Are you wondering about the best student loan repayment plans? There might be some good news in store for you. The Department of Education has announced its plan to streamline the manner by which you pay federal student loans.
CS Monitor mentioned that in an announcement that the Department of Education made Monday, it highlighted its plan to launch an online student loan portal where transactions relative to student loan repayment will be made available. Some of the processes that will be handled by the student loan portal include making payments, signing up for a repayment plan and finding answers to FAQs regarding student loans.
Loan Servicers
One thing that complicates the way borrowers choose the best student loan repayment plan is the existence of servicers. Since these loan servicers are the ones handling billing and student loan repayment transactions, according to Student Aid, borrowers are often left confused as to the status of their loans.
According to Betsy Mayotte, American Student Assistance director of regulatory compliance, "Borrowers saying it's complicated to keep track of their loans has been a running theme for many years." This problem is one thing that the current change in repayment scheme wishes to change.
With the availability of an online student loan portal, borrowers may be able to keep track of their student loans. They would also have the free hand to choose the student loan repayment plan that suits them best.
More Direct Communication
Through the online student loan portal, communication regarding student loans will be made directly between the Department of Education and the borrower. This eradicates the need for any intervention from a loan servicer. It also makes it easy for student loan borrowers to file complaints against their loan servicers.
Jennifer Wang, Institute for College Access & Success director at Washington, D.C., said that borrowers should always have consistent and accurate information regarding their student loans. This information would be regardless of the loan servicer that they have.
Having an online student loan portal will help borrowers choose among the best student loan repayment plans available. It will also avoid confusion among borrowers with regards to the status of their student loans.
