Aidvantage is a federal student loan servicer that took over millions of loans previously managed by Navient in December 2021. It’s a subsidiary of Maximus Education, a company that provides services to governments worldwide.
Imagine Aidvantage as a helper for your piggy bank. Instead of you having to count all your coins and bills yourself, Aidvantage does it for you and helps you put money in or take it out when needed.
Why Did Aidvantage Take Over Navient’s Loans?
Navient, the previous loan servicer, faced many complaints and lawsuits about how they treated student borrowers. It’s like when a babysitter doesn’t do a good job, so your parents find a new one. The government wanted to find a new company to help take care of student loans, and that’s where Aidvantage came in.
How Aidvantage Works
When you have a federal student loan, the U.S. Department of Education is like your bank – they lend you the money. But they need help managing all those loans, so they ask companies like Aidvantage to help out.
Aidvantage does things like:
- Sending you bills
- Collecting your payments
- Answering your questions
- Helping you if you have trouble making payments
What Borrowers Need to Know About Aidvantage
1. Your Loan Details Stay the Same
When your loan moved from Navient to Aidvantage, some things didn’t change:
- Your account number
- The terms of your loan (like interest rate and how long you have to pay it back)
- Your user ID and password
It’s like moving to a new house – your toys and clothes stay the same, you just put them in a different place.
2. New Website and Contact Information
You’ll use a new website to check your loan information and make payments. It’s like getting a new phone – you can still call your friends, but you use a different device.
3. Be on the Lookout for Mail
Aidvantage should have sent you a welcome letter with information about your account. It’s important to read this letter, just like it’s important to read a note from your teacher.
4. Not All Navient Loans Moved
Some loans stayed with Navient. If you’re not sure where your loans are, you can check your Federal Student Aid account or call 1-800-433-3243 to find out.
Services Offered by Aidvantage
Aidvantage offers several services to help you manage your student loans:
Making Payments
You can pay your loans in different ways:
- Online using your bank account
- By mail with a check
- By phone using a checking account, savings account, or debit card
Automatic Payments
You can set up Auto Pay to have your payments taken out of your account automatically. This is like setting an alarm clock so you don’t forget to wake up – it helps you not forget to make your payments.
Answering Questions
If you have questions about your loans or payments, Aidvantage can help answer them.
Changing Your Repayment Plan
If you’re having trouble making payments, Aidvantage can help you find a new plan that might work better for you. It’s like if your allowance isn’t enough to buy the toys you want, so you ask your parents for a different plan.
Forbearance and Deferment
These are special options that let you pause your payments for a while if you’re having financial difficulties. It’s like calling a time-out in a game when you need a break.
How Aidvantage is Performing
While Aidvantage is supposed to provide better service than Navient, there have been some issues:
- Many borrowers have complained about long wait times and inconsistent information
- The Department of Education held back $2 million from Aidvantage because they didn’t send out statements on time to many borrowers
It’s like when a new teacher starts at school – sometimes it takes a while for everything to run smoothly.
Loan Forgiveness and Aidvantage
Loan forgiveness means you might not have to pay back all of your loan. Aidvantage can help you figure out if you qualify for forgiveness programs, but they don’t make the final decision.
If you do qualify for a forgiveness program, your loan might be moved to a different servicer. It’s like if you’re playing a game and reach a new level – you might have to switch to a different game board.
How to Contact Aidvantage
If you need help with your loans, you can contact Aidvantage in these ways:
- Phone: Call 1-800-722-1300
- Email: Through their “Help Center” on the website
They’re available to help at these times (Eastern Time):
- Monday: 8 a.m. to 9 p.m.
- Tuesday and Wednesday: 8 a.m. to 8 p.m.
- Thursday and Friday: 8 a.m. to 6 p.m.
Frequently Asked Questions
Is Aidvantage a Real Company?
Yes, Aidvantage is a legitimate company chosen by the U.S. Department of Education to service federal student loans.
Can I Choose Aidvantage as My Servicer?
Usually, you can’t choose your servicer. It’s assigned to you. But if you consolidate your loans (which means combining multiple loans into one), you might be able to switch servicers.
What if I’m Not Happy with Aidvantage?
If you have problems with Aidvantage, you can file a complaint with the Consumer Financial Protection Bureau or the Department of Education’s Federal Student Aid Feedback System.
Is Aidvantage a Lender?
No, Aidvantage is not a lender. They just help manage the loans that the government gives out.
Is Maximus Federal Services a Government Agency?
No, Maximus Federal Services (Aidvantage’s parent company) is a private company that works with the government, but it’s not part of the government itself.
Tips for Managing Your Student Loans with Aidvantage
- Keep Your Contact Information Updated: Make sure Aidvantage always has your current address, phone number, and email. This way, you won’t miss important information about your loans.
- Use the Online Account: Set up and regularly check your online account. This makes it easy to see your loan balance, make payments, and find important documents.
- Set Up Auto Pay: If you can, set up automatic payments. This helps you avoid missing payments and can even lower your interest rate a little bit.
- Ask Questions: If you don’t understand something about your loans, don’t be afraid to ask Aidvantage for help. That’s what they’re there for!
- Keep Records: Save all the letters and emails you get from Aidvantage. If there’s ever a problem, having these records can help.
- Explore Repayment Options: If you’re having trouble making payments, ask Aidvantage about different repayment plans. There might be a plan that works better for your situation.
- Be Aware of Forgiveness Programs: If you work in certain jobs, like teaching or government work, you might qualify for loan forgiveness. Ask Aidvantage if any of these programs apply to you.
- Watch Out for Scams: Some companies might try to charge you money to help with your student loans. Remember, Aidvantage’s help is free, so be careful of anyone asking for payment to assist with your federal student loans.
Conclusion
Managing student loans can feel like a big, complicated game, but Aidvantage is there to help you play it. While they’ve had some growing pains since taking over from Navient, they offer many services to help borrowers understand and manage their loans.
Remember, your loan terms haven’t changed just because you have a new servicer. If you’re having trouble with your loans or just have questions, don’t hesitate to reach out to Aidvantage. They’re there to help you navigate the world of student loans and find the best path forward for your unique situation.
By staying informed, asking questions, and exploring your options, you can take control of your student loans and work towards a debt-free future. And remember, just like learning to ride a bike or tie your shoes, managing your student loans gets easier with practice and the right help.