Hello,

Here is my situation.  Public school teacher with high loan debt.  I consolidated my student loans in 2009 with DOE and was put on the IBR and qualified for PSLF, but I went back to school and finished a second masters degree so my loans went into forbearance/deferment.  In March 2013 my loan servicing was transferred to Edfinancial.  I am back on IBR with a reasonable monthly payment that begins this month.  (I just scheduled the payment for this week.

I am now being told that in order to be on PSLF again I will need to change services again to fedloans and they will be the ones to manage and service my PSLF plan.  I have a few reservations about this and am hoping those of you in similar circumstances can answer my questions.

1.  When you switched services to Fedloans for PSLF did any of your previous payments to Direct Loans, Edfinancial, Mohela etc count towards the 120 months of PSLF?  I am being given mixed answers about this from both fedloans and edfinancial.

2.  How was the transfer to Fedloans?  Did everything go smoothly as in did you remain on IBR and have the same payments? 

Thank you very much for any help!  This overly complicated process is VERY stressful I wish I could have just stayed with DOE the way they originally set it up was much easier.

sorry one last question, did you have any problems with kwikpay?  I just cancelled my kwikpay because I want to make sure my first few payments go through a few days early without any hitches

I think I got you on another post, but in short, transferring servicers does not affect the payments that have been made towards PSLF.  They count all the same.  Loads of folks have had their servicers changed, it’s often out of our control, and there have been a lot of problems with the process, yes.  I feel like you’re going to have to deal with it again at some point, and the advantages to doing it sooner rather than later are numerous.  Good luck!

Thank you Heather! and thank you for running this website, you are one of the good ones.  I hear what you’re saying about getting into the PSLF system asap but I am going to wait just a few months before I transfer to fedloans.  I really hope there are not too many headaches upon transferring again.  Thanks again!