A Response From Navient

Plus a fact sheet with additional context.

Photo credit: Shilad Sen (cropped), CC BY 2.0.

Yesterday, I summarized a handful of news stories (and government documents) relating to Secretary of Education Betsy DeVos and student loan servicing company Navient.

What Is Going On With Betsy DeVos, Navient, and Student Loans?

I heard back from a Navient representative who wanted to explain how Navient works with student loan borrowers to create payment solutions:

When federal student loan borrowers find their payment is not affordable, Navient representatives discuss the various options for a more affordable payment, such as the many income-driven repayment options. However, it is up to the borrower to decide how he or she wants to proceed. Student loan servicers do not make decisions for a borrower or advise them what is in their best interest — only individual borrowers can determine that for themselves based on their assessment about short- and long- term options, trade-offs and expectations. Servicers of student loans, auto loans, mortgages and even investment center representatives do not serve as “fiduciary” agents for the customers they support.

The representative provided a Navient fact sheet that includes additional context and details about Navient’s services:

Allegation: Navient didn’t do enough to get borrowers into income-driven repayment (IDR) plans and steered borrowers into forbearance instead.

Fact: Navient is a leader in enrolling eligible borrowers into income-driven repayment programs. We promote repayment options, including IDR, in 170 million communications annually.

Here’s the full fact sheet for your perusal:

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