Posted Date:June 30, 2010
|Author:||Jana Hernandes, Service Director, Operations, Federal Student Aid|
Subject: Loan Servicing Information - FedLoan Servicing (PHEAA) Begins Servicing Direct Loans
In a June 23, 2010 Electronic Announcement posted on the Information for Financial Aid Professionals (IFAP) Web site, we informed the community that we were ready to begin assigning William D. Ford Federal Direct Loan (Direct Loan) Program Direct loans to the new federal loan servicers, and began doing so with Nelnet on June 23, 2010.
At this time, we are pleased to announce that we began assigning Direct Loans to FedLoan Servicing (PHEAA) on June 30, 2010. This means that the Direct Loan Servicing Center (ACS), Nelnet, and FedLoan Servicing (PHEAA) are the three federal loan servicers to which we currently will assign new Direct Loans. We anticipate that we will begin assigning Direct Loans to the other two servicers—Great Lakes Educational Loan Services, Inc. and Sallie Mae—in the coming weeks. We will inform the community of each servicer’s start through an Electronic Announcement on the IFAP Web site.
As is true with any loans assigned to our federal loan servicers, FedLoan Servicing (PHEAA) will correspond with each Direct Loan borrower upon assignment of a Direct Loan. In this correspondence, the borrower will be provided with required information about his or her new Direct Loan and information about how to contact FedLoan Servicing (PHEAA). Borrower and school contact information for FedLoan Servicing (PHEAA) is also available on the IFAP Web site’s Loan Servicing Centers for Students page and Loan Servicing Centers for Schools page, respectively.
In addition to the student or parent Direct Loan borrower receiving FedLoan Servicing (PHEAA)’s correspondence, FedLoan Servicing (PHEAA) will be identified as the servicer of the borrower’s Direct Loan in the National Student Loan Data System (NSLDS). Both the student or parent borrower and the school will be able to view the federal loan servicer code and name associated with each loan in the NSLDS. Q&A 3.1 in the March 26, 2010 Electronic Announcement includes NSLDS servicer identification information for all federal loan servicers and provides information about the availability of a school report that can be used in addition to individual lookups. FedLoan Servicing (PHEAA)’s NSLDS servicer identification information is as follows:
|Servicer Name||NSLDS Name||GA Code||Lender Servicer Code|
|FedLoan Servicing (PHEAA)||DEPT OF ED/FEDLOAN SERVICING (PHEAA)||579||700579|
A school will also be able to view the federal loan servicer code and name associated with each Direct Loan via the Common Origination and Disbursement (COD) Web site. The school can access this information under the Person tab on the Web site’s top menu bar by clicking on Servicer and then entering the Award ID or the Social Security Number (SSN).
We appreciate the community’s ongoing support of our approach to servicing federally-owned loans and will communicate when other federal loan servicers begin receiving Direct Loans to service on our behalf.