Navigating the World of Student Loan Servicers: A Comprehensive Guide

Figuring out who services your student loans can be a major challenge. Over the life of a student loan, it's not uncommon for it to be transferred several times between servicers. By the time you're actually ready to pay 4 or 5 years after taking out your first student loan, you may not even know where your student loan is located. And this can be a major problem! This article provides a comprehensive overview of student loan servicers, both current and past, and offers guidance on how to manage your student loans effectively.

Why Knowing Your Loan Servicer Matters

For federal student loans, you have a 6-month deferment period before you're required to start making payments. If you're not contacted by your student loan servicer, they most likely don't have your new address. But that doesn't mean they aren't going to charge you interest and fees for student loans you're not paying. That's going to kill your credit score (and you should care)! As a result, you need to make an effort to track down your student loans after you graduate!

Once you’ve tracked down your servicer, it’s best to contact them as soon as possible. It’s better to overcommunicate with your loan servicer than to just assume everything is on track. You’re having trouble making your payments.

Finding Your Loan Servicer

If you're not quite sure where to start or what to do, consider hiring a CFA to help you with your student loans. We recommend The Student Loan Planner to help you put together a solid financial plan for your student loan debt. Check out The Student Loan Planner here.

Start with StudentAid.gov (MyAid)

The first thing that you need to do after you graduate is head over to the StudentAid.gov. This is a great resource that is maintained by the US Department of Education that tracks who services your student loans and the balance of your loans. Given how much can change with your student loans while you're in school, this can be really helpful to track everything down.

To access your information, you simply need to provide your name, Social Security number, birthday, and a pin number. It will then show a list of your student loan debt that has been registered with the Department of Education (which includes all federal student loans and some private student loans).

When you're in the Student Aid portal, you want to look for the "MyAid" tab, which will show you all of your loans and loan servicers.

Once you know who your student loan servicer is, you need to contact them, especially if you are nearing the end of your deferment period and haven't received a statement or any other information.

Private Student Loans

If you have private student loans, you should be able to find your loan servicer information by logging in to your online account regarding your private loan, contacting your loan holder, or reviewing any documents you have regarding your private loan.

Understanding Loan Servicers

A loan servicer is a company that the loan holder or owner hires to handle the billing and other services on your student loans. Your loan servicer will work with you on repayment options and will help you with other issues related to your loans. If you need help with your student loans, you should contact your loan servicer first to see if they can assist you.

Read also: Understanding the UCF Framework

For federal student loans, all of your loan transactions - from maintaining your address to making payments to requesting loan consolidation - happen through your federal student loan servicing company. This federal student loan servicer will do all the "work." This includes tracking and processing your student loan payments, offering hardship options, and simply maintaining your contact information.

Usually, you will find out about your servicer when you are approved for the loan.

Current Federal Student Loan Servicers

There are only 5 current loan servicers. Here is the name, address, and contact info for the Federally approved student loan servicers. If you're loan is at one of these companies, this is the information you need. Also, read our reviews on the ones that we've encountered here at The College Investor.

Aidvantage - Federal Student Aid Loan Servicing
- Address for sending payments: P.O. Box 300001 Greenville, TX 75403-3001
- Mon-Thu and 8-6 on Fri.
Edfinancial Services
- FFelp or Private Loans: P.O.Box 36014 Knoxville, TN 37930-6014
- Address for sending payments: Direct Loans: US Department of Education P.O.Box 36008 Knoxville, TN 37930-6008
Nelnet
- P.O. Box 82561 Lincoln, NE 68501-2561
- California residents:
- Address for sending payments:Aspire Servicing Center P.O. Box 659705 West Des Moines, IA 50265-0970
MOHELA
- P.O. Box 69184 Harrisburg, PA 17106-9184
- Address for sending payments: Department of Education
CornerStone
- P.O. Box 790234 St. Cann

Past Federal Student Loan Servicers

Note: Many loan servicers have been changing due to Fedloan, GSMR, and Navient deciding to stop servicing federal student loans. We're leaving the old loan servicers here in case you need to contact them, but in general, you'll only need to contact your new loan servicer. Also, it could take to 60-90 days for your loan information to transfer over and be updated. So if you login and see missing payments, don't worry immediately. It can take time.

For reference, it appears most FedLoan and GSMR loans are going to MOHELA. MOHELA is also the loan servicer that will handle PSLF applications going forward. Navient Loans are going to Aidvantage, which is the Federal loan servicing arm of Maximus.

Read also: Banned Substances and the NCAA

Here are some federal student loan servicers of the past.

