As a result, refinancing at a lower rate is often a financially positive one because reducing the rate on your federal student loans could: Before we get overly excited and say that privately refinancing your federal student loans is a "no-brainer," it's extremely important to understand what you are keeping and losing should you choose to stick with those government loans or privately refinance them.

Due to the notoriety and overwhelming amount of outstanding student debt, financial technology start-ups looking to address the issue have emerged.

Consolidation companies and programs can offer several benefits in additional to simplifying the repayment process.

Borrowers should thoroughly research the interest rates for their existing loans and any forgiveness or deferment benefits attached to their existing loans before consolidating loans.

Student Loan Hero provides customers with the support they need to organize, manage and repay their student loans.

Based in Austin, Texas, the company has helped more than 60,000 Americans to get out of debt faster.