FedLoan Servicing Reviews

Learn all about Federal Loan Servicing (FedLoan).The article thoroughly reviews it and talks about the drawbacks, payment methods, repayment plans and loans serviced by FedLoan.

Updated by Sagar. on 11th June 2019

Pennsylvania Higher Education Assistance Agency PHEAA, runs the non-profit organization called MyFed Loan Servicing. This organization handles loans nationally.

There are nine federal loan servicers which are appointed by the government to service the student loans and handle the loan payments. FedLoans are one of them. The government will appoint one of the servicer when you apply for a federal student loan.

In the year 2012, FedLoan was appointed to service Federal student loans offered by the U.S. Department of Education (DOE) within the William. D. Ford Direct Loan Program.

You might get FedLoan as your servicer if you have opted for the following student loans.

  • Direct PLUS Loans 

  • Direct Consolidation Loans

  • Direct Unsubsidized Loans

  • Direct Subsidized Loans

Apart from different student loan servicing organizations, MyFedLoan servicing stands out as it was chosen to handle the Public Service Loan Forgiveness (PSLF) Programs

Employment certificate is required to get FedLoan Servicing. 

FedLoan servicing phone number is 1-800-699-2908.

Table of Contents

Loan servicing agencies and their roles

The agencies which works with you till you pay the last amount of your student loan and which manage everything related to student loans are called loan servicing agencies.

These companies tend to get money from your personal account and pay your dues.

Instead of just managing and taking money from your personal account they also guide you for repayment and different loan related topics.

Generally, when you go for federal student loans you will end up with MyFedLoan servicing as your servicer. These agencies are not government based they are usually assigned by the U.S. Department of Education.

If any query arises then you are required to approach your servicer they will guide you with all details.

Loans serviced by FedLoans

MyFedLoans offers the following loan program - William. D. Ford Federal Direct Loan Program Loans. It includes Subsidized, Unsubsidized, Direct PLUS, and Consolidation Loans. 

This servicing has sold and transferred services of FFELP loans because of the Enduring Continued Access to Student Loans Act.

It offers Direct Loans through the Department of Education (DOE). This way you don't get involved with third-party lenders.

Consolidation Requirements

Following are the eligibility requirements for Fedloan servicing.

1 - Either you have been a borrower who is out of school and have at least one Direct Loan or having FFELP loan which has a grace, deferment, default, repayment or forbearance status.

2 - If you have loan has the in-school status they do not lie under the eligibility criteria for consolidation.

3 - If you default your loan then you can only consolidate the loan in two conditions.

a) Repay your loans with Income-Driven Repayment plan. You need to generate a loan amount from the provided loan servicer.

b) You can reconsolidate the current consolidated loans under a few conditions.

The repayment period can be increased from 10 to 30 years under consolidation. It depends on your repayment plan which you have selected. The average of all interest rates from the underlying loans will be your new interest rate in your Direct Consolidation Loan.

[Learn why student loan consolidation can be a good option for you ]

Payment and Repayment Options under FedLoan Servicing

Payment options for FedLoan

Student loan payments can be made in the ways given below.

1 - Direct Debit

You can link your existing account to your FedLoan Servicing account. It will credit your money automatically on the same day for each month. By doing this, you get a benefit of 0.25% on your interest rate.

2 - Website

You can make a one-time payment through the website manually.

3 - App

You can download MyFedLoan App and you can pay your dues or make any extra payment through it.

4 - Phone

It provides an automized phone line which is available all time. Call on 1-800-699-2908, give your account number and bank account to make your payments.

5 - Mail  

You can send your payments to -

U.S. Department of Education

FedLoan Servicing

P.O. Box 530210

Atlanta, GA 30353-0210.

You can do this by sending a check or money order to the company. If you can't afford your current loan payments then FedLoan provides some options for repayment.

Repayment with FedLoan 

Your payments are considered under your discretionary income and your payments will be extended under new repayment terms if you go for any of the Income-Driven Repayment Plans (IDR).

Over the period your amount will increase with the increase in income, but you will get immediate relief in the current situation.

