FedLoan Servicing, as run by the Pennsylvania Higher Education Assistance Agency (PHEAA), was one of four servicers to be awarded a Federal Loan Servicing Contract with the Department to service the nation's growing federally-owned student loan portfolio. (www.pheaa.org/about/press-releases/2010/jul-02.shtml)
In August 2009, PHEAA was approved by the Department to service Federal FFEL loans sold
to the Department under the Ensuring Continued Access to Student Loans Act (ECASLA). Under this portion of the servicing contract, PHEAA is currently servicing loans for 1.5 million borrowers. (www.pheaa.org/about/press-releases/2010/jul-02.shtml)
The federal Consumer Financial Protection Bureau... supervises at least seven non-bank contractors that handle more than 1 million accounts [including] the Pennsylvania Higher Education Assistance Agency, or PHEAA, which has 12 million borrowers and $272 billion in student loans. (Debra Erdley, Dec. 3, 2013)
If PHEAA/FEDLOAN processing errors are affecting you, you have options:
- PHEAA: Call their Customer Service line, 1-800-699-2908 Monday through Thursday 8:00 AM to 11:00 PM (ET). You also have the option to request "escalation to a supervisor," which may get your loan request processed more quickly.
- Better Business Bureau: Check your state at www.BBB.org
- Federal Consumer Financial Protection Bureau:
-- Submit a Student Loan Complaint: https://help.consumerfinance.gov/app/studentloan/ask
- Lastly, don't be afraid to contact your local Senator or Representative. They may be able to assist you in resolving especially complicated issues. The Student Loan companies DO respond to Congressional requests for resolution.
