Student Loan Transfers

[sze5003]

I hate when the servicing company of your student loans are switched. I have two groups of loans from the government. One set with nelnet and the other with Ed Financial. Both set up to auto debit from my bank so I've never missed a payment.

The Ed Financial loans were transferred to Nelnet. The problem is they were transferred after my payment to Ed Financial was already taken out. But no one can tell me where my money went. Nelnet says it can take 35 days for the payment to come to them. They tell me I'm past due by nearly $300 bucks which isn't correct.

My one payment for Nelnet is getting processed tonite and the payment for the loans transferred over was taken out of my bank on the 3rd of this month. But I have no clue why it wasn't sent over with the transfer and Nelnet can't tell me anything other than we didn't authorize that payment and if it was after the transfer it will be applied in 30 days but you still owe xxx amount for the transferred loan immediately.

I'm worried now they are going to send collection agencies after me. Anyone else had to deal with stupid transfers like this? I've had it happen before with other servicers but I never had any debit issues. Not sure now why it's an issue?

 

[Cuular]

Just forward them a copy of your records from your bank showing the money was sent to them.

They can then follow the wire trail and get off your back.

 

[waffleironhead]

What did ed financial say when you called them? It sounds like the loan was transferred before the payment was applied, so the money is sitting in Ed's hands. They probably will be sending you your money back at some point instead of forwarding it to the new lender.

 

[sze5003]

What did ed financial say when you called them? It sounds like the loan was transferred before the payment was applied, so the money is sitting in Ed's hands. They probably will be sending you your money back at some point instead of forwarding it to the new lender.

I called them at work today. They said that the payment was initiated on 2/28 and taken out of my bank on 3/03. They told me I don't need to do anything but wait because it will go to Nelnet. And just to make sure it gets there. They also said it takes 30 days or so to get there. But Nelnet still sees my account as late even though ed financial tells me it won't be. Nelnet officials I spoke with are clueless about anything it's like they can only read from a script.

 

[smackababy]

I called them at work today. They said that the payment was initiated on 2/28 and taken out of my bank on 3/03. They told me I don't need to do anything but wait because it will go to Nelnet. And just to make sure it gets there. They also said it takes 30 days or so to get there. But Nelnet still sees my account as late even though ed financial tells me it won't be. Nelnet officials I spoke with are clueless about anything it's like they can only read from a script.

What I would do is pay the payment, which is showing up late and monitor to make sure it went through. If you are charged a late fee, I would dispute that charge and have it credited to balance of the account.

And if you think a student loan switching companies is bad, go read about what happens when a mortgage company does it.

 

[sze5003]

What I would do is pay the payment, which is showing up late and monitor to make sure it went through. If you are charged a late fee, I would dispute that charge and have it credited to balance of the account.

And if you think a student loan switching companies is bad, go read about what happens when a mortgage company does it.

Yea I would do that if ed financial had not taken the money out of my checking account. It's a pretty hefty amount and I have savings to cover it too but I don't feel like paying twice this month because of their slow system. The 28th of this month they will be taking out the total for both loan groups.

 

[UglyCasanova]

Link

Although it won't do much good though...

 

[imagoon]

When mine switched in 2013 I had the same issue. I ended up paying it and eventually the second payment appeared. I am still payed a month to this day so they lose the interest on it at least.

 

[sze5003]

They told me to wait and just monitor it. Last time it happened it took a few days for the payment to appear. They keep changing service providers almost every year it's annoying. The only thing about having one provider for both loan groups is that now I should only have one payment date which just means one huge chunk taken out as opposed to two payments split between pay weeks. I haven't had issues with my one private loan and a parent plus loan that I've also been paying back. This Nelnet loan now comes out the end of every month same as my rent and the plus loan the week after with my car payment so it's gonna suck but at least the amounts didn't increase so I hope I don't notice it like before when I had two dates.