1 - Student loan forgiveness programs 

FedLoan Servicing is the only player which accepts an application under public service loan forgiveness. Though you have a different servicer, DOE will shift your current loans to FedLoan Servicing. You can download the form from the MyFedLoan website. The form is called employer certificate for.

[Read more on Student Loan Forgiveness Programs

2 - Deferment

Another option is loan deferment through which you can postpone your payments for up to 36 months. If your loan is subsidized then the government will take care of your accrued interest.

You can check your eligibility under the Manage Repayment Section of your account (FedLoan account) by taking a quiz online.

3 - Forbearance

Both forbearance and deferment are somewhere similar as they can help you to postpone your payments. However, under forbearance, you can pause your payments for up to 12 months at a time and you are responsible for interest accrued whatsoever loan type you have. 

[Read more on Deferment and Forbearance ]

4 - Discharge

You can get a discharge of your student loans if you get permanently disabled and are unable to work. You will be eligible for Total and Permanent Disability Discharge. It will forgive your remaining student loan amount. 


In the last three years, the Better Business Bureau has received 271 complaints about MyFedLoan Servicing. So BBB finally declared MyFedLoan Servicing as a not accredited company. Recently in the past 12 months, they have received 118 complaints.

Public reviewers have criticized the company’s customer service as impolite and unhelpful. Others have reported that their website doesn't have the appropriate information.

There are many people who claim that they had no issue what so ever with MyFedLoan servicing.

You need to provide your employment certification form to get an early confirmation for PSLF. We advise you to check with your new ECF annually. There are 8 million qualified borrowers for Public Service Loan Forgiveness but FedLoan servicing had accepted 874,379 borrowers.

Loan forgiveness is awarded to government workers and employees who have made 120 monthly payments in the income-driven repayment plan. However, many borrowers got disappointed when they came to know that they are not eligible for IDR plan or they have opted for the wrong repayment plan.

About 30,000 students receive TEACH grants every year but most of them end up having their grants converted into loans because they haven't certified that they are completing their public service requirements.

There was a lawsuit filed against FedLoan Servicing by Massachusetts Attorney General Maura Healey in August 2017. He put allegation on the company that they prevented student borrowers from making a qualifying monthly payment which they count towards loan forgiveness, changing the consequences of its loan servicing failures on students.

Drawbacks of FedLoan Servicing

When you have Federal loan, then probably you might end up with FedLoan Servicing automatically. You can't pick your own apple from the basket. 

In 2018, there was a survey on the company from many students loan planner readers. Half of the people gave 2.8 out of 5 stars to FedLoan.

There are many complaints against the company but let us see the most common complaints borrowers have spoken about.

Bad Customer Service

Generally, borrowers have mentioned that MyFedLoan has unhelpful, incompetent and inconsistent customer service.

It usually takes months to process simple requests which can be handled in 10-15 minutes. Borrower kept on getting different answers from different customer service representatives.

Sometimes they take years to fix one mistake occurred by them and create a problem for borrowers to file their audits.

Hurdles for Public Service Loan Forgiveness

FedLoan Servicing doesn't count the number of payments properly. To qualify for forgiveness, you need to have 120 payments done but they somehow come up with a less number.

Some student had to refinance instead of loan forgiveness because the company didn't count the payment accurately.

Usually, under PSLF burrowers don't get good information as they don't have trained or informed customer service people to guide them.

2017 was a bad year for MyFedLoan Servicing as they were sued by the Massachusetts attorney general Maura Healey. The complaint was made to the servicer of causing public servants to lose benefits and assistance through PSLF and the teacher education assistance for college and higher education TEACH grant programs.

Faults with Income-Driven Repayment

There are borrowers who claimed that they didn't get the appropriate amount of information regarding repayment plans. They have been really careless at planning the requests and this makes borrowers pay more.

In some cases, people have paid more to get a repayment plan which took them several months to qualify.

Making payments process horrible

FedLoan handles its payment process recklessly. In many cases, it has deducted the amount from borrowers account where it has charged. As low-quality customer service, borrowers didn't get any acknowledgment towards the problem and it kept deducting money from them.

