Covid-19 and school loans

leebee

DIS Veteran
Joined
Sep 14, 1999
I have just discovered that the Feds are NOT making the automatic withdrawals for DD's school loan payments. Any idea who she can contact to STOP this? We want to pay the loans- last thing I need is for the interest to collect when I can afford to make the payments. DD can't find the paperwork, of course. Is there any way to get them to start withdrawing the payments again?
 
I'll try remember to ask my daughter tonight. She's been using this time without interest accruing as a boost to her push to pay off her balance even earlier.
 
Interest is not accruing right now.

I think you need to find out who the actual lender is and contact them (NelNet, etc).
 
Per the email I received from Navient. You need to manually make payments during this time. “Note: If you choose to make payments during the administrative forbearance period, you may do so; however, you'll need to make those payments manually (not through auto debit). Given the 0% interest rate explained above, any payments you make during the March 13, 2020, through Sept. 30, 2020, period will be applied to paying down the principal amount of your loans after accrued interest from other periods has been resolved” Depending on your lender the same policy may apply
 


This is good to know, dd23 and ds22 also have private loans, I don’t think ds has set anything up yet, but Dd should then be paying more on her private loans.
 
We had no idea this was happening, until the checking account didn't balance. DD said she didn't receive any notice of this. She's looking for her loan papers, but as she's moved 3 times in the past 5 years, I don't hold out a lot of hope for her finding them. Time to start digging, I guess, because this would be a great time, at zero % interest, to get a little jump on the repayment (or use that relief check to help pay them down, too). It just annoys me that this has happened without any notice. It annoys me, and it's why I don't like any kind of auto-pay, because then I am not necessarily in control of what's happening to my money... someone else is!
 
We had no idea this was happening, until the checking account didn't balance. DD said she didn't receive any notice of this. She's looking for her loan papers, but as she's moved 3 times in the past 5 years, I don't hold out a lot of hope for her finding them. Time to start digging, I guess, because this would be a great time, at zero % interest, to get a little jump on the repayment (or use that relief check to help pay them down, too). It just annoys me that this has happened without any notice. It annoys me, and it's why I don't like any kind of auto-pay, because then I am not necessarily in control of what's happening to my money... someone else is!

if she's got repayment through fed loan servicing and has on-line access to her account then she should have been notified through the automated system. my dd has her's through the feds and we got a notification alert email in march and again in april (same email system that notifies us each month that her payment was successful). the same system can be used to pick and choose which loan you want to apply extra payments to via a transfer from a bank account.
 


It’s good to be able to pay down the principle on the student loan. Just don’t forget to pay towards other loans that have a higher rate first.
 
Our son is still in school. But we started paying down his loans to help out and keep him from owing as much when he graduates.

Early on, I heard a news report that interest would be waived because of the pandemic.

We've steadily paid on the principle and glad he gets a reprieve from some of the interest
 
It was covered in many news stories regarding how the CARES act affects student loans. They may have assumed those with loans were already aware because of the coverage. Her online account should have a letter/notice as well. I check my fedloan account regularly; I even have the app on my phone. I had a letter there shortly after the bill was signed.
 

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