 26, 2026
37
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