You need to be very careful at choosing your loan servicing agency, do your research ask people and then take a decision.  

Tips to manage your student loan debt

If you're aware of your loan servicer and what are your repayment options, you're doing the right job to manage your student loan debt. If you have FedLoan as a student loan servicer then you should always stay connected with the company and try to get updates regarding the changes they make for repayment options.

[Also Read: How to manage student loan debt? ]

Get in contact with FedLoan Servicing

You can stay connected with the company by going to their contact page which also has a FAQ section.

Their call center is open Monday through Friday from 8 am to 9 pm Eastern time. You can also call on 1-800-699-2908 (or 717-720-1985 for international callers).

For forms, you can fax them on 717-720-1628.

FedLoan has different mailing addresses for different payment options, check the following list.

You can mail payments to - 

Department of Education FedLoan Servicing P.O. Box 530210 Atlanta, GA 30353-0210

You can mail a Direct Debit application to -

FedLoan Servicing, P.O. Box 3661 Harrisburg, PA 17105-3661

Letters and correspondence should be addressed to -

FedLoan Servicing, P.O. Box 69184 Harrisburg, PA 17106-9184

Mail credit disputes to -

FedLoan Servicing Credit, P.O. Box 60610 Harrisburg, PA 17106-0610

Consolidation-related letters to -

FedLoan Consolidation Department, P.O. Box 69186 Harrisburg, PA 17106-9186

If you need to contact the Office of Consumer Advocacy - 

Pennsylvania Higher Education Assistance Agency

The Office of Consumer Advocacy, 1200, North 7th Street, Harrisburg, PA 17102.

How to find your loan servicer

Once you apply for a loan, you will be contacted by a loan servicer. If you still want to search the basket for other options then you should have a look into the National Student Loan Data System (NSLDS) with your FSA ID. After you submit your FAFSA, you will receive an FSA ID.

Your loans can be transferred by the Department of Education from one servicer to another. There are several Federal student loan servicers available but you get a servicer which is decided by the Department of Education. You will receive a letter if you're provided with a new servicer.


  Who is my Federal loan servicer?

  • FedLoan Servicing (PHEAA)

  • CornerStone.


  • Granite State – GSMR.

  • Navient.

  • Great Lakes Educational Loan Services, Inc.

  • Nelnet.

  • HESC/Edfinancial

  Are AES and FedLoan the same?

They both are the part of The Pennsylvania Higher Education Assistance Agency (PHEAA) but they both are separate components.

  Can I pay FedLoan with a credit card?

No, currently MyFedLoan’s are not accepting credit card payments.

  Who runs FedLoan?

The Pennsylvania Higher Education Assistance Agency (PHEAA).

  I can't afford my full payment amount. What are my options?

You have a few options to look upon,

Changing your due date.

Change your payment plan.

Use deferment or forbearance to postpone your payments.

  I have multiple servicers. Why do I have different monthly installment amounts?

Under the IDR plan, your monthly payment will be considered on the basis of the percentage of loan debt that you have.

For example, if you have 25% on other loan debt and 75% with MyFedLoan service then they will consider your monthly installment at 75% as your IDR payment amount.

  How can I review my qualifying payment count?

You can log into your account on MyFedLoan website then find your payment counts under view loan details.

  Which Federal student loan types require consolidation prior to being eligible for an Income-Driven Repayment plan?

No Federal student can come under IDR however -

Direct PLUS Loan (For parents) and Direct PLUS Consolidation Loan can come under ICR (Income Contingent Repayment Plan) but not under IDR (Income-Driven Repayment).

  I sent an application or form. When will I find out the results?

Notification will be generated if they have received your application, if not then it will take 7 to business days.

  Can I change my due date?

If you don't pass your due then you can change it but if you're entering repayment for the first time then they will not change your due date before you make at least one payment towards your loan.

The following are the criteria to change your due date - 

  • Make your first scheduled payment.

  • Be in repayment.

  • Request a date between the 1st and 28th of the month.

  • Be current on your monthly payments.