Direct PLUS, Subsidized, and Unsubsidized Loans - Servicing and Repayment FAQ
Q. Who will service the Direct Loans?
A. At the time of repayment, the Department of Education will assign the borrower to one of twenty different servicing agencies.
Q. Do I qualify for the Public Service Loan Forgiveness Program?
A. All Direct Subsidized and Unsubsidized Loans qualify for the Public Service Loan Forgiveness Program provided the borrower meets other eligibility requirements. FFELP Stafford loan borrowers may be eligible if they consolidate their loans through the Direct Loan program. Direct PLUS loans do not qualify for the Public Service Loan Forgiveness Program. For more information on Loan Forgiveness Programs/Cancellations, please click here.
Q. What if some of my federal student loans are serviced by a lender/guarantor and another part of my loans are serviced through the Department of Education?
A. This is a situation that many of our students will face. If you have previously received FFELP loans, you will now have loans through both FFELP and Direct Lending. If you would like to make payments to one source once repayment starts, you must take out a federal consolidation loan which will combine both your FFELP and Direct Lending loans into a single loan. Information pertaining to federal consolidation can be found online through the Department of Education's Web site.
Q. What if my loans are not consolidated?
A. For all loans received under FFELP, you will repay a private lender or the designated loan servicer that made the loan. For all loans under DL, you will make payments to one or more of the Direct Loan Servicing Centers. Without a consolidation loan, you must make separate monthly payments to each servicer. For more information, you can use your Federal Student Aid PIN to access the National Student Loan Data System (NSLDS) Student Access website at www.nslds.ed.gov.
Q. How does the Federal Direct Consolidation process work?
A. Information pertaining to the federal consolidation process can be found online through the Department of Education's Web site.
Q. What type of repayment plans are offered through Direct Lending?
A. When the time comes to repay your student loans, you can pick a repayment plan that caters to your financial needs. The repayment plans available under Direct Lending can be found on the Department of Education's Web site.
Q. How can I keep track of my Federal Student Loans?
A. Keeping up with your Federal Student Loans is a huge responsibility and managing your debt is a crucial part of having a successful financial future. The National Student Loan Data System (NSLDS) Student Access website, www.nslds.ed.gov, provides a central database for student aid and Roanoke College strongly recommends using the NSLDS website in keeping track of your financial obligations. The website allows students to view their information from schools, guaranty agencies, the Direct Loan program, as well as other programs, and can be accessed with your Federal Student Aid PIN; the same PIN used when electronically signing MPN or when completing your FAFSA. A duplicate PIN can be sent to you at www.pin.ed.gov.