Nelnet is probably your servicer if it’s contacting you about student loans, but check and verify your student loan servicer on the Federal Student Aid website to gain peace of mind that these communications are legitimate.
Definition and Example of Nelnet
Nelnet is primarily a student loan servicer. It works directly with borrowers to manage and repay their loans. These loans are owned by the federal government. Nelnet contracts with the U.S. Department of Education to handle federal student loans in repayment. Nelnet Student Loan Servicing is the student loan arm of Nelnet Diversified Solutions. The company actually operates four separate business segments that offer other services, such as payment processing and asset management to organizations and individuals. Nelnet serviced $513.5 billion worth of student loans for 15.8 million borrowers as of September 30, 2021. One of Nelnet’s affiliated companies is another major federal student loan servicer, Great Lakes Educational Loan Services.
How Does Nelnet Work?
Borrowers with federal student loans don’t get to choose which servicer manages their accounts. The U.S. Department of Education assigns new loans to one of the 10 servicers with which it contracts after paying the funds out to you. The Federal Student Aid website stores all information on your federal student loans, from your loan balances to the servicer for each account. Just log in with your Federal Student Aid (FSA) ID username and password to review your information.
How to Use Nelnet
Be sure to set up an online account with Nelnet if it’s your servicer. Start making payments. It’s wise to respond quickly when Nelnet or any other student loan servicer reaches out to you. You could risk falling behind on payments, damaging your credit, or even entering student loan delinquency or default if you put this off or ignore correspondence. You’ll also receive student loan updates and electronic account statements via your online account. You’ll receive these directly in your Nelnet inbox if you sign up for Nelnet’s eStatements, which you can access through your account on the web or through the mobile app.
How to Contact Nelnet for Help
There are other ways to contact Nelnet in addition to using your online account. You can email Nelnet through its online email form by providing your personal details and your comment or request. Nelnet’s phone number is 888-486-4722. Service is available from 8 a.m. to 10 p.m. ET, Monday through Friday. Nelnet’s mailing address for general correspondence is P.O. Box 82561, Lincoln, NE 68501-2561. Check Nelnet’s website to find the correct mailing address for payments to your account if you want to make payments by mail.
Potential Changes to Nelnet
The federal government announced in June 2020 that it would undergo a major restructuring of its loan servicer agreements. The agreement would only include five major servicers. Nelnet was excluded. But Nelnet was one of six companies that were retained as loan servicers when the restructuring was announced in October 2021, with greater oversight to protect borrowers.
