You will have six months after you graduate to begin repaying your student loans. During this time, you should be considering your options. Even if you have only one student loan, you should consolidate student loans. By doing so, you will lock into an interest rate that will not change for the life of the loan. This interest rate is considerably lower than loans from a bank or other lending institution.

 But before you consolidate student loans, you should wait until the end of your grace period. If you lock into an interest rate early, you will be expected to begin repaying your loans right away. While many lenders will offer you an even lower rate if you lock in sooner, you should consider your financial situation.

Many people need that six months to find a job and a place to live. When you consolidate student loans, you are entering into an agreement with a lending agency in which you guarantee you will pay back the loan. Make sure you understand the lenders default policy. Many times, if you are laid off from your job, injured or ill and cannot work, or you have too many other debts to pay off, you may be able to defer payment or be granted full loan forgiveness. Make sure you understand all of your rights before signing the paperwork.