Many people receive student loans during their education and usually start paying after graduation. However, student loans servicers may change over time. People who do not check or do not realize this will make at least one payment late and their credit scores will decrease. It is the duty of the borrower to find out who the loan provider is and to make payments. Therefore, you cannot appeal when your credit score decreases.
If you do not know where to send the payments for student loans or to whom to apply for your student loans, you will need to resolve it. This allows you to track your credit balances and ensure that your payments are correct.
What are student loans servicer?
Student loans servicer is intermediaries that move between the borrower and the lender. Student loans servicers collect payments from people who receive the loan. It also handles how student loans are repaid when forbearance, deferment and other payment options are concerned.
Federal student loans and private student loans are also different in this respect, and it is easier to find student loan servicers for federal student loans. However, even if you find work after graduation, you will still need to find the student loans servicer for your federal student loans. Because it lets you know your situation, helps you organize your payments, and allows you to make other plans to keep your account in good standing.
How to find who owns your student loans?
The student loans servicer is assigned to both federal student loans and private student loans. Finding the student loans servicer depends on what type of credit you have.
Finding a federal student loans servicer
You can use multiple methods to locate the federal student loans servicer. You should know the most common student loan servicers before reviewing these methods. These are;
- FedLoan Servicing (PHEAA), phone number: 1-800-699-2908,
- Great Lakes Educational Loan Services, phone number: 1-800-236-4300,
- MOHELA, phone number: 1-888-866-4352,
- Nelnet, phone number: 1-888-486-4722,
- CornerStone, phone number: 1-800-663-1662,
- Granite State – GSMR, phone number: 1-888-556-0022,
- HESC/Edfinancial, phone number: 1-855-337-6884,
- Navient, phone number: 1-800-722-1300,
- OSLA Servicing, phone number: 1-866-264-9762.
These companies are third parties outside the government that hold and manage student credit information. One of them is Navient, one of the largest private student loans companies. Nelnet is one of the private companies with beneficial relations with the Department of Education.
The first method you can use to find a federal student loans servicer is FAFSA. You must create a Federal Student Aid ID to take action in FAFSA. The Federal Student Aid ID was introduced in 2015, so you must create a Federal Student Aid ID if you have entered FAFSA before that date.
FAFSA contains information on all federal student loans. If you have federal student loans, you can only access the student loans servicer by logging into FAFSA.
Another method you can use to find a federal student loans servicer is the National Student Loan Data System. The National Student Loan Data System, like FAFSA, contains all information about federal student loans, and you must use the Federal Student Aid ID to log in to the National Student Loan Data System.
The National Student Loan Data System will give you many advantages. The main ones are;
- Find federal student loans servicer
- Direct payment to the lender
- Automatic payments of student loans
- Benefit from a 0.25% interest discount when you sign up for direct debit
- Link bank information and make payments directly from bank to bank account
Finding a private student loans servicer
Private student loans are not displayed through the National Student Loan Database System. It may take more time to find private student loans servicers than to find federal student loans servicer.
The methods for finding private student loans servicers vary depending on whether you know the lender or not.
- If you know who the lender is;
You should contact your lender to find out if you have private student loans. The original lender can often lend you and help you manage your loan because the original lender owns the loan. However, over time there is a possibility that another company will have student loans. If this happens, the original lender can give you the information of the companies that currently own the loan. If you’re in default, the original lender can also give you contact information for the assigned collection agency.
- If you do not know who is the lender;
If you do not know who the original lender of your private student loans is, you can find out through your credit reports. Credit reports are reports that list all the factors that make up the credit score. These reports list all your payments and who you need to pay in detail. You will need to call the listed lenders to find out who owns your private student loans.
You can receive your credit reports through the three main credit reporting institutions, Equifax, TransUnion and Experian. Today, it is free to obtain credit reports from these three main credit reporting institutions. But there is one thing you should know; lenders can provide information about your payments to one, two, or all of these three major credit reporting agencies. Therefore, it would make more sense to get your credit reports from all three main credit reporting institutions. Even if the servicer for such student loans is not listed in a credit report you receive, it is always listed in other credit reports.
Can I change who owns my student loans?
If you have a good credit score, you can finance your student loans with a lower interest rate loan. These are called refinance student loans and are issued by private lenders.
You do not have to have private student loans to refinance your student loans. Federal student loans can also be refinanced. Particularly for people with both types of credit, it is easier to refinance student loans by making a monthly payment on a loan. However, when student loans are refinanced, you will not be able to exercise your rights when you have federal student loans. But you can refinance student loans more than once. This allows you to adjust your monthly loan payments based on your payment terms.
In summary, if you refinance your student loans, you determine who your lender will be.
Advantages of knowing the student loans servicer
Knowing the server of your student credits helps you manage your student credits better. The main advantages of knowing the student loans servicer;
- You can look up your loan balance
- You can apply for student loan forgiveness
- You can enroll in automatic payments
- You can sign up for a repayment plan
Call your student loans servicer for detailed information on many other benefits.