Direct Loan Servicing

A loan servicer is a company that handles the billing and other services on your federal student loan. The loan servicer will work with you on repayment plans and loan consolidation and will assist you with other tasks related to your federal student loan. It is important to maintain contact with your loan servicer. If your circumstances change at any time during your repayment period, your loan servicer will be able to help.

Do I select my loan servicer?

No. Your loan is assigned to a loan servicer by the U.S. Department of Education (ED) after your loan amount is first disbursed (paid out). The loan has been disbursed when your school transfers your loan money to your school account, gives money to you directly, or a combination of both. Your loan is usually disbursed in at least two payments, and your loan servicer will contact you after the first payment is made to you.

Whom do I contact to get information about my loan?

If your loan is for the current or upcoming school year, contact your school’s financial aid office directly for information about

• loan status,
• loan cancellation within 120 days of disbursement, and
• loan disbursement amounts and timing.

Only your school's financial aid office can provide this information.

If your loan was disbursed in a past school year and you’re still in school, contact your loan servicer when you

• change your name, address, or phone number;
• graduate;
• drop below half-time enrollment;
• stop going to school; or
• transfer to another school.

If you’re no longer in school, contact your loan servicer when you

• need help making your loan payment;
• have a question about your bill; or
• have other questions about your student loan.

Who is my loan servicer?

Visit My Federal Student Aid to view information about all of the federal student loans you have received and to find contact information for the loan servicer or lender for your loans.

The following are loan servicers for federally held loans made through the William D. Ford Federal Direct Loan (Direct Loan) Program and the Federal Family Education Loan (FFEL) Program.

Will ED ever transfer my federally held loans to a different servicer?

Possibly. In some cases, ED needs to transfer loans from one servicer to another servicer on the federal loan servicer team. ED transfers loans as part of its efforts to ensure that all borrowers are provided with customer service and repayment support. If ED needs to transfer your federal student loans from your assigned servicer to another servicer, your loans will still be owned by ED. The “transfer” to another servicer on ED’s federal loan servicer team simply means that a new servicer will provide the support you need to fully repay your loans.

Here’s what you should expect if your loan is transferred to a new servicer:

• You may receive an e-mail or a letter from your assigned servicer when your loans are transferred to the new servicer.
• You will receive a welcome letter from the new servicer after your loans are added to the new servicer’s system. This notice will provide you with the contact information for the new servicer and inform you of actions that you may need to take.
• All of your loan information will be transferred from your assigned servicer to your new servicer.
• There will be no change in the terms of your loans.
• Your previous loan servicer and new loan servicer will work together to make sure that all payments you make during the transfer process are credited to your loan account with the new servicer.

After you receive the welcome letter from your new servicer, you should do the following:

• Begin sending your loan payments to your new servicer. If you use a bank or bill paying service to make your loan payments, update the new servicer’s contact information with the bank or bill paying service.

• Follow the new servicer’s instructions for creating an online account so that you can more easily communicate with the new servicer and keep track of your loan account.

Whom do I contact for information about my Federal Perkins Loan?

If you have Federal Perkins Loans, here’s whom to contact for repayment information:

• Contact the school where you received your Federal Perkins Loan for details about repaying your loan. Your school may be the servicer for your loan.

Whom do I contact for information about my FFEL Program loan that isn’t owned by ED?

If you have privately-owned FFEL Program loans, contact your lender for details about repayment options and tools for your FFEL Program loans that are not owned by ED.

Whom do I contact for information about my Health Education Assistance Loan (HEAL) Program loan?

If you’re not in default on your HEAL Program loan, contact your loan servicer for help with account-related questions. Use the contact information your loan servicer provided to you.

If you’re in default on your HEAL Program loan, contact the Debt Collection Center for help with account-related questions:

Mailing Address:
Debt Collection Center
Accounting Services

Interesting facts

• The National Student Loan Data System (NSLDS) is the U.S. Department of Education’s (ED) central database for federal student aid. NSLDS receives data from schools, guaranty agencies, the Direct Loan program, and other Department of ED programs. NSLDS Student Access provides a centralized, integrated view of Title IV loans and grants so that...
• Also see loan servicing
  The term primary servicer refers to companies that monitor and manage loans. The primary servicer of a loan can be the loan originator, the mortgage banker or a third party and maintains direct contact with the borrower. If the loan falls into default or needs special attention, a special servicer would undertake this...