Federal Student Loan Payments Resume Soon: Borrowers Struggle to Reach Companies

"Federal student loans are a pressing issue for millions of Americans, with some reporting long waits to speak with their loan servicing companies," NBC South Florida reports.

... "Rachel Rotunda, Director of Government Relations at the National Association of Student Financial Aid Administrators (NASFAA), said they anticipated the resumption of payments would likely overwhelm the servicing system."

"She added that many borrowers had their loans transferred multiple times to new servicers during the payment pause. 'Servicers, due to some funding constraints at Federal Student Aid, have not been able to ramp up their capacity in ways they might have liked. And that's only exacerbated by having tens of millions of borrowers who are trying to interact with the system at the same time.'"

"Rotunda suggests that borrowers use online resources to manage their loans. 'Many functions like checking balances or setting up auto-debits can be done online, reducing the need for direct contact with servicers,' she said. Borrowers can find out who's handling their loan by logging into StudentAid.gov with the same username and password used for their financial aid form."

"'That's a really great place to start,' Rotunda added."

NASFAA's "Notable Headlines" section highlights media coverage of financial aid to help members stay up to date with the latest news. Articles included under the notable headlines section are not written by NASFAA, but rather by external sources. Inclusion in Today's News does not imply endorsement of the material or guarantee the accuracy of information presented.


Publication Date: 9/23/2023

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