Don’t stop paying until the ink is dry

You’ve researched a variety of student loan consolidation services, completed the applications, signed the promissory note, and just received notification that you’ve been approved for financial aid consolidation.

The hard part is over. Now you can breath a little easier knowing that your interest rates are locked in (no surprise increases) and that your monthly payments are going to be manageable.

Two months go by and you haven’t made any payments. After all, you haven’t heard anything from student loan consolidation lenders. Everything must be fine, right? Wrong. You could actually be in default of your student loan(s) at this point.

So, can you stop making loan payments if you’ve received approval from the student loan consolidation lender?

Just because you’ve received notification that your student loans will be consolidated, that doesn’t mean that is has actually happened yet. Until you receive verification from the student loan consolidation lenders, you are still required to make all payments on your student loans.

If you are unsure, don’t assume anything. Since the lender will most likely be paying off your debts directly, you may not be aware if it’s actually happened yet. If in doubt, contact your student loan representatives for confirmation. Until then, keep making those payments.

When in doubt, always make your scheduled payment. You can always be reimbursed if you end up making a double payment by accident.