FedLoan Servicing
- P.O. St. Cann
- Phone number: (877) 677-9126
- Hours of operation: 8-5. Cann here.
Granite State (GSMR)
- Phone number: (888) 556-0022
- Hours of operation: 8-6.
- Box 2097 Concord, NH 03302-2097
- Address for sending payments:
  - Account numbers beginning with F8: Department of Education P.O. Box 4414 Portland, OR 97208-4414
  - Account numbers beginning with C7: Granite State Management & Resources P.O.
OSLA Servicing
- Department of Education Loan Servicing P.O. Box 18475 Oklahoma City, OK 73154-0475
- Address for sending payments: US Department of Education - OSLAP.O. Box 3319 Wilmington DE 19804-4319
Sallie Mae
- P.O.
Aspire Servicing Center
- Address for sending payments: P.O. Department of Education
(CRI)
- Address: P.O.

Changes Coming to Federal Student Loan Servicers

The Department of Education is in the process of changing which companies it works with to service your federal student loans. Student loan borrowers are automatically assigned a federal student loan servicer to manage each of their student loans. Most federal student loan borrowers haven't made payments in several years due to the payment freeze. Plus, there's been a major transition in loan servicers as FedLoan Servicing and Navient exited the federal loan servicing business.

These contracts came into force in late 2024 and aimed to streamline federal student loan servicing nationwide. The Student Loan Servicing Alliance’s executive director, Scott Buchanan, believes the rollout will take a few years.

Additional Loan Servicers

Nelnet
- Formerly called Union Financial Services, the company rebranded in 1998 and has offered student loan-related services for over 40 years. By 2011, it had hit several milestones. In 2016, Nelnet partnered with Great Lakes Educational Loan Services, a union that birthed GreatNet.
- Address: P.O.
- Monday: 8:00 am. to 9:00 pm.
- Tuesday and Wednesday: 8:00 am.
- Thursday and Friday: 8:00 am.
ECSI
- Over its 50+ year history, ECSI has partnered with US-based colleges and universities via its ServicingSelect loan servicing solution.
- Address: P.O.
Default Resolution Group
- As its name suggests, the Default Resolution Group is a student loan servicer that specializes in defaulted student loans. Contact this servicer if you’ve defaulted on your loan or have a grant overpayment.
- Address: P.O.
EdFinancial Services
- The company offers a plethora of student loan services on behalf of the federal government, including administration of loan forgiveness and discharge and loan consolidation. In addition to student loans, EdFinancial Services provides specialized services tailored for schools and hospitals.
- Address: P.O.
Aidvantage
- Aidvantage is a loan servicer that specializes in Direct and Federal Family Education Loan Program loans.
- Address: P.O.

What to Do If You're Unhappy With Your Servicer

If you’re unhappy with your current servicer, there are options for change. For the most part, you cannot change your federal student loan servicing company in order to get better terms or service (e.g., you want to switch to an income-driven repayment plan).

Another example of when your loan servicing company may change is if you apply for the Public Service Loan Forgiveness program (PSLF). In this case, your loan will be assigned to MOHELA, since it handles all PSLF applications. Or, if you apply for Disability Discharge, your loan will be transferred to Nelnet. This loan servicing company processes all disability discharge applications.

Refinancing Your Student Loans

Paying off your student loans can be a long process. Student loan refinancing consolidates all your loans into one, with a potentially lower monthly payment or interest rate. However, refinancing federal student loans with a private student loan will result in the loss of federal student loan benefits, such as income-based repayment and loan forgiveness. Citizens has flexible refinance options that could fit your situation.

Contact Your Servicer

Your federal student loan servicing company should be your main point of contact for assistance. You should always try to resolve any concerns directly with this company.

Important Considerations

Loan Transfers

Many people assume that when their student loans are transferred to another servicer it means their loans were sold, but this isn’t the case. Although all of your loan information will be transferred over to the new servicer, you may not be able to view past payments online that were made with the previous servicer.

Federal Direct Loan Program (FDLP) vs. FFELP Loans

As of July 1, 2010, all federal student loans are funded by the federal government through the Federal Direct Loan Program (FDLP). Loan types include Direct Subsidized, Direct Unsubsidized, Direct Parent PLUS, Direct Graduate Student PLUS (Grad PLUS) loans, and Direct Consolidation loans. These student loans have low interest rates and flexible repayment terms to help students of various economic backgrounds gain access to higher education.

FFELP loans were available through private lenders prior to July 1, 2010 (you may have chosen a private lender from a list when you originated your loan) and were guaranteed by the federal government. FFELP loan types include Subsidized and Unsubsidized Stafford, Parent PLUS, Grad PLUS, and Consolidation loans.

Outstanding Federal Student Loan Debt

As of Q4 2023, there is a total of $1.6 trillion of outstanding federal student loan debt.

tags: #list #of #student #loan #servicers