Presentation of Navient: what you need to know about the server
Navient is a student loan manager who manages private and federal student loans. The company was formed in 1973 as a division of the Student Loan Marketing Association, also known as Sallie Mae, but split from the company in 2014. Today, Navient serves over $ 300 billion. student loans for more than 10 million clients.
What is Navient and what does it do?
Navient is a student loan manager, or the company that acts as an intermediary between you and your lender. He handles administrative tasks such as sending invoices, collecting payments, enrolling borrowers in repayment plans, reporting account activity to consumer credit bureaus, and helping clients to resolve issues along the way.
Is Navient a good loan manager?
Between 2011 and 2021, the Consumer Financial Protection Bureau received over 34,000 complaints about Navient Solutions, which is far more than most loan managers receive. Of the nine other companies that currently offer federal student loans, the CFPB received an average of about 920 complaints per agent over the same period.
Navient has also been the subject of several lawsuits. The lawsuits allege that Navient misled borrowers, offered expensive loan options and overcharged loan amounts.
What types of student loans does Navient offer?
Navient offers both private and federal loans, including Federal Family Education Loan Program (FFEL) loans and Health Education Assistance Loan Program (HEAL) loans.
How do I know if Navient is my repairer?
If you have Federal Student Loans, first log into the Federal Student Aid website using your FSA ID. Here you will find details about your federal student loans, including your “current emergency services administrator”. You can also connect to the National Student Loans Data System (NSLDS) to find out who manages your student loans or call the Federal Student Aid Information Center at 800-4-FED-AID (800-433 -3243) for more details.
But private student loans will not be listed in the NSLDS database or the FSA information center. To find out who manages your private student loans, try logging into your online account and looking for details. You can also check your credit reports to see who is listed as the loan holder.
Things could change for some borrowers over the next year, however. In June 2020, the Department of Education announced that it would consolidate its contracts with just five companies offering federal student loans. Navient’s contract runs until December 2021, but the government agency has not listed the server as a partner in its Next Gen platform. So if Navient manages your federal student loan, your loan can be transferred to a new manager after Navient’s contract expires.
How to make Navient payments?
If Navient manages your student loan, you have several options for making your monthly payments:
- Pay online: You can log into your account online and make a secure payment there. You will need your bank account information to schedule an electronic funds transfer.
- Pay by phone: You can call Navient and make a payment using your bank account or debit card information. Navient’s contact page lists the phone numbers for each type of loan. You will need your account number handy.
- Pay by US Mail: Another payment option is to send a check (with your account number entered in the memo line), accompanied by your payment slip, to Navient. Navient’s contact page lists the addresses for each type of loan.
Lawsuits against Navient
Since 2017, the CFPB, several attorneys general and a group of teachers have filed a handful of lawsuits against Navient for harmful and deceptive practices. According to the lawsuits, the duty officer would have:
- Poorly managed accounts: Navient did not correctly apply or allocate payments to accounts receivable and incorrectly reported loan payments to consumer credit bureaus.
- Directed borrowers to expensive options: The CFPB said Navient often advises borrowers to enroll in forbearance programs, which could increase borrowers’ overall debt, instead of income-driven repayment plans.
- Provided unclear information: Navient failed to properly inform borrowers of critical timelines for income-based repayment plans or the consequences if they do not act.
- Expensive options recommended: According to the New Jersey lawsuit, the manager pressured borrowers into taking out private student loans with co-signers, even though it was not in the borrower’s best interests.
- Collected more than the amount due: If borrowers were behind on their payments, the New Jersey lawsuit says Navient told borrowers they owed more than they actually did. The manager then collected the overdue amount plus the payment for the following month.
If Navient manages your student loans, track your payments to make sure they’re processed correctly. You can report problems directly to the service agent. If Navient does not resolve the issue, you can file a complaint with the CFPB, the Department of Education, your state’s attorney general’s office, or your state’s consumer protection office.
How to contact Navient
You can contact Navient during its normal operating hours, which are Monday through Thursday 8 a.m. to 9 p.m. ET and Friday 8 a.m. to 8 p.m. ET. Contact details vary depending on your student loan program. The toll-free telephone numbers for each program are as follows:
- FFELP and HEAL: (888) 272-5543.
- US Department of Education Student Loans: (800) 722-1300.
- Private student loans: (888) 272-5543.
- Military Service Members: (855) 284-4879.
For TDD phone numbers, international phone numbers, fax numbers and addresses, visit the Navient contact page.
The bottom line
If Navient is your student loan manager, they will manage your account and can help you with any issues you have. The company offers various payment options, educational guides, and information about managing your account on their website. But in light of Navient’s legal issues, it’s a good idea to make sure every payment is processed correctly and to monitor any communication with the server.