Keeping Track of Student Loan Servicer is Important During Repayment, Says American Financial Benefits Center

Thoughtful

Federal student loans are given out by the government and then the repayment portion of the loan is dealt with by servicers - that much is fairly common knowledge for borrowers. Some of the details of loans though beyond initially receiving funds can be a little hazy for borrowers occasionally. American Financial Benefits Center, a document preparation service company, advises borrowers to brush up on the details of their loans and to keep an eye on them during repayment.

During a loan’s repayment, at almost any point, a loan can be transferred from one servicer to another. Being transferred during a loan's life is not a guarantee, however, and there is a chance the loan will stay with the servicer until it has been repaid in full. When the student loans are transferred over, servicers are supposed to alert the borrower but, for various reasons, that information about the transfer may not be properly conveyed. To figure out if a loan has been transferred, a borrower could call their servicer or check out the Federal Student Aid website (FSA) and see what information is listed. “If bills from a particular servicer stop coming, that may be a sign to check on loan information on the FSA website. FSA is a great website to check because it can tell a borrower specifically what servicer is now holding their loans,” said Sara Molina, manager at AFBC.

Even in an income-driven repayment program for federal student loans, servicers for a loan can still be changed over, but the payments made in the program will still count and be transferred over, as well as payments remaining the same until time for recertification where they could change. “AFBC does what it can to help its clients over the course of their income-driven repayment program because we believe people shouldn’t have to potentially hurt their quality of life to keep making student loan payments,” said Molina.

If bills from a particular servicer stop coming, that may be a sign to check on loan information on the FSA website. FSA is a great website to check because it can tell a borrower specifically what servicer is now holding their loans.

Sara Molina

Manager at AFBC

About American Financial Benefits Center

American Financial Benefits Center is a document preparation company that helps clients apply for federal student loan repayment plans that fit their personal financial and student loan situation. Through its strict customer service guidelines, the company strives for the highest levels of honesty and integrity.

Each AFBC telephone representative has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).

American Financial Benefits Center Newsroom

Contact

To learn more about American Financial Benefits Center, please contact:

American Financial Benefits Center
1900 Powell Street #600
Emeryville, CA 94608
1-800-488-1490
info@afbcenter.com

Source: American Financial Benefits Center


Categories: Financing and Student Loans, Financial News

Tags: FSA, income-driven repayment, loan bills, loan servicer, student loan repayment, student loans


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About American Financial Benefits Center

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American Financial Benefits Center works to align each client with the different U.S Department of Education programs available to them based on their income and occupational situation.

American Financial Benefits Center
1900 Powell Street (600)
Emeryville, CA 94608
United States