Prepare for Long Wait Times as Student Loan Payments Resume

Student loan repayments are set to resume soon, causing a surge in calls to loan servicers who have been hit by budget cuts. Servicers advise borrowers to contact them now to avoid long wait times. The Department of Education has modified its contracts with loan servicers, including cutting their pay and reducing the minimum number of hours customer service centers must open each week. Nelnet, a publicly traded company that owns two major student loan servicers, has cut 550 jobs due to these changes. Borrowers are urged to contact their servicers now to confirm personal information, loan amounts, and payment plans.