Finding your way through the world of student loans can feel overwhelming, particularly when it comes to the plethora of loan servicers on the market. In this area, you have the student loan servicer Edfinancial assisting borrowers with their federal student loans. Although it is not a lender itself, Edfinancial provides valuable services that can help students and graduates understand their student loans, make repayments, and stay on track.
This comprehensive guide will explain exactly what Edfinancial is, how it functions, what products and services it provides and how borrowers can best utilize their Edfinancial student loans.
What Is Edfinancial?
Edfinancial Services is a Knoxville, Tennessee-based student loan servicer. Founded in 1988, the company has decades of experience in helping students manage their education loans. That would be one of the official loan servicers who are contracted by the U.S. Department of Education to manage federal student loans under the William D. Ford Federal Direct Loan Program.
In its role as a servicer, Edfinancial manages loan accounts, processes payments and assists borrowers with enrolling in repayment plans, and helping with deferments, forbearance and forgiveness programs. It does not directly issue loans, however, it serves as an intermediary between borrowers and the Department of Education.
Loan Types Edfinancial Serves
Edfinancial mostly services federal student loans — that means they may be:
- Direct Subsidized Loans
- Direct Unsubsidized Loans
- Direct PLUS Loans (for parents or for graduate students)
- Direct Consolidation Loans
You will be notified in the mail or by email if your federal loans have been assigned to Edfinancial. You can then set up an online
and consider repayment options.
How to Access Your Edfinancial Account
Once your federal student loans have been assigned to Edfinancial, make sure to create an online account. Here’s how:
- Go to the official Edfinancial website at www. edfinancial. com
- Sign up for an account with your SSN, date of birth, and loan information.
- Sign up with a username and password to secure access.
- Configure payment options like debit auto for ease of paying every month.
Although the information on your account may not be up to date, having an account allows you to see your loan balance and payment history and change repayment plans, or apply for deferment or forbearance if necessary.
Edfinancial Resources for Repayment Options
Even better, one of the prime Edfinancial benefits is a selection of repayment plans designed to help you accommodate a variety of financial circumstances. Here are some of the options that are available:
Standard Repayment Plan
- Fixed monthly payments
- Pay off loans in 10 years
Graduated Repayment Plan
- A reduced payment in the beginning, growing every two years
- Pay off loans in 10 years
حسابات الربح حسب الدخل (IDR Plans)
- Income and family size-based payments
- Options such as PAYE, REPAYE, IBR, ICR
- Might eventually forgive after 20 or 25 years
Extended Repayment Plan
- Lower monthly payments
- Loan tenor tenure up to 25 years
Borrowers can apply for a repayment plan change by logging into their Edfinancial account or calling customer service.
Options for Deferment and Forbearance
After all, life happens — job loss, a sudden illness, among other financial calamities. Deferment and forbearance options — Temporary measures to either defer or reduce student loan payments.
Deferment
- Interest does not accrue on subsidized loans
- Most common reasons: In school, in military, unemployed
Forbearance
- Interest accrues on all types of loans
- Forgiven due to economic hardship or some sort of medical cost
These options can offer some short-term relief, but interest can continue accruing, so try to use them sparingly.
Loan Forgiveness Programs
Edfinancial also assists borrowers with applying for federal loan forgiveness programs, including:
Forgiveness of Public Service Loans (PSLF).
- So make sure that you apply for government or nonprofit.
- Requires 120 qualifying payments on a qualifying repayment plan
Teacher Loan Forgiveness
- For qualifying educators in underprivileged institutions
- Up to $17,500 in forgiveness
Forgiveness through Income-Driven Repayment
- Borrowers who qualified for loans forgiven after 20 or 25 years of payments
Borrowers will need to complete the appropriate forms and meet certain criteria, and Edfinancial assists in that process.
How to Contact Edfinancial
Edfinancial customer service is available if you have any questions or concerns about your loans via:
- Phone: 1-855-337-6884 (Monday — Friday, 8 a.m. to 8 p.m. ET)
- Online Chat: Offered on their site
- Mailing Address: found on your loan statements or their website
They also provide mobile-friendly access to your account, allowing you to stay connected and informed while on the go.
Student Loan Management with Edfinancial — Student Loan Management Tips
Managing student loans shouldn’t be stressful. Here are some tips for getting a handle on your finances with Edfinancial:
- Setting up autopay prevents missed payments, which can lower your interest rate.
- You can also check your account periodically to ensure that you are updated on your balances, due dates, and payment status.
- Consider repayment plans and switch if your financial circumstances alter.
- Update your contact information to alert you about important notifications.
- There are forgiveness programs available if you qualify — especially if you’re in public service.
EDFINANCIAL FAQ What’s Edfinancial?
Which lenders are considered private lenders?
Edfinancial is not a lender. It is a loan servicer that the U.S. Department of Education has contracted to manage federal student loans.
Can I move from Edfinancial to a different servicer?
You cannot switch servicers manually, but from time to time, the Department of Education reassigns loans. However, if you are consolidating your loans, you may get a new servicer.
Is Edfinancial legit?
Yes, It is a real, government-approved federal loan servicer. If they reach out to you, you need to respond as soon as possible.
Final Thoughts
It serves an important purpose in keeping borrowers from going off the rails with their federal student loans. It is built to assist borrowers for the duration of their loans, with services that range from multiple repayment plans and tools for deferment, forbearance, and forgiveness.
If it services your loans, use their online tools, personalized assistance, and repayment flexibility to your advantage. It will help you manage your student loan debt effectively and head towards financial freedom.
