FedLoan is one of the nation's largest student loan servicers.
After December 2022, FedLoan is expected to stop servicing federal loans.
All federal loans in the FedLoan portfolio will be divided and transferred to EdFinancial, MOHELA, and Aidvantage.
FedLoan Servicing transfers will be completed in Sept 2022, and the end of the Limited PSLF Waiver is in Oct 2022.
All borrowers in PSLF will be taken on by MOHELA.
Navient, which has six million borrowers, has requested that the federal student loan service be discontinued.
It will also not affect the borrowers' present temporary payment suspension and 0% interest perks owing to the Covid emergency.
As per CNBC, student loan service is likely to alter for over 10 million borrowers.
Fedloan's application mishandling resulted in the rejection of 99% of all PSLF applicants in 2018.
FedLoan announced in July 2021 that it would not renew its contract.
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