How Your Navient Student Loan Payment Impacted The Navient Lawsuit

Before you make your next Navient student loan payment, you should be aware of this Navient lawsuit.

The Consumer Financial Protection Bureau (CFPB) filed a lawsuit against Navient, the largest student loan servicer in the country.

If you have a student loan, there is a good chance that it may be serviced by Navient. Navient, which spun off from Sallie Mae, has more than 12 million customers and services more than $300 billion of government and private student loans.

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November 2024

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Fixed APR ?APR, or Annual Percentage Rate, is the price you pay to borrow money. Fixed APR means that your interest rate will always stay the same. Even if interest rates change, your interest rate or monthly payment will not. Fixed APR includes a 0.25% discount when you enroll in autopay.

Variable APR ?APR, or Annual Percentage Rate, is the price you pay to borrow money. Variable APR means that your interest rate can fluctuate over time, which can increase or decrease your monthly student loan payment. Typically, a variable-rate loan has a lower introductory rate than a fixed-loan rate loan. Variable APR includes a 0.25% discount when you enroll in autopay.

APR

4.49% - 9.99%

5.99% - 9.99%

4.49% - 9.99%

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on SoFi's website

Overview

Variable APR:

5.99% - 9.99%

Fixed APR:

4.49% - 9.99%

Minimum Credit Score:

650

Minimum Income:

None

Fees:

None

Minimum Loan Amount:

$5,000 ($10,000 in CA)

Details

Eligible Loans:

Private & Federal

Eligible Degrees:

Undergraduate & Graduate

Loan Terms:

5, 7, 10, 15, 20 years

Borrower Residency:

All states

Hardship Deferment:

Yes

Co-signer Option:

Yes

Review:

SoFi Student Loan Refinancing Review

3.95% - 9.74%

5.89% - 9.74%

3.95% - 9.74%

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View Details

on Earnest's website

Overview

Variable APR:

5.89% - 9.74%

Fixed APR:

3.95% - 9.74%

Minimum Credit Score:

650

Minimum Income:

None

Fees:

None

Minimum Loan Amount:

$5,000

Details

Eligible Loans:

Private & Federal

Eligible Degrees:

Undergraduate & Graduate

Loan Terms:

5-20 years

Borrower Residency:

All States except NV

Hardship Deferment:

Yes

Co-signer Option:

No

Review:

Earnest Student Loan Refinancing Review

5.19% - 9.74%

5.99% - 9.74%

5.19% - 9.74%

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on NaviRefi's website

Overview

Variable APR:

5.99% - 9.74%

Fixed APR:

5.19% - 9.74%

Minimum Credit Score:

680

Minimum Income:

None

Fees:

None

Minimum Loan Amount:

$5,001 ($10,001 in CA)

Details

Eligible Loans:

Private & Federal

Eligible Degrees:

Undergraduate & Graduate

Loan Terms:

5-20 years

Borrower Residency:

All States except NV

Hardship Deferment:

Yes

Co-signer Option:

No

Review:

NaviRefi Student Loan Refinancing Review

4.88% - 8.44%

4.86% - 8.49%

4.86% - 8.49%

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on ELFI's website

Overview

Variable APR:

4.86% - 8.49%

Fixed APR:

4.88% - 8.44%

Minimum Credit Score:

680

Minimum Income:

$35,000

Fees:

None

Minimum Loan Amount:

$10,000

Details

Eligible Loans:

Private & Federal

Eligible Degrees:

Undergraduate & Graduate

Loan Terms:

5, 7, 10, 15, 20 years

Borrower Residency:

All States

Hardship Deferment:

Yes

Co-signer Option:

Yes

Review:

ELFI Student Loan Refinancing Review

4.84% - 9.99%

5.89% - 9.99%

4.84% - 9.99%

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View Details

on Splash's website

Overview

Variable APR:

5.89% - 9.99%

Fixed APR:

4.84% - 9.99%

Minimum Credit Score:

640

Minimum Income:

None

Fees:

None

Minimum Loan Amount:

$5,000

Details

Eligible Loans:

Private & Federal

Eligible Degrees:

Undergraduate & Graduate

Loan Terms:

5 – 20 years

Borrower Residency:

All states

Hardship Deferment:

Varies

Co-signer Option:

No

Review:

Splash Financial Student Loan Refinancing Review

5.89% - 10.98%

7.02% - 12.44%

5.89% - 12.44%

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View Details

on Citizens' website

Overview

Variable APR:

7.02% - 12.44%

Fixed APR:

5.89% - 10.98%

Minimum Credit Score:

Not disclosed

Minimum Income:

$24,000

Fees:

No prepayment or origination fees

Minimum Loan Amount:

$10,000

Details

Eligible Loans:

Private & Federal

Eligible Degrees:

Undergraduate & Graduate

Loan Terms:

5, 7, 10, 15, 20 years

Borrower Residency:

All states

Hardship Deferment:

Yes

Co-signer Option:

Yes

Review:

Citizens Student Loan Refinancing Review

4.99% - 8.90%

5.29% - 9.20%

4.99% - 9.20%

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View Details

on Laurel Road's website

Overview

Variable APR:

5.29% - 9.20%

Fixed APR:

4.99% - 8.90%

Minimum Credit Score:

680

Minimum Income:

None

Fees:

None

Minimum Loan Amount:

$5,000

Details

Eligible Loans:

Private & Federal

Eligible Degrees:

Undergraduate & Graduate

Loan Terms:

