Posted Date: August 27, 2013

Author:  Jana Hernandes, Service Director, Operations, Federal Student Aid

Subject: Loan Servicing Information - Customer Service Performance Results and Allocation Information

Since September 2009, the Department of Education (the Department) has been assigning federally-owned loans to a team of federal loan servicers.  Per our contractual agreement with each of our federal loan servicers, the Department will annually measure servicer performance in the areas of customer satisfaction and default prevention.  We will then use these results to determine each servicer’s allocation of future loan volume when applicable.

This announcement is intended to share customer service performance results and the allocation information with the financial aid community.  The Department measured customer satisfaction with each member of the federal loan servicing team exclusively through independently administered customer satisfaction surveys conducted through June 2013.  We assessed default prevention through analysis of each servicer’s portfolio. We determined allocations in accordance with contractual agreements.

The federal loan servicers with fourth quarter customer service performance results, fourth year customer service performance results and fifth year allocations are as follows:

  • FedLoan Servicing (PHEAA)

  • Great Lakes Educational Loan Services, Inc.

  • Nelnet

  • Sallie Mae

The Not-For Profit (NFP) members of the federal loan servicing team with fourth quarter customer service performance results are as follows:

  • Aspire Resources Inc.

  • CornerStone

  • COSTEP

  • EDGEucation Loans

  • EdManage

  • ESA/Edfinancial

  • Granite State – GSMR

  • KSA Servicing

  • MOHELA

  • OSLA

  • VSAC Federal Loans

We provide the customer service performance results and allocation information in four attachments to this announcement. 

  • In the attachment titled “Explanation of Allocation and Customer Service Performance Measure Methodology,” we provide an explanation of the overall performance measure methodology.

  • In the attachment titled “Quarterly Customer Service Performance Results for Not-For-Profit (NFP) Members of the Federal Loan Servicing Team – Quarter Ending June 30, 2013,” we provide the fourth quarter’s customer satisfaction and default prevention results for Aspire Resources Inc., CornerStone, COSTEP, EDGEucation Loans, EdManage, ESA/Edfinancial , Granite State – GSMR, KSA Servicing, MOHELA, OSLA, and VSAC Federal Loans.

  • In the attachment titled “Quarterly Customer Service Performance Results for FedLoan Servicing (PHEAA), Great Lakes Educational Loan Services, Inc., Nelnet, and Sallie Mae – Quarter Ending June 30, 2013,” we provide the fourth quarter’s customer satisfaction and default prevention results for these four servicers.

  • In the attachment titled “Final Calculation for Fifth Year’s Allocation for FedLoan Servicing (PHEAA), Great Lakes Educational Loan Services, Inc., Nelnet, and Sallie Mae,” we provide the customer satisfaction and default prevention results for these four servicers and the allocation each servicer will receive in the fifth year.

We value the participation of all customers in the loan servicing process and thank you for your ongoing feedback.

Attachments/Enclosures:

Explanation of Allocation and Customer Service Performance Measure Methodology in PDF Format, 53KB, 4 Pages

Quarterly Customer Service Performance Results for Not-For-Profit (NFP) Members of the Federal Loan Servicing Team - Quarter Ending June 30, 2013 in PDF Format, 18KB, 1 Page

Quarterly Customer Service Performance Results for FedLoan Servicing (PHEAA), Great Lakes Educational Loan Services, Inc., Nelnet, and Sallie Mae - Quarter Ending June 30, 2013 in PDF Format, 14KB, 1 Page

Final Calculation for Fifth Year's Allocation for FedLoan Servicing (PHEAA), Great Lakes Educational Loan Services, Inc., Nelnet, and Sallie Mae in PDF Format, 17KB 1 Page

   

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