Pros and cons of consolidating bills
When you have multiple federal student loans, you can consolidate those loans using a Direct Consolidation Loan.
Two of the most common options include debt consolidation and refinancing.
You can “consolidate” private loans by bundling multiple loans together, but the major benefits of consolidation are reserved for government loans.
Debt consolidation "programs" can also cause confusion: only make one payment, but the payment goes to the agency, which then pays off your multiple loans for you.
When you refinance, you can , you might think of this as “optimizing” your debt so that you pay less.
True consolidation only makes sense (and it's only possible) if your student loans originally came from government programs.
Since credit scores change over time, you might be able to do better now if you’ve been making payments on time for several years.