Cornerstone Student Loans – Complete Review
In February 2018, the U.S. Department of Education announced that Cornerstone student Loans Services was no longer a major loan servicer for the department. This announcement came as a surprise to many, as Cornerstone had been one of the largest servicers for the department for many years.
The decision to end its contract with Cornerstone student loans was made after an investigation found that the company had been mishandling student loans. The department determined that Cornerstone had not been following proper procedures when it came to processing payments and helping borrowers manage their Cornerstone Student Loans.
As a result of this investigation, the department decided to terminate its contract with Cornerstone and instead work with other servicers that could better meet its needs. This decision is likely to impact thousands of borrowers who have outstanding loans with Cornerstone.
In 2020, Cornerstone Student Loans abruptly canceled its contract with the Department of Education, leaving 1 million borrowers in limbo. The company claimed that the move was necessary to protect its shareholders, but many criticized it as a cynical ploy to avoid responsibility.
The cancellation affected students who had borrowed money to attend school after 2010, when Cornerstone took over the student loan program from Sallie Mae. Borrowers were left scrambling to figure out what to do next, as the company refused to provide any information about how they could continue paying back their loans.
Many accused Cornerstone of deliberately creating a crisis in order to force the government to bail them out. Others speculated that the company might have been purchased by a rival firm, and that this was simply a way to get rid of its liabilities.
What Happened To Cornerstone Student Loans?
CornerStone Student Loans used to be one of a handful of approved companies managing federal student loans. It is now managed by the Utah Higher Education Assistance Authority (UHEAA). CornerStone was founded in 1998 and is headquartered in Utah. It is a private student loan company that offers both undergraduate and graduate loans.
The UHEAA took over the management of CornerStone student loans on December 12, 2016. This change was made due to CornerStone’s failure to meet Federal Student Aid (FSA)’s Standards of Excellence. These standards are in place to ensure that companies who manage federal student loans adhere to strict guidelines regarding customer service, quality control, and borrower protections.
CornerStone student loans is the only company that failed to meet the FSA’s standards that is still operational. All other companies that failed were either bought out by other companies or went bankrupt.
What Happened to Your Cornerstone student Loans?
If you were one of the 1 million borrowers with a CornerStone student loans, your loan has been transferred to FedLoan Servicing, another federal student loan servicer. CornerStone student loans are now being serviced by two different companies, and it’s important to understand the differences between the two.
FedLoan Servicing is a government-owned company, whereas CornerStone is a private company. Because of this, there are some key differences in the way the two services operate. For example, FedLoan Servicing offers income-driven repayment plans, while CornerStone does not.
It’s important to understand these differences if you have CornerStone student loans and it’s been transferred to FedLoan Servicing. Be sure to review your account on FedLoan Servicing’s website and compare it with your old account on CornerStone’s website.
When you’re transferred to a new loan servicer, your account information and loan details stay the same. You don’t have to do anything – it’s seamless and at no cost to you. So if you’re unhappy with your current servicer, or just want to explore your options, know that a transfer is an easy way to do that. And with Cornerstone Student Loans, you can be confident that you’ll receive the best possible service.
Can A Person Change its Loan Service?
If you are thinking about consolidating your federal loans like Cornerstone student loans, it is important to understand the different servicer options that are available to you. When you apply for a Direct Consolidation Loan, you will be able to select a service to manage your loan. This service will be responsible for billing you and helping you with any questions or problems you have with your loan.
There are a number of different services that offer services for Direct Consolidation Loans. Some of the most popular services include Sallie Mae, Nelnet, and Great Lakes. It is important to research these services before making a decision about which one to use. Each servicer has its own set of fees and services, so it is important to find one that meets your needs.
When you refinance your Cornerstone student loans, you can also change your loan servicer. This is a great way to get a fresh start with your student loan repayment. Cornerstone student loans are a great option for refinancing your student loans. They offer low-interest rates and excellent repayment options. You can also choose to defer your payments if you need more time to get back on your feet. Cornerstone student loans are a great way to get started on your debt consolidation plan.
If you had loans serviced by CornerStone Student Loans Services in the past, you’ve already been issued a new loan servicer by this point, and your payment information should have been transferred as well. CornerStone was one of the many loan servicers that were acquired by Navient in 2017, and as a result, all of their customers were transferred to Navient’s systems.