Nelnet is one of four major federal student loan servicers in the United States, and Nelnet is one of the larger student loan servicing companies. Based in Lincoln, Nebraska, Nelnet has been in business since 1978. If you are working with Nelnet, the Department of Education assigned the company to your loan portfolio. Nelnet works directly with you to help them manage your student loan payments.
What Does Nelnet Do?
Nelnet manages student loans on behalf of the Department of Education, assisting borrowers with making payments, obtaining forbearance and deferrals, and signing up for income-based repayment plans. They are also in charge of collections if you are defaulted on your loans. However, one of their main concerns is moderating student loan repayment.
Nelnet allows borrowers to take charge of their student loan payments in a number of ways. Borrowers with multiple federal student loans can consolidate their loans through Nelnet. If their current monthly payment is too high then Nelnet can provide information to borrowers about various income-based repayment plans, comparing the payment amounts and loan terms along with instructions on how to apply for a different payment plan. These programs are available for federal student loans and are based solely on a borrower’s income level.
How Can Nelnet Help?
Borrowers who are facing financial difficulty and are unable to make payments on their student loans can apply for forbearance or deferment through Nelnet. These programs allow borrowers to temporarily stop paying on student loans during periods of hardship. Nelnet offers information about eligibility and conditions for these federal student loan programs. Depending on the type of federal student loan involved, borrowers may be responsible for interest payments during periods of forbearance and deferment. In addition, Nelnet can provide information to other borrowers who may be eligible for benefits for service members or veterans, or for borrowers who may be eligible to have their student loans discharged due to total or permanent disability.
In addition to offering information and assistance with loan repayment, Nelnet offers financial literacy education to borrowers through its website. These tools help borrowers learn more about financial basics such as budgeting, financial goals, and federal student loans. Nelnet also provides information about applying for student loans, and what borrowers should know before they apply for a loan. If a borrower has a question about an issue that isn’t addressed through Nelnet’s online library or frequently asked question center, they can call Nelnet’s customer service center to seek assistance. There are various different ways to contact Nelnet other than just their website.