What is a student loan servicer?
Servicers are companies and organizations that collect payments on a loan, respond to customer service inquiries, and perform other administrative tasks associated with maintaining a loan.
Your student loan servicer is the company that sends you a billing statement each month. Loan servicers also:
- Track loans while borrowers are in school
- Process payments
- Respond to borrower inquiries and information requests
- Accept applications and process changes in repayment plans, deferments, forbearances, or other activities to prevent default
- Maintain loan records
- Ensure the administration of loans in compliance with federal regulations and other legal requirements
It is important to maintain contact with your loan servicer.