Borrowers are not allowed to choose the loan servicer that will manage their federal loans; however, if they are dissatisfied with their current provider, they can consolidate or refinish their debt. When you take out a federal Nelnet Student Loan, the Department of Education in the United States of America will act as your lender. On the other side, you are partnered with a different business known as a loan servicer, responsible for handling your payments, responding to any queries or concerns you may have, and modifying your payment schedule as required.

Nelnet is the loan servicer responsible for administrating the Total and Permanent Disability Discharge Program. This program allows individuals who are totally and permanently disabled to be released from their financial obligations. If you have direct federal loans, FFEL loans, or Perkins loans and become completely and permanently incapacitated, you may be eligible for debt discharge. This applies to all three types of loans. To apply, you will need to fill out an application with the aid of your physician.

Payments:

You may go online, utilize the mobile app, or contact customer service to make monthly, extra payments, or pay off your loans in full. Nelnet gives you these options. You may also send a payment via the mail or set up recurring payments using the online bill pay option offered by your bank.

Trouble Affording Your Payments:

Nelnet should be contacted as soon as possible if you are going through a difficult financial situation and cannot afford the required minimum monthly payments. You may qualify for an income-driven repayment plan to lower your regular payment amount. Instead, you might be eligible for either forbearance or a deferral, which would let you temporarily postpone making payments.

Repayment services for members:

Contact Nelnet if you are a member of the armed forces so that you may explore your repayment alternatives while serving actively. Depending on the specifics of your case, you may be qualified to receive lower monthly payments, interest rate restrictions, or exemptions.

Steps to Make Student Loan Payments with Nelnet

The following are the many methods of payment that are available to you:

Phone:

Dial the number 888-486-4722 to make payments over the phone. You have the option, while using the automated phone system, to either talk with a person or make a payment.

Mobile App:

You can make payments directly using the Nelnet app on your phone, which you can get by downloading it to your phone. The application may be downloaded from the Google Play Store and the iTunes Store.

Mail:

You can pay with a check. On the other hand, the postal address will change depending on where you are. Include your Nelnet account number on the check, and send it to the postal address shown on your billing statement.

Steps to Follow Making Payments Online

1. Sign up for Nelnet.com

To create an account, go to the home page and select the button labeled "Register." The website will ask you to submit the following information at several points:

• An identifier for social security purposes
• Date and time of birth
• Email address
• Username \sPassword
• You will be asked to develop a security question to authenticate your identity.

2. Make Your Loan Selection

Following the activation of your account, you will be able to choose your loan and set up a payment plan. You are free to make single payments whenever you choose; however, it is recommended that you establish recurring payments. Nelnet will offer you a reduction on your interest rate of 0.25% if you subscribe to their autopay program. Because of the discount, you can save significant money over time.

3. Learn How Payments Work

You must have a solid understanding of how your payments are distributed if you have more than one student loan serviced by Nelnet. Nelnet will apply any payments made more than what is required to the loan that has the highest interest rate if you pay more than what is required. After that loan has been paid in full, Nelnet will put the additional payments toward the loan with the next highest interest rate. Nelnet requires that you get in touch with them so that you may give them your unique payment instructions if you wish to alter how payments are processed.

In June of 2020, the Domina Law Group took legal action against Nelnet in the form of a class-action lawsuit on behalf of five individual borrowers of student loans. The borrowers allege in their lawsuit that they experienced financial hardship as a result of the improper handling of their applications for income-driven repayment plans.