You might be wondering “Is Edfinancial Services handling the student loans?” Maybe you find yourself in a rough period of repayment even as EdFinancial is often criticized for its poor customer support compared to other federal student loan servicers. Below are some of such complaints to prove that you are not to blame.
Here’s what you need to know about the main complaints about EdFinancial Services and what you can do if your loans are being serviced.
What is EdFinancial Services?
As a recipient of federal loans, a mortgage servicer is assigned to you. You have no choice as to which servant you are having.
One of the nine student loan service providers is Ed Financial Services. The company is based in Knoxville, Tennessee. This funds direct loans from the Federal Family Education Loan (FFEL) program and federal loans.
Complaints about Edfinancial Services
EdFinancial Services does not receive as many complaints as other loan service providers, however, as shown in online reviews, it still leaves consumers disappointed.
The Better Business Bureau (BBB) has an A+ score, but there are 25 reports from consumers on the web.
The Consumer Financial Protection Bureau (CFPB) has 253 complaints about the service provider, with only 41 claims for 2019 (as of Aug. 24, 2019). Let’s look at the top two creditors’ grievances.
1. Poor Customer Service
A reputation for subpar customer service has been established by EdFinancial Services. One borrower decided to change repayment plans to a standard plan from a phased program.
Through the EdFinancial website, they asked for the move, but only some of the loans were changed.
According to the study, many emails to EdFinancial Services have gone unanswered. The creditor also found that they had never demanded a forbearance on their loan.
The customer service agent said they were unable to engage in a standard plan for repayment. Yet they had already changed part of their loans to a Standard Program.
EdFinancial Service told the creditor that forbearance had been imposed on the account out of respect since the monthly payments increased.
The borrower, however, was just trying to quickly pay off their loans. Each EdFinancial decision made (without the permission of the borrower) worked against it.
Student Loan Planner surveyed readers on federal loan service providers in the summer of 2018. One borrower shared his experience with the poor customer service provided by EdFinancial.
To solve a problem, he had to contact them, and he thought that they were short with him and would only help if it also helped EdFinancial Services. He noted the lack of empathy of the servant for his creditors.
2. Mishandling of Loan Payments
One of a loan servicer’s many functions is managing compensation for student loans. Most customer complaints are the product of EdFinancial’s poor transaction management.
On the CFPB website, one consumer complaint reported that their credit report indicated that they were overdue on loan payments for 90 days.
We were signed up with EdFinancial for autopayments but at any point, they did not receive any contact from the loan servicer.
Another borrower complained to the CFPB about a 90-day late payment showing their account. But there was a delay in their loan. A history of payment also reveals that the balance was OK the month before but was unexpectedly flagged as 90 days late.
If your loans are serviced by EdFinancial, log into your account and verify payment records to avoid issues like these.
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What EdFinancial Services Gets Right
EdFinancial Services excels in other fields despite its shortcomings in dealing with lenders.
His website’s support page is stronger than many other federal loan service providers. The format is easy to read and comprehend.
Loan forgiveness, deferment, mitigation, and tax information are available. The platform also provides lenders with a loan repayment calculator as a tool.
EdFinancial Services also provides special assistance to members of the military service to ensure that they are aware of the possible benefits of student loans, including:
- Servicemembers Civil Relief Act (SCRA)
- Military Service Deferment
- Post-Active Duty Student Deferment
- Department of Defense (DOD) Loan Repayment Program
- Public Service Loan Forgiveness (PSLF)
On top of that, EdFinancial Services provides tips for service members about to deploy. It offers a designated Servicemember Liaison, too, who assists current and former members of the military with their student loans.
EdFinancial Services isn’t known for having the best customer service. Hopefully, you can find the information you need through their website.
What Can You Do if Ed Financial Services is Your Loan Servicer?
Is your loan service provider EdFinancial Services? Know that by poor customer service, you don’t have to suffer.
Consolidating your loans through a new service provider is one option to consider. The new loan service provider will pay off your loans.
You will be faced with a new loan that includes new terms, costs, and monthly payments. In addition to EdFinancial, the following federal loan service providers offer direct restructuring loans:
- CornerStone Education Loan Services
- FedLoan Servicing
- Granite State Management & Resources
- Great Lakes
- Missouri Higher Education Loan Authority (MOHELA)
- Oklahoma Student Loan Authority (OSLA)
During the consolidation loan application process, you’ll be able to choose your loan servicer. Take time to research services before making a decision. The last thing you want to do is switch to another poor loan servicer.
Federal lenders may also choose to use a private lender to refinance student loans. Keep in mind that your loans will become private student loans when you refinance.
You would lack access to federal loan security. It covers plans of deferment, forbearance, redemption, and forgiveness.
Are you unhappy with the servant of your loan? Decide if your present repayment course is worth continuing with the pain. If not, prepare one of the suggestions above to take control of your loan repayment.
One of the biggest financial choices in your career is the repayment of student loans. If you have other options, don’t waste time with a bad loan service provider.
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Let this resource guide you if you seek comprehensive material on EdFinancial Services’ customer complaints. Additionally, do not forget to share. Good luck!