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Are Great Lakes student loans a reliable student loan service?

Now that I am ready to move on to college, I’d like to know if it would be a good idea to apply for student loans. I’m not fully acquainted with the procedures involved, so how do student loans work? Many students say that getting help from a student loan service would be beneficial. However, I need to know if paying off student loans would be easy as I don’t wish to be distressed with future debt after college graduation. Is Great Lakes student loans a good option to go for?

Kristi Hammond

in Student Loans

1 answer

1 answer

Jeremy Wood on October 23, 2018

Great Lakes is one of the largest student loan servicers in the U.S. The loan service works with 6,000 schools and 1,100 lenders; aiding millions of students nationwide to attain service federal loans. The non-profit company has been in operation since 1967 and is based in Madison, WI. The company has a slogan of ‘Doing what’s right’ and is said to have offered $130 million in grants, scholarships, and college advising services in the past years.

Great Lakes works as a guarantor and loan server. It is the intermediary between you (the borrower) and the federal government or private company (the lender) once you begin to pay off your student loans. The loan service has a user-friendly website and mobile app enabling borrowers to easily gain access to loan information and conduct payments.
Borrowers begin repaying their loans with the Standard Repayment Plan; evenly dividing payments over a period of 10 years. This plan has the minimum amount of interest even if there are higher payments.

In case you’re not able to pay monthly, various repayment and postponement options for student loans by Great Lakes are available.

Graduated Repayment Plan: This plan can be considered when applying for student loans. It is a ten-year plan starting with low payments which increase gradually. There is a payment amount increase of 20% after every two years with the final two years of payments being triple the amount of your original payment. This is the ideal option for those who are sure of a rise in income over the next decade.

Income-Driven Repayment Plans: These plans are connected with your present financial situation. There are four income-driven plans offered by the federal government: Pay As You Earn (PAYE), Revised PAYE, Income-Contingent, and Income-Based.

Deferments and Forbearances: This is what you need when a situation for postponing payments arises. A forbearance comes in handy when you’re faced with unemployment, underemployment or are incurring heavy medical expenses. The validity period for each one is 12 months accompanied by a cumulative maximum of 3 years. Even if your account is past due, getting a grant from your servicer at their discretion may still be possible.

Make sure you maintain strong contact with your servicer in learning all about the working of student loans. If you discover that a wrong payment has been applied, be sure to get in touch with Great Lakes. Even if they can’t fix a previous payment error, they can scrutinize future payments.

Kurt Price2 years ago

Having to go through the numerous federal repayment options can be daunting. Great Lakes offer borrowers to make use of their Repayment Planner; use this to select the right repayment option with ease.

When paying off student loans, the Repayment Planner enables you to understand the future impact of each program your loan or loans are suitable for. You get information on repayment length and interest payment changes. All you do is log in to your Great Lakes online account and gain access to the Repayment Planner.

Furthermore, even if you’re not envisaging student loan repayment during school, it would be very advantageous to start planning early. Great Lakes offers you the opportunity of commencing payments while still in school; this would be a worthwhile head start.

The Great Lakes team can help you in understanding and deciding what student loan procedure to follow for free. You can get information on student loan consolidation, service member benefits, payment plans, and lots more.

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