Consolidating law school debt

30 Apr

In 2012, the average law graduate’s debt was 0,000, 59 percent higher than eight years earlier.This reality has contributed to the drastic drop in law school applications since 2011, which has in turn exacerbated the problem — to maintain enrollment numbers, law schools have had to lower their admissions standards and take even more unqualified students.It is important to make your payments on time, because if you forget, you will be charged a late fee and risk getting a higher interest rate.You also may be missing out on some perks for your individual loans if you consolidate.But in response to pressure from skeptical lawmakers and unhappy graduates, the schools began sharing the data — and it wasn’t a pretty picture.Forty-three percent of all 2013 law school graduates did not have long-term full-time legal jobs nine months after graduation, and the numbers are only getting worse.This could drive down tuition costs, and reduce the debt loads students carry when they leave school.Perhaps the most galling part of this crisis is the misallocation of resources.

These loans typically add up to be thousands of dollars, so chances are, you'll be paying them back for a number of years.Disadvantages Even though consolidated loans offer a number of positives, there are still some caveats.With your individual loans, you will be given an interest rate for each one. From dealing with the massive amount of tuition to the extra money you have to dish out for textbooks, your bill can be pretty big.Luckily there are plenty of loan options you can pick from to assist you with funding your college education, such as federal programs and private loans from the bank.