Student loan borrowers cannot consolidate student loans , both federal and private, into one private consolidation loan. Borrowers still have a choice among multiple private student loan consolidation options. The principal advantage reaped from private loan consolidation is receiving a single monthly payment. The monthly payment might also be lower since consolidation resets the loan period. As with federal consolidation, private consolidation loans that have a longer repayment period will result in higher total interest paid throughout the loan's term. Borrowers should find out whether the private consolidation loan's interest rate is variable or fixed, whether there are prepayment penalties, and whether any fees are charged. Interest rates on private student loans are credit-based. Therefore, borrowers may be able to obtain a more attractive interest rate on their consolidated private loan if their credit rating has increased significantly si...