Your Student Loan Servicer Is Changing: 7 Steps To Protect Yourself Now
The Pennsylvania Higher Education Assistance Authority (PHEAA), whose servicing arm for the Department of Education is known as FedLoan Servicing, announced that it is exiting the student loan servicing business. FedLoan Servicing is the only vendor for the Public Service Loan Forgiveness program. That means all current enrollees in the PSLF will be required to change loan servicers by the time of FedLoan’s exit in December 2021.
Given the abruptness of this announcement, if FedLoan is your servicer, you should take steps to protect your loan payment history BEFORE the change happens. To protect your loan payment history make sure you take the following steps before December.
- While you are on your loan servicers account, update your contact information to ensure that you receive all notices from your new loan servicers.
- Make sure you don’t get scammed in the change. Verify the new student loan servicer after the transfer by logging into the Studentaid.gov website.