Understanding how to handle and pay your student loans is critical in today’s volatile market. This tutorial focuses on negotiating the loan servicing transition from Great Lakes to Nelnet and gives a clear path for making payments under the new management.
Transition from Great Lakes to Nelnet
MyGreatLakes Higher Education Corp., a long time participant in federal loan servicing, has been moving its portfolio to Nelnet since March 2022. If Great Lakes was your servicer, you would have been advised of the change two weeks before the transfer date. After the transfer, all new payments must be set up and handled via Nelnet.
Setting Up Your Account with Nelnet
After your loan is moved, you must create a new online account with Nelnet. This is necessary for managing payments and keeping track of your loan amount. Registering for online access to Nelnet’s website enables you to see monthly billing bills and make direct payments.
Payment Methods:
1. Online Payments:
- Nelnet’s online platform offers the most versatile payment options, including monthly and additional payments to the principal or particular loans depending on your preferences.
2. Mobile App:
- Payments may also be done via Nelnet’s mobile applications, which are available for iOS and Android. These applications provide reminders about due dates and completed transactions.
3. Telephone Payments:
- Nelnet provides a 24/7 automated phone system for making payments. During business hours, you may also chat with a salesperson for more customized assistance.
4. Mail:
- If you prefer conventional means, money may be sent. To guarantee that checks are processed on time, send them at least 5-7 working days before their due date.
Managing Your Payments
- Enrolling in AutoPay, which automates payments straight from your bank account, may cut your interest rate by 0.25 percentage points.
- Income Driven Repayment Plans These plans alter monthly payments depending on income, which might be very beneficial if your financial position changes.
- Nelnet offers deferment and forbearance options for financial difficulties. However, interest may still accumulate during these times.
Online Payments and Mailing Options: You can make payments online or by mail.
Mailing Address: For Direct Loans: Send payments for Ministry of Education serviced loans to:
Great Lakes,
US Department of Education,
PO Box 790321,
St. Louis, MO 63179-0321, USA.
MyGreatLakes Portal: Ideal for students needing financial assistance for their education.
Conclusion
Understanding your payment choices and how to use them with Nelnet will make managing student loans easier. You may avoid typical loan management errors by properly setting up your account and selecting the appropriate payment option for your requirements.
FAQs
Q1. How do I set up online payments with MyGreatLakes?
Ans: You can set up online payments by registering for an account on the MyGreatLakes website and linking your bank account.
Q2. Can I make payments through the MyGreatLakes mobile app?
Ans: Yes, you can make payments using the MyGreatLakes mobile app available for both iOS and Android devices.
Q3. What is the mailing address for Direct Loan payments?
Ans: Payments should be sent to: Great Lakes, US Department of Education, PO Box 790321, St. Louis, MO 63179-0321, USA.
Q4. How can I benefit from using the MyGreatLakes portal?
Ans: The portal offers convenient access to manage your loans, make payments, and apply for repayment options that suit your financial situation.
Q5. What should I do if my loan is transferred from Great Lakes to another servicer?
Ans: You should receive notification of the transfer and instructions for setting up a new account with the new servicer to continue making payments.