If your QPs go missing, don’t panic! It’s usually a simple mistake that can be corrected with a little patience. If this happens to you, give us a call—we’re here to guide you through thick and thin!
She pulled up last year’s form, which she had saved to the cloud. It looked identical to this year’s—just the date was changed—no new qualifying payments, 12 shy of the number she expected. Her heart sank: this was wrong. Was it her fault? Did she forget something? How could this have happened? Almost worse than the results was the fact that now she would have to call. She’d have to dial her servicer, sit on hold, and be told that she’d made a mistake.
As borrowers make plans to resume making student loan payments in February, they may have questions about who will be servicing those loans. We learned earlier this year that two large student loan servicers—PHEAA and Granite State—would no longer service federal student loans. The former, through its subsidiary FedLoan, is responsible for all borrowers pursuing Public Service Loan Forgiveness, a program that has been under intense scrutiny throughout the student debt crisis. Just last month, yet another major servicer—Navient— announced that it would no longer manage federal loans, transferring them to another company.
As borrowers make plans to resume making student loan payments in February, they may have questions about who will be servicing those loans. We learned earlier this year that two large student loan servicers—PHEAA and Granite State—would no longer service federal student loans. The former, through its subsidiary FedLoan, is responsible for all borrowers pursuing Public Service Loan Forgiveness, a program that has been under intense scrutiny throughout the student debt crisis. Just last month, yet another major servicer—Navient— announced that it would no longer manage federal loans, transferring them to another company.
Good news for Navigate clients: many lenders accept the monthly student loan payment estimates we run with you for DTI purposes. That way, we can help you avoid taking your loans out of COVID forbearance!
Over the past nine months, two questions have dogged the student debt cancellation conversation: does the President have the authority to forgive student debt without Congress, and—if so—how much should he forgive?
Report after report has shown that majority Black- and Latinx-communities to bear the greatest burden of student debt and its effects. In 2015, the CFPB documented the effects of the Great Recession on student debt in communities of color, “with many families seeing their net worth nearly cut in half.”
Oftentimes, we and our clients have to correct mistakes made by loan servicers, and having your payment plan messed with can be one of the most detrimental. If your loan servicer tells you that you no longer qualify for your plan, they’re wrong. When you enroll in an IDR plan, it’s “‘til death do you part,” or—to put it in a more positive light—“‘til PSLF do you part.” Have no fear, give us a call, and we’ll help you ride the cap all the way there.
A new report from the government consumer watchdog finds that student loan servicers betrayed borrower’s trust, gave misleading and fraudulent advice, and withheld refunds when their mistakes were identified.
A new report from the government consumer watchdog finds that student loan servicers betrayed borrower’s trust, gave misleading and fraudulent advice, and withheld refunds when their mistakes were identified.