On April 30, 2014, Sallie Mae spun off its loan servicing operation and most of its loan portfolio into a separate, publicly traded entity called Navient Corporation. Navient is the largest servicer of federal student loans and acts as a collector on behalf of the Department of Education.
Navient (NASDAQ: NAVI) is headquartered in Herndon, Virginia, and was formerly known as Sallie Mae.
After the separation, the company's loan servicing and collection operations were re- branded as Navient, and the consumer banking business continued under the Sallie Mae brand.
SLM Corporation (commonly known as Sallie Mae; originally the Student Loan Marketing Association) is a publicly traded U.S. corporation that provides consumer banking.
Navient Corporation is an American student loan servicer based in Wilmington, Delaware. Managing nearly $300 billion in student loans for more than 12 million debtors, the company was formed in 2014 by the split of Sallie Mae into two distinct entities: Sallie Mae Bank and Navient.
Sallie Mae is not a federal loan servicer.
But in 2014, it split into two separate companies. The Sallie Mae of today, however, is an education solutions company and consumer banking business. The other company became Navient.
The new company, Navient, will assume responsibility for servicing the following loans: William D. Ford Federal Direct Loan (Direct Loan) Program loans. Federal Family Education Loan (FFEL) Program loans owned by the Department of Education (the Department)
At the time, the company was accused of steering student borrowers into expensive forbearances instead of more flexible, income-driven repayment plans. The company also faced allegations that its former owner, Sallie Mae, had made subprime private loans to vulnerable borrowers who it knew were likely to default.
Those who borrowed from Sallie Mae after this 2014 split have private student loans, which aren't eligible for federal forgiveness programs. However, Sallie Mae will discharge debts for borrowers who die or become totally and permanently disabled.
(sæli meɪ) or Student Loan Marketing Association. noun. (Finance: General)
When you (and your cosigner, if you have one) pass the credit review, you'll be notified that you're approved. It can take as few as 15 minutes to find out whether you've met their credit requirements. If the lender needs more information, the approval can take a few business days.
Sallie Mae is here to help financially with private student loans and savings accounts, and Sallie is for everything else that comes along with higher education.
Sallie Mae is the largest private student loan lender and one of the chief profiteers off of student debt,iii yet it faces minimal public scrutiny and accountability.
Thus, if you ever had a Sallie Mae loan or had Sallie Mae conduct loan servicing, that loan and servicing, likely, was transferred to Navient. Further, Navient then changed its name in 2021 to Aidvantage.
And both Sallie Mae and Navient can be quite aggressive in court. That said, borrowers may have defenses that they can raise to a Sallie Mae or Navient lawsuit.
Overview. Sallie Mae is best known as a student loan servicer, but it also has other financial services including credit cards and savings accounts. Deposit products are offered through Sallie Mae Bank, Member FDIC, meaning all accounts are FDIC-insured.
Previously, in 2014, the Department of Justice and the Federal Deposit Insurance Corporation ordered Navient and Sallie Mae to pay a total of almost $100 million for illegally overcharging nearly 78,000 military service members.
Whoever gave you the money for your education (the lender) is usually who owns your student loan. This is either the federal government or a private company. But your loan servicer is who handles the loan repayment—and who dishes out the consequences if you don't pay up.
Servicer's phone number: Ours is 800-472-5543.
Lender Sallie Mae used to offer federal student loans, and if you received one, you may be able to qualify for loan forgiveness. But federal student loan forgiveness can be hard to get — and if you have a private student loan through Sallie Mae, federal forgiveness is not available.
Jonathan (Jon) Witter is chief executive officer of Sallie Mae and is a member of the company's board of directors. An industry veteran, Jon brings nearly three decades of executive leadership, banking expertise, and operational management to the company.
Navient was also a key player in the largest predatory private student lending scheme in history, collecting on billions of dollars in subprime private loans made by its predecessor Sallie Mae to students at failing for-profit colleges including Corinthian and ITT Tech.