Navient Student Loan Servicing Updates: Top 5 Complaints

Despite Navient Company being a Company that enhances the financial success of its customers by delivering innovative solutions and insights with compassion and personalized services, it is simply impossible to please all customers. On that background, we shall take a look at the top 5 complaints of unsatisfied Navient customers against Navient Student Loan Servicing. Here we go!

Navient Student Loan Servicing

Navient Student Loan

Navient Company provides loans to several people across America (USA). Both students and ordinary civil workers. They are majorly known to be selected by the American government to give out loans to students with little or low-interest rates.

They provide asset management and business processing solutions to education, healthcare, and government clients at the federal, state, and local levels.

Paying back student loans may feel overwhelming but creating a balanced financial plan can help you easily tackle your loans and become paid in full sooner than you think.

That is where Navient Company comes into a fault, with series of complaints from customers to even the workers of the company. it has even become a nationwide catastrophe.

In this post; Top 5 Complaints from Navient Student Loan Servicing 2020 Updates, we will look at the following:

Top 5 Complaints on Navient Company Services

1. Customer Service

In an ideal world, you should feel confident that you’ll get the help you need from your student loan servicer. But for many of our readers, that confidence is replaced with dread.

The biggest Navient complaint we noticed is that customer service representatives don’t know their stuff. “I have had to explain plans to them before,” wrote one reader.

Another reader, who had more than half a million in student loan debt, was frustrated that it was so difficult to get a person on the line.

“The automated response would not transfer me to a representative if my voice response is not deemed necessary or if I can find my answer on the website,” they added.

For some who did get to a customer service representative, they had to wait an inordinate amount of time or talk with multiple people to get their questions answered.

Possible Solutions:

If you have a general question about student loans, try searching online first. If, however, you have a specific question about your account, there’s not much you can do about wait times. Make sure to call when you have enough time to wait.

2. Communications

Not getting answers to your questions is bad enough, but many of our readers complained about getting information or advice from Navient representatives that was bad or outright false.

When one 2018 graduate called to find out what their repayment options were, the representative gave her only one and refused to talk about alternatives.

What’s more, the representative wouldn’t say how much the monthly payments would be on the plan they recommended.

“I ended up just working with the website and figured out what I needed to do by myself,” the reader wrote, “which was not the recommended plan that the servicer stated.”

Another issue some readers surfaced was that Navient representatives don’t volunteer information unless you specifically ask. This can be troublesome if you’re not familiar with the ins and outs of federal student loans and repayment options.

“They suggested I take the forbearance to get a lower initial payment and then enter into [income-based repayment],” wrote one reader. “They did not mention this would compound my interest.”

Another reader wrote something similar: “I asked for some time to pay my first payment and instead she gave me three months.

However, she did not disclose that they would be capitalized interest for those three months which ended up costing me $50,000.”

Possible Solutions:

Do your research on your issue before you call. That way, you can spot misinformation and know when you’re not getting the full story.

Navient Student Loan Servicing

3. Payments

While our sample size for Navient complaints is relatively small, the way Navient handles payments was publicized earlier this year when the California attorney general filed a lawsuit against the company, alleging misconduct.

Specifically, the lawsuit states that Navient misrepresented the order in which it applies extra loan payments, and also failed to properly discharge federal student debt for borrowers with a total and permanent disability.

This Navient scam is just one of many against the servicer currently. In our survey, we saw a handful of Navient complaints about how the servicer handles payments. One reader wrote,

“When I called for help with options after graduating and couldn’t pay my loan they told me my only option was forbearance. Years later after doing my own research, I’ve realized there were many other options.”

This practice is exactly one of the allegations the Consumer Financial Protection Bureau (CFPB) made in 2017 when it filed a lawsuit against Navient.

Other borrowers received bad information about how income-driven repayment plans worked and had a difficult time getting the servicer to get them on the right plan.

Possible Solutions:

If you run into problems with the way Navient handles your payments, file a complaint with the CFPB. As for ensuring you get the right information about payment options, it’s best to do your research before you call to know what you need.

Read Also:

4. Student Loan Forgiveness

Student loan complaints with the CFPB are not the first sign that Navient has faced issues with student loan borrowers.

For example, members of the American Federation of Teachers, the second largest teachers union in the U.S., filed a lawsuit against Navient last October.

The lawsuit alleges that Navient systematically misdirected borrowers into student loan repayment programs and types of forbearance, which do not qualify for Public Service Loan Forgiveness, which enables public servants to have their federal student loans forgiven after meeting certain requirements.

As a result, the plaintiffs claim that teachers, nurses, first responders, social workers, and other public servants are paying millions of dollars more than they otherwise should in student loan payments.

Possible Solutions:

Do your research on your issue before you call. That way, you can spot misinformation and know when you’re not getting the full story.

5. Bad Loan Assessment

Borrowers have also filed several complaints concerning the information that they have received about their loans.

Similar to the complaints above, borrowers said they were not aware of their repayment options or had trouble switching plans.

To avoid this, download the app and monitor your balance and payments. If you are seeing anything out of the ordinary, contact Navient right away to resolve the issue.

Possible Solutions:

If you have a general question about student loans, try searching online first. If, however, you have a specific question about your account, there’s not much you can do about wait times. Make sure to call when you have enough time to wait.

Navient Student Loan Servicing

Disparity Between Federal Student Loans/Private Student Loans

Private student loans are made by banks, credit unions, or finance companies, typically to students who need to borrow more than the federal loan limits allow.

Unlike federal student loans, private student loan eligibility requirements, interest rates, terms, and options vary by lender, loan program, and promissory note.

Federal student loans are loans made through the William D. Ford Federal Direct Loan Program (“Direct Loans”) or the Federal Family Education Loan Program (“FFEL Program” or “FFELP”).

Taxes and Interest Compared

You’re required to repay your student loans with interest. Interest is calculated as a percentage of the amount you borrowed.

You may be able to deduct interest paid on your eligible student loans on your federal tax return, which could reduce your taxable income.

Read Also:

Conclusion

Navient Company is a Company that enhances the financial success of customers and provides loans to several people across America (USA)

Paying back student loans may feel overwhelming but creating a balanced financial plan can help you easily tackle your loans and become paid in full sooner than you think.

That is where Navient Company comes into a fault, with series of complaints from customers to even the workers of the company.

It has even become a nationwide catastrophe. To avoid being a victim of these top 5 complaints from Navient student loan servicing Updates, you just have to follow the given steps.

Similar Posts

Leave a Reply

Your email address will not be published. Required fields are marked *