A loan servicer is a company issued by the U.S. Department of Education that takes care of federal student loans. They deal with billing, loan consolidation, repayment plans and other services that are related to federal student loans.
When you are issued a student loan from the federal government, the government is not the one that holds on to them and keeps track of the information about the loan. The U.S. Department of Education passes your student loans to one of the eleven loan servicers after the loan amount is disbursed. A list of the loan servicers and their phone numbers for loans disbursed through the Federal Direct Loan Program (Direct Loan) and the Federal Family Education Loan Program (FFEL) are below:
Aspire Resources Inc. 1-855-475-3335
FedLoan Servicing (PHEAA) 1-800-699-2908
Granite State – GSMR 1-888-556-0022
Great Lakes Educational Loan Services, Inc. 1-800-236-4300
OSLA Servicing 1-866-264-9762
Sallie Mae 1-800-722-1300
VSAC Federal Loans 1-888-932-5626
To find out who your loan servicer is, start by going to the National Student Loan Data System website (nslds.ed.gov) to access information regarding your student loans you received from the federal government and the contact information of your loan servicer. If you received a loan in the current year or will receive a loan in the upcoming year, you will need to contact your financial aid office at your school over the status of the loan, loan disbursement timings and loan cancellation within 120 days of the loan disbursement. If the loan was disbursed in a prior year, then you will need to contact your loan servicer to get the information.
There are a number of reasons why you should be in contact with your loan servicer:
• Change in address, name or phone number
• Dropped below half-time status in school
• Stopped going to school
• Transferred to a new school
Once you graduate, this does not mean that you are done contacting your loan servicer. You will need to be in contact if you:
• Change your address, name, or phone number
• Need to change to a different repayment plan
• Have a question regarding your student loans or monthly payments
There may come a time when you find out that your loan servicer is changing to a new company. Do not worry if this happens. From time to time the Education Department transfers loans from servicer to servicer in the expectations that it will give more customer and repayment support. There are a few things that will happen if your loan servicer is transferred.
• You will receive an e-mail or letter from your current loan servicer when your loans are transferred to the new servicer.
• Your new servicer will then send you a welcome letter once they have your loans in their system, and in this letter should contain their contact information and how to proceed with them.
o You will have to create a new account with the new servicer.
o If you have your repayments set up through a bank, you will want to make sure and update the new information to have the payments sent to the new servicer.
• You will have the same terms of repayment.
• If you are making payments during the transfer process the servicers will work to make sure the payments are accounted for.
If you have a Federal Perkins Loan, and want to know who to contact, you will want to first contact the school that you attended when it was disbursed. Federal Perkins Loans are issued by the school, and will normally be the loan servicer as well. If you contact your school and find out that they are no longer the loan servicer for your loan, you will contact ECSI Federal Perkins Loan Servicer at 1-866-313-3797.
If you have a private student loan then you should contact the lender who you received the loan from for information about that loan.
Peer Counselor I
Powercat Financial Counseling