Explore the Great Lakes to Nelnet student loan transfer and what borrowers can expect. Learn how to stay proactive, avoid reporting errors, and navigate this transition. Read on to ensure a smooth transfer of your student loans.
Great Lakes, one of the major student loan servicing companies, recently made an announcement that it would transfer its entire portfolio to Nelnet after deciding to exit the servicing industry. This transfer process started at the end of 2022 and is expected to continue until October 2023. As a borrower, it is essential to understand how this transfer will affect your student loans and stay proactive. This article will delve into what borrowers can expect from the Great Lakes to Nelnet transfer, how to stay proactive, and how TitanPrep can help navigate this transition.
Student loan servicers like Great Lakes and Nelnet play a crucial role in helping students manage their federal student loans. The primary function of these companies is to act as intermediaries between borrowers and the federal government. They provide assistance with loan repayment, answer questions, and offer guidance throughout the loan process.
One of the primary responsibilities of Great Lakes is managing borrowers’ loan payments, including processing payments, keeping track of payment history, and applying payments to the correct loan balance. They also help borrowers understand the various repayment plans available to them and assist in selecting the best plan based on their financial situation. Additionally, Great Lakes provides customer service to borrowers who have questions about their loans, including loan forgiveness programs, deferment, forbearance, and other options that may be available to them. The company is responsible for sending out loan statements, updating borrowers on changes to their accounts, and providing assistance with loan consolidation.
The transfer process from Great Lakes to Nelnet has already started, and borrowers will receive a notification two weeks before the transfer date. Nelnet will then notify borrowers once the transfer is complete, along with a new federal student loan account number. This transfer will not affect the loan terms or payment due dates. However, borrowers should note that there may be a brief period when they may not be able to make payments during the transfer process.
Although loan servicers exist to assist borrowers and are a crucial part of the federal student loan industry, borrowers need to understand that they may offer choices that favor the servicer rather than the borrower. It is essential to know your repayment options, stay proactive, ask the right questions, and make informed decisions to prevent reporting errors.
Here are some tips to stay proactive during the Great Lakes to Nelnet transfer:
- Review your loan information and payment history to ensure its accuracy before and after the transfer.
- Make note of your new account number and payment address once the transfer is complete.
- Consider enrolling in autopay to avoid missing payments during the transfer process.
- If you are currently enrolled in an income-driven repayment plan, you will need to recertify your income with Nelnet once the transfer is complete.
It is crucial to stay vigilant during this transfer process. A recent news story highlighted the importance of staying vigilant. A Michigan man’s credit score tumbled 91 points due to a student loan glitch that occurred during the Great Lakes to Nelnet transfer. Though rare, borrowers must review their loan information and payment history to ensure its accuracy before and after the transfer. If any errors or discrepancies are noted, they must contact Nelnet immediately to resolve the issue.
Another concern borrowers may have during the Great Lakes to Nelnet transfer is the potential for longer wait times or reduced customer service availability. Recently, Nelnet announced that it would be reducing its call center hours and laying off 550 more employees due to the transition to a new loan servicing system. However, Nelnet has assured borrowers that they are taking measures to minimize the impact on customer service, and borrowers can still contact them via phone, email, or online chat.
TitanPrep is here to help borrowers navigate the Great Lakes to Nelnet transfer, which can be confusing and overwhelming. The company’s team of experts can assist borrowers in
Student loan debt has become a significant issue in the United States, with the total outstanding student loan debt exceeding $1.7 trillion. According to a recent report by the Institute for College Access and Success (TICAS), 60% of college graduates in the class of 2019 had student loan debt, with an average debt of $28,950 per borrower. The report also found that Black students were more likely to borrow money to finance their education, and they tend to borrow more than their white peers.
In recent years, there has been growing concern about the role of student loan servicers in the federal student loan system. The federal government contracts with private companies to service federal student loans, and these companies have been criticized for a lack of transparency and accountability. A 2019 report by the Consumer Financial Protection Bureau found that borrowers face significant obstacles when trying to access loan forgiveness programs, and that loan servicers may be providing inaccurate information to borrowers about their options.
The transfer of Great Lakes’ portfolio to Nelnet is just one example of the complexities and challenges of the student loan industry. As borrowers, it’s important to be proactive and stay informed about changes to our student loan accounts. In addition to the tips outlined in this article, there are a few additional steps borrowers can take to stay on top of their student loans:
5. Check your credit report regularly: Your credit report can give you a comprehensive look at your debt and payment history, including your student loans. By checking your credit report regularly, you can ensure that your loan information is accurate and up-to-date. You are entitled to one free credit report per year from each of the three major credit bureaus: Equifax, Experian, and TransUnion.
6. Sign up for alerts and notifications: Many loan servicers offer alerts and notifications to borrowers via email or text message. These notifications can remind you when payments are due, provide updates on your account status, and alert you to any changes in your account.
7. Explore repayment options: There are a variety of repayment options available to federal student loan borrowers, including income-driven repayment plans and loan forgiveness programs. By exploring your options and selecting the repayment plan that is right for you, you can ensure that you are making progress on your loans while also managing your other financial obligations.
8. Seek help if you are struggling: If you are struggling to make your student loan payments, do not be afraid to seek help. Your loan servicer may be able to offer you options such as deferment, forbearance, or a repayment plan based on your income. You can also explore resources such as the Department of Education’s Federal Student Aid website or nonprofit organizations such as The Institute of Student Loan Advisors.
The transfer of Great Lakes’ portfolio to Nelnet is a significant event in the student loan industry. As borrowers, it is important to stay informed and proactive about changes to our accounts. By reviewing our loan information, exploring repayment options, and seeking help when needed, we can navigate this complex system and work towards financial freedom.
TitanPrep Can Help
Navigating the Great Lakes to Nelnet transfer can be confusing and overwhelming for many borrowers. That is why TitanPrep is here to help. Our team of experts can assist you in navigating this account transfer and keeping current regarding all of your available repayment and discharge options. We can help you review your loan information and payment history to ensure its accuracy before and after the transfer and answer any questions you may have.
Contact TitanPrep today.