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OpenStudy (anonymous):
Vicki is contemplating consolidating her federal student loans with Loan Consolidation Experts Inc. She currently pays five separate federal loans totaling $30,000 in principal at 4.5% simple interest for 20 years. Loan Consolidation Experts Inc. is offering to consolidate her loans at 3% simple interest for 30 years. Which scenario would save Vicki the most money Keeping the five separate federal loans will save Vicki the most money. Consolidating her loans with Loan Consolidation Experts Inc. will save Vicki the most money. Vicki will pay the same amount of interest with the federal government as with Loan Consolidation Experts Inc. The better deal cannot be determined from the information given.
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