Sallie Mae to Separate Into Two Companies

Sallie Mae, a member of our federal loan servicer team, has announced that it will separate into two distinct companies—Navient and Sallie Mae—later this year.

Overview of Sallie Mae’s Separation Into Two Companies
Frequently Asked Questions About Sallie Mae’s Separation Into Two Companies


Overview of Sallie Mae’s Separation Into Two Companies

The new company, Navient, will assume all the responsibilities previously performed by Sallie Mae as a federal loan servicer. A loan servicer is a company that handles the billing and other services on your federal student loan. The loan servicer works with you on repayment plans and loan consolidation and assists you with other tasks related to your federal student loan.

If Sallie Mae is the loan servicer for your William D. Ford Federal Direct Loan (Direct Loan) Program and the Federal Family Education Loan (FFEL) Program loans owned by the U.S. Department of Education (ED), Navient will manage those loans beginning in fall 2014. Your loans will not be transferred. This is a name change, and it will not impact the existing terms, conditions, interest rate, or available repayment plans of your federal student loans.

Note: If you have FFEL Program loans not owned by ED but serviced by Sallie Mae today, Navient will manage those loans later this fall. If you have private education loans serviced by Sallie Mae, you will receive information in the coming months with information about those loans.

If your federal loan servicer is Sallie Mae, there is no action you need to take at this time. Over the next several months, Sallie Mae and ED will contact you and provide details of the name change and any actions you may need to take.

We encourage you to review our frequently asked questions below to understand how this change may impact you in the future. If you have questions, contact Sallie Mae directly at 1‑800‑722‑1300.

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Frequently Asked Questions About Sallie Mae’s Separation Into Two Companies

Do I need to take any action if Sallie Mae is not my federal loan servicer?
Is there an immediate change for me if Sallie Mae is my federal loan servicer?
Will the terms and conditions of my federal student loans be impacted by this change?
Will I need to use a different phone number to reach Navient in fall 2014?
Will I need to use a different mailing address after the name change to Navient in fall 2014?
Will I need to use a different website after the name change to Navient in fall 2014?
Will I need to redo actions related to the current status of my federal student loan account (for example, reapply for a deferment or forbearance) after the name change to Navient in fall 2014?
Will I need to reestablish my preferred payment method for my federal student loans after the name change to Navient in fall 2014?
If I make federal student loan payments by check or through a bank or bill paying service, will I need to take any action after the name change to Navient in fall 2014?
Where can I get more information about the name change to Navient in fall 2014?

Do I need to take any action if Sallie Mae is not my federal loan servicer?

No. If Sallie Mae is not your federal loan servicer, you will not be impacted by this change.
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Is there an immediate change for me if Sallie Mae is not my federal loan servicer?

No. There’s nothing you need to do now, and you’ll know about the changes well in advance. There will be only a couple of minor changes that will affect you—the name of your loan servicer and the servicer’s website—and the changes won’t be implemented until fall 2014. Over the next several months, Sallie Mae and ED will contact you about the name change to Navient.
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Will the terms and conditions of my federal student loans be impacted by this change?

No. This change in servicer name will not impact the existing terms, conditions, interest rate, or available repayment plans of your federal student loans.

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Will I need to use a different phone number to reach Navient in fall 2014?

No. The phone number you use today to contact Sallie Mae for assistance with your federal student loans will be the phone number you’ll use to contact Navient after the name change occurs in the fall.

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Will I need to use a different mailing address after the name change to Navient in fall 2014?

No. With the exception of including the new company’s name, the mailing address you use today to contact Sallie Mae will be the mailing address you’ll use to contact Navient after the name change occurs in the fall.

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Will I need to use a different website after the name change to Navient in fall 2014?

Yes. Navient will have a new website for you to use, but all of the same information about your federal student loans will be there. Sallie Mae will tell you more about the new website in its e-mails over the next several months. During the transition period, Sallie Mae will link to the new website from its existing site. Until the name change occurs, you’ll continue to use the existing website.

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Will I need to redo actions related to the current status of my federal student loan account (for example, reapply for a deferment or forbearance) after the name change to Navient in fall 2014?

No. Your federal student loan account status will not change after the name change to Navient occurs in the fall. In addition, if you have a request in process when the name change occurs, it will be completed by Navient.

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Will I need to reestablish my preferred payment method for my federal student loans after the name change to Navient in fall 2014?

No. You’ll continue on the same payment method for your federal student loans that you’ve been on with Sallie Mae and won’t need to reestablish that payment method with Navient after the name change occurs in the fall.

As an example, if your payment method with Sallie Mae is automatic debit, your payment method will be automatic debit with Navient. You’ll need to take action only if you decide to change payment methods later.

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If I make federal student loan payments by check or through a bank or bill paying service, will I need to take any action after the name change to Navient in fall 2014?

Yes. If you make federal student loan payments by check or use a bank or bill paying service to make your federal student loan payments, you’ll need to begin using Navient’s name after the name change occurs in the fall.  Until that time, you’ll continue to use Sallie Mae’s name.

Although you’ll need to use Navient’s name when instructed, the payment address that you use today with Sallie Mae to make federal student loan payments by check or through a bank or bill paying service will be the payment address used by Navient.

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Where can I get more information about the name change to Navient in fall 2014?

If you have additional questions about Navient, visit www.SallieMae.com/future.

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