It is important we begin by letting you know this. American Education Services (AES) is one of the largest student loan servicers in the U.S. It services both federal and private student loans held by millions of students.
American Education Services (AES) offers a lot services. Also, they these services they render are essential, there are shortcomings associated with them.
In this article, you shall read about American Education Services. Also, you shall get to know their strengths and weakness. Additionally, you shall read their interest rates.
About American Education Services (AES)
This was established in Pennsylvania in 1963. The Pennsylvania Higher Education Assistance Agency (PHEAA) established American Education Services (AES). The aim was to help service the Federal Family Education Loan Program (FFELP).
Today, AES and its sister program FedLoan Servicing work to provide financial aid services. These services are to student borrowers around the country.
It services millions of students and thousands of schools. Providing loan guarantees and loan servicing. Also, it provides financial aid processing, and outreach. Additionally, it provides other student aid programs.
What American Education Services does
As a student loan servicer, American Education Services does a lot of things. It handles the billing and other services required for student loans. It does not originate student loans. However, it acquires loans from other financial institutions. Like the U.S. Department of Education and other private lenders.
Additionally, it carries out some essential duties including:
Helping borrowers manage and change payment due dates.
Supporting various federal income-driven repayment plans. This is in addition to the Standard Repayment Plan.
Also, it qualifies borrowers for student loan discharge and forgiveness.
Helping borrowers to understand their options for deferment and forbearance. This is in the event that they cannot afford to make payments
Additionally, making AES Student Loan Payments.
Also, if your loans are serviced by AES, note. You can choose from a number of payment methods offered by it. This is to make your monthly payments.
American Education Services Interest Rates and Fees
If you have student loans serviced by American Education Services, please note. It’s important that you understand AES does not set the interest rates on your loans.
The interest rates for federal student loans are established by the U.S. Congress. Also, the interest rates on private student loans are set by the individual private lender. That is, the one who originated the loan.
Not sure of your interest rate for your student loans being serviced by AES? You can find that information in a number of ways:
Logging into your account and navigating to your loan details.
Also, by contacting an AES student loan representative to ask.
Additionally, by looking at your monthly student loan statement.
Logging into the National Student Loan Database (NSLDS). This is to view your student loan details.
How to Lower Your AES Interest Rates
It is important you note this. Since AES does not set the interest rates on your student loans, your options for reducing your rates with AES are limited. By signing up for AES’ direct debit payment option, you may qualify for a .25% interest reduction.
Otherwise, if you would like to change the interest rates on your student loans, note. You will need to consider refinancing your student loans.
Why You Refinance Your AES Student Loan
When considering American Education Services student loan, please note. Student loan refinancing is the process of taking out a new loan to pay off your existing loan or loans. Borrowers often refinance their student loans in order to:
Get a lower interest rate.
Reduce their monthly payments.
Shorten the term of their loan.
Convert a variable-rate loan into a fixed-rate loan.
It is important you know this. Refinancing has the potential to help you save thousands of dollars over the life of your loan. Refinancing may make sense for you to pursue. This is if interest rates have fallen significantly since you took out your loan. Or, you have significantly improved your credit since taking out your loans.
While refinancing could save you a lot of money over the life of your loan, note. It may also mean giving up certain protections and benefits that come with federal student loans.
Some Benefits of American Education Services
American Education Services is one of a limited number of organizations approved by the Department of Education to service federal student loans. This speaks to the quality of the services that it provides.
Some of the benefits of AES are:
Vast Resources for Student Borrowers
AES as an organization has an immense reservoir of knowledge about student loans. This stems from more than 50 years of experience. Also, AES has a number of ancillary websites. These sites offer valuable resources for students and their families.
These site help college students explore career options. Also, it helps them find schools, and learn more about student aid opportunities.
With this, students have the opportunity to make their monthly payments via direct debit. This makes it easier to stay on track of payments. Additionally, borrowers who sign up for direct debit may be eligible for an interest rate reduction of .25%.
With American Education Services, there is paperless billing. You can opt for paperless billing to receive their statements by email instead of mail if you wish cutting down on clutter and helping the environment.
Also, American Education Services operates with mobile app. You can download the AES mobile app to manage your account and make payments. It is available for both Android and iPhone users.
In addition to the English version, Spanish speakers have access to a Spanish version of the site to ensure understanding.
Multiple Ways to Contact AES
Also, there are multiple ways to contact American Education Services. In addition to the phone, email, mail, and fax, you can communicate with AES representatives. This can be via the company’s social channels and its online live-chat options.
Shortcomings of AES
Below are some of the shortcomings of American Education Services:
The AES website is very dated in design and functionality. Thus, leaving a bit to be desired.
Though AES provides a lot of valuable information for student loan borrowers, it can be incredibly frustrating to navigate through the site. Thus, making it difficult for borrowers to find the information that they are looking for.
How to Contact American Education Services
Borrowers whose loans have converted to AES should do this. Visit the AES website to view all of the options and information available. A defining characteristic of AES is that it has continuously evolved. This is aimed at meeting the needs of its borrowers.
You can reach AES online, by phone, or by mail. Their hours of operation are Monday through Friday, from 7:30 am to 9:00 pm (ET).