Many student loan borrowers may have a different servicer in October

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Look out for notices about the change

Scott Buchanan, executive director of the Student Loan Servicing Alliance, a trade group for federal student loan servicers, said impacted borrowers should get emails about the change. These notices will explain the steps they’ll need to take, Buchanan said.

Higher education expert Mark Kantrowitz has been tracking the transfers.

Borrowers previously with FedLoan should be transferred to MOHELA, or the Missouri Higher Education Loan Authority, he said.

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Those who were serviced by Granite State will now be with EdFinancial Services. Accounts with Great Lakes Higher Education, Kantrowitz said, should be managed by Nelnet going forward.

And Navient’s borrowers will be moved to Maximus Federal Services/Aidvantage.

You can check to see if you have a new servicer at StudentAid.gov., Kantrowitz said.

Prepare for glitches

You’ll also want to make sure your new servicer has your latest contact information, he said, as these details might have changed during the Covid pandemic.

Also, Kantrowitz said, “whenever there is a change of loan servicer, there can be problems transferring borrower data.”

“Borrowers should be prepared for the possibility of glitches,” he added.

Payments due in roughly two months

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