Comments on: What to do When Navient Applies a Payment Incorrectly

By: Michael P. Lux, Esq.

Michael P. Lux, Esq. — Fri, 16 Dec 2022 14:46:44 +0000

In reply to A. Pulice. This is a fascinating question. My first thought is that it is critical that you are clear with Navient about how you want these "extra" payments processed. Some lenders will treat the payments as prepayments and apply the extra money towards future bills instead of immediately knocking down the principal balance. Shifting to your specific question, one explanation might be the fact that months and weeks don't overlap evenly. Some months will have 4 weekly payments while others will have 5. Depending on how they are handling the extra money paid, this could explain your issue. Either way, your point is completely legitimate, and they should be able to explain the discrepancy to you. If they cannot, it might be time to file a complaint.

By: A. Pulice

A. Pulice — Thu, 15 Dec 2022 22:26:05 +0000

Hello, I broke my payment into 4 equal payments and schedule one payment every week of the year. This helps because they can’t sit on a payment made on Thursdays applying it on the following week while charging interest on Saturday and Sunday. Here’s the issue. An extra 10¢ goes towards the principle every week, and some times it’s 09¢. The amortization principle should take effect.. the amount of interest paid should slowly decrease and never increase so long as the payments are made on time and at the same rate. It is likely they are doing this to millions of borrowers over several weeks months and years. What can be done about this if anything?

By: Michael P. Lux, Esq.

Michael P. Lux, Esq. — Tue, 01 Mar 2022 23:10:02 +0000

In reply to LW.

You can absolutely pay ahead on your student loans… it’s awful they told you otherwise.

Good luck with your CFPB complaint and let us know how it goes!

By: LW

LW — Tue, 01 Mar 2022 20:51:41 +0000

Navient is notorious for not posting payments correctly. I paid for 3 months, Navient cashed the the check, now Navient is sending me past due notice when I am paid through the end of month. Spoke to someone at Navient and all they did was beat around the bush, did not know what they were doing at all, delaying correcting my payment. Then Navient rep told me I could not pay in advance when clearly on their monthly statement states you must send a note on how to apply – which I did outlining the specific months payment was covering. The gal then told me they didn’t not apply the payment as I cannot pay in advance – CLEARLY UNTRUE. I will be submitting a formal complaint to CFPB as well as my legislators. No telling how many others this is happening to. I will also be demanding a “full accounting” of my Navient account. This is an extremely irresponsible company that needs to be banned .

By: The Student Loan Sherpa

The Student Loan Sherpa — Wed, 15 Jan 2020 00:01:09 +0000

In reply to Brian Robertson.

That definitely sounds wrong. There are ways to escalate the issue within Naviet: https://studentloansherpa.com/resolving-complaints-navient-sallie-mae/

If that doesn’t work, I’d suggest filing a compliant with the Consumer Financial Protection Bureau.

By: Brian Robertson

Brian Robertson — Tue, 14 Jan 2020 23:10:44 +0000

I payed my student loan months ahead in large sums. Navient applied all the money for 7 months of overpayments totaling $8.3K on interest and none to the balance ($32K). Customer service insisted it is not in error.