Aidvantage is a company with a singular mission to help you manage the repayment of your federal student loans. This guide will walk you through everything you need to know about Aidvantage, your federal student loans, and the various options available to you. We’ll explain complex concepts in simple terms, so even a 5-year-old could understand the basics.
What is Aidvantage?
Imagine Aidvantage as a friendly helper who knows all about student loans. Their job is to make sure you understand your loans and help you pay them back in a way that works best for you. They’re like a bridge between you and the Department of Education, which is the big organization that gave you money for school.
Important Updates on Student Loan Repayment
The Student Loan Payment Pause
Big News: The government has decided to give students more time before they need to start paying back their loans. This is called a “payment pause.”
What does this mean? You don’t have to make payments on your student loans right now. The pause will last until one of two things happens:
- The government is allowed to start a new program to help with student debt
- The courts finish deciding if the new program is okay
After that, you’ll have 60 more days before you need to start paying again. If nothing is decided by June 30, 2023, you’ll start paying 60 days after that.
Don’t worry! Aidvantage will let you know before you need to start paying again.
Student Debt Relief Program
Some people in charge (called courts) have said the government can’t start their new program to help with student debt right now. The government is trying to change their minds.
Want to know more? Visit StudentAid.gov for the latest information.
Important Information for Borrowers
New Mailing Address
Aidvantage has moved! If you need to send them a letter, use this new address:
P.O. Box 300001
Greenville, TX 75403-3001
Remember: The address for sending payments hasn’t changed.
Transferred from FedLoan?
If you used to work with FedLoan and now you’re with Aidvantage, don’t worry! Aidvantage has special information just for you. They want to make sure you know what’s different and what’s the same.
Borrower Defense Discharges
The Department of Education has decided to help more people who might have been tricked by their school. If you think this might be you, visit the Borrower Defense Updates page to learn more.
Need help? Call 1-855-279-6207:
- Monday to Friday: 8 a.m. to 11 p.m. Eastern time (ET)
- Saturday and Sunday: 11 a.m. to 5 p.m. ET
Changes to Income-Driven Repayment (IDR) Plans
The Department of Education has made some changes to IDR plans. These plans help make your payments more affordable based on how much money you make.
State Ombudsman Information
An ombudsman is like a helper who can solve problems between you and your loan servicer. If you want to know about ombudsmen in your state, visit: https://studentaid.gov/feedback-ombudsman/disputes/state-ombudsman
Payments During COVID-19 Suspension
If you made payments on your loans during the COVID-19 payment pause, Aidvantage has special information for you. Make sure to check their website for details.
Auto Pay Confirmation
Important: If you use Auto Pay (where payments are automatically taken from your bank account) and your loans are owned by the Department of Education, you need to do something!
You must tell Aidvantage if you want to keep using Auto Pay when payments start again. Log in to your account and choose if you want to keep using Auto Pay or stop it.
Student Loan Servicing: What You Need to Know
Income-Driven Repayment (IDR) Plans
If you’re in an IDR plan, you need to tell the government how much money you make every year. This helps them figure out how much you should pay. You can do this on StudentAid.gov.
Student Loan Interest and Tax Statements
Do you have questions about the interest on your loans or tax forms related to your loans? Aidvantage has answers for you on their website.
Beware of Scams
Important Warning: Some bad people might try to trick you by saying they can help with your student loans if you pay them money. Be careful!
Remember:
- Aidvantage and the Department of Education will never ask you to pay for help with your loans.
- If someone asks for money to help with your loans, it’s probably a trick.
- Learn how to spot these tricks to protect yourself.
Natural Disaster Help
If you’ve been affected by a natural disaster like a hurricane or flood, Aidvantage can help. Call them at 800-722-1300 to learn about special options for people in your situation.
Understanding Your Repayment Options
Income-Driven Repayment (IDR) Plans
IDR plans are special ways to pay back your loans based on how much money you make. They can make your payments smaller if you don’t make a lot of money.
Other Repayment Plans
There are different ways to pay back your loans. Some plans have you pay the same amount every month, while others start small and get bigger over time.
Federal Loan Consolidation
Consolidation is like putting all your loans into one big loan. This can make things simpler because you only have one payment to remember.
Deferment and Forbearance
These are special options that let you pause your payments for a while if you’re having trouble paying. It’s like pressing a pause button on your loans.
Forgiveness, Cancellation, and Discharge
In some special cases, you might not have to pay back all of your loans. This can happen if you work certain jobs or if something bad happens that makes it impossible for you to pay.
Military Benefits
If you’re in the military, you might be able to get special help with your loans. This includes benefits under the Servicemembers Civil Relief Act (SCRA) and other programs just for military members.
How to Know if the Department of Education Holds Your Loans
To find out if your loans are held by the Department of Education, follow these easy steps:
- Log in to your Aidvantage account
- Look for the “My Loan Servicers” section
- If you see a service name that starts with “DEPT OF ED,” that loan is held by the Department of Education
Frequently Asked Questions (FAQs)
What is Aidvantage?
Aidvantage is a company that helps manage federal student loans. They work with borrowers to make repayment easier and more understandable.
Do I need to pay Aidvantage for their services?
No, you never need to pay Aidvantage for help with your federal student loans. Their services are free.
When will I need to start making payments on my loans again?
The exact date isn’t known yet, but Aidvantage will let you know well before payments need to restart.
What should I do if I can’t afford my loan payments?
Talk to Aidvantage about Income-Driven Repayment plans or other options like deferment or forbearance.
How can I protect myself from student loan scams?
Be cautious of any company asking for money to help with your student loans. Legitimate help is always free through your loan servicer or the Department of Education.
Conclusion
Managing your student loans might seem scary, but Aidvantage is here to help. Remember, they’re on your side and want to make repayment as easy as possible for you. Always reach out if you have questions or concerns about your loans.
By staying informed and understanding your options, you can take control of your student loan repayment journey. Remember to check the StudentAid.gov website regularly for the most up-to-date information on federal student loan programs and policies.