5, 7, 10, 15, 20 years

Borrower Residency:

All States

Hardship Deferment:

Yes

Co-signer Option:

Yes

Review:

Laurel Road Student Loan Refinancing Review

5.49% - 9.75%

5.53% - 12.18%

5.49% - 12.18%

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View Details

on LendKey's website

Overview

Variable APR:

5.53% - 12.18%

Fixed APR:

5.49% - 9.75%

Minimum Credit Score:

680

Minimum Income:

$24,000

Fees:

None

Minimum Loan Amount:

$5,000

Details

Eligible Loans:

Private & Federal

Eligible Degrees:

Undergraduate & Graduate

Loan Terms:

5, 7, 10, 15, 20 years

Borrower Residency:

All states, except ME, ND, NV, RI, WV

Hardship Deferment:

Yes

Co-signer Option:

Yes

Review:

LendKey Student Loan Refinancing Review

Checking Your Rate Doesn't Affect Your Credit Score

Disclosures: SoFi | Earnest | NaviRefi | ELFI | Splash Financial | Citizens | Laurel Road | LendKey

Here is what you need to know and the action that you can take on your next Navient student loan payment:

Navient Lawsuit: What Are The Allegations?

In its lawsuit and press release, the CFPB alleges that, among other allegations, Navient “systematically and illegally [failed] borrowers at every stage of repayment,” including:

• created obstacles to repayment by providing bad information;
• processed payments incorrectly;
• failed to act when borrowers complained;
• illegally cheated many struggling borrowers out of their rights to lower payments, which caused them to overpay for their student loans;
• deceived private student loan borrowers about requirements to release their co-signer from the loan; and
• harmed the credit of disabled borrowers, including severely injured veterans

The CFPB also alleges that Navient improperly directed borrowers into forbearance when these borrowers otherwise might have qualified for income-driven repayment plans, and did not adequately keep borrowers in income-driven plans informed of deadlines to maintain their eligibility under such plans.

“For years, Navient failed consumers who counted on the company to help give them a fair chance to pay back their student loans,” said CFPB Director Richard Cordray in a statement. “At every stage of repayment, Navient chose to shortcut and deceive consumers to save on operating costs. Too many borrowers paid more for their loans because Navient illegally cheated them and today’s action seeks to hold them accountable.”

In a statement, Navient denied all allegations and said the lawsuit was politically motivated.

What Is A Student Loan Servicer?

Think of a student loan servicer as providing both customer service and repayment support during the life of your student loan.

Student loan servicers play an intermediate role between a borrower and a lender. They process monthly student loan payments, manage borrower accounts and answer borrower questions.

If you borrow a student loan, your lender may not be the entity that manages your student loan after it is disbursed. While some companies act as both a lender and servicer, often times a separate company will service your loan.

A loan servicer will also work with you for free on student loan repayment plans and student loan consolidation.

It is possible – and more common today – that your lender (either the federal government or a private lender) transfers your student loan to one or more servicers while your loan is in repayment.

You don’t need to worry if you receive a notice that your student loan has been transferred to another servicer. It is not a reflection of you or student loan. If this happens, you should contact your new student loan servicer and update your bill pay information if you use autopay (which you should). Also, if your student loan is transferred to a new student loan servicer, there are no changes to your loan terms

Can I Choose My Student Loan Servicer?

No. Your student loan servicer is assigned to you. If you have a federal loan, the U.S. Department of Education will assign you a student loan servicer after your student loan is disbursed. Similarly, if you have a private student loan, your lender will assign a student loan servicer.

Is Navient My Student Loan Servicer?

You can contact your lender to determine your student loan servicer. If you have a federal student loan, you can also find your student loan servicer on the Federal Student Aid website.

Here is a list of the top student loan servicers:

• FedLoan Servicing (1-800-699-2908)
• Great Lakes (1-800-236-4300)
• Navient (1-800-722-1300)
• Nelnet (1-888-486-4722)
• Cornerstone (1-800-663-1662)
• Granite State (1-888-556-0022)
• HESC/Edfinancial (1-855-337-6884)
• MOHELA (1-888-866-4352)
• OSLA Servicing (1-866-264-9762)

What If Navient Is Your Student Loan Servicer?

If Navient is your student loan servicer, you still have to make your student loan payments in the normal course. For more information, you can contact Navient by phone at 1-888-272-5543 or by email through Navient’s Office of the Customer Advocate.

What Else Can I Do Regarding My Next Navient Student Loan Payment?

Once you know your student loan servicer, make sure you understand your rights and choices:

1. Understand all your student loan options

One role of your student loan servicer is to help you understand your available options with regard to your student loans. Mentor can help you learn more about these various options:

• Student Loan Refinancing
• Federal Student Loan Consolidation
• Income-Driven Repayment Plans
• Student Loan Forgiveness

2. Understand the potential changes to your student loans in the Trump administration

There may be several changes to your student loans in the Trump administration. You can read more about the potential student loan changes and learn more about Secretary of Education nominee, Betsy DeVos’ views on student loans.

3. File a complaint

If you feel you have been wronged by your student loan lender or your student loan servicer, you can make your voice heard by sending a formal complaint to:

• U.S. Department of Education
• Consumer Financial Protection Bureau
• Your lender
• Your servicer

4. Pay Off Your Student Loans Faster

One of the best ways to avoid dealing with student loan servicers is not to have one. The sooner you pay off your student loans, the better.

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