Fed Loan stops managing the PSLF program after 2022.

Fed Loan is cancelling it's contract with the Dept. of Education by year's endThis DOES NOT mean that the PSLF program is ending. You will have a new SERVICE PROVIDER to make your forgiveness payments to. Of course Student Loan Advocates will still be there for you to do your annual recertifications, get you the lowest payments, and assist you to ensure that payments are being properly counted and credited. 

We have to be even MORE organized during this transfer periodStudent Loan Advocates will do our best to send you ongoing information (such as this letter) to make sure that you are performing all necessary tasks and instructions each year.  In order to keep organized, we strongly recommend following the steps below: 

Print Or Download All Student Loan Payment RecordsOne of the most significant issues encountered by student loan borrowers mired in the federal aid system is a lack of consistent record keeping, particularly following transfers to a new student loan servicer. As a result, borrowers may have difficulty proving that they made timely payments on their student loans for periods of time where a current servicer has no record to corroborate that. This is particularly true for borrowers in specific student loan programs like Public Service Loan Forgiveness (PSLF) or an income-driven repayment plan, where time spent repaying their student loans while enrolled in these programs is critical to obtaining eventual student loan forgiveness. Importantly, banks usually only retain statements for seven years, which means that borrowers cannot just rely on their banking institution for payment records in the future. Fed Loan allows borrowers to print or download their payment histories. Download and retain these records now, and consistently moving forward, and put them in your student loan file. 

Save Copies of All Student Loan CorrespondenceStudent loan correspondence may be absolutely critical in the future, even if you don’t think so right now. Borrowers in long-term repayment and student loan forgiveness programs like income-driven repayment plans and Public Service Loan Forgiveness (PSLF) all require payments made on time under specific plans for 10, 20, or 25 years. If your past enrollment in those plans is ever called into question, and your future student loan servicer has no record of your past payments, you may have to prove it. That may require having records and correspondence specifically referencing your enrollment — for instance, a letter approving you for an income-based repayment plan or notifying you of a new income-based payment amount following annual recertification. Fed Loan does not retain correspondence forever, and that correspondence is unlikely to be transferred with your account to a new loan servicer. This cannot be overemphasized:

Retain copies of all correspondence. If you want to be particularly thorough, save a paper record and also upload digital copies of your correspondence to a secure cloud-based service. 

Continue to allow us to prepare your annual documentation, which allows for your new servicer to qualify you and your payments for the current yearLet's take the next four months to get your eligible payments in writing. In some cases, it will behoove you to call Fed Loan directly in some cases, rather than having us do it, because if their is a dispute, then it can be handled better. Please email us any correspondence from Fed Loan (or your new srevicer) if you have questions about a particular message. We recommend contacting us for recertification if you have NOT done so since October 2020. Usually we have you recertify with us every 11-12 months HOWEVER, we want to submit your paperwork BEFORE Fed Loan ends their contract this URL, if you have a dispute that needs to be escalated. We recommend using this option as a last resort, if your NEW loan servicer is not giving you the proper credit from your Fed Loan PSLF payment history.

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