Loan Transfer FAQ
All loans previously held by CornerStone have been transferred to FedLoan Servicing. Please refer to the following FAQs to answer any questions you may have.
Who is my new servicer and what is their contact information?
Your loans were transferred to FedLoan Servicing. FedLoan has over 50 years of student loan servicing and will do an excellent job servicing your loans. You can learn more about them and find their contact information at https://MyFedLoan.org.
Why were my loans being transferred to FedLoan?
After careful consideration, CornerStone and the Department of Education have agreed to end their servicing contract agreement. We worked hand-in hand-with them to successfully transfer your loans to FedLoan Servicing.
How will this transfer affect the current CARES Act Benefit extension offered by the Department of Education?
The transfer of your loans to FedLoan has had no impact on the CARES Act Benefit extension. Your loans are still scheduled to be on hold until the end of the COVID relief period, unless you’ve opted out of the forbearance. Additionally, the 0% interest rate is scheduled to hold until the end of the COVID relief period.
Will there be any changes to the terms of my loans because of the transfer?
No, this transfer has not impacted the existing terms, conditions, interest rate, or available repayment plans of your federal student loans.
Will there be any changes to the status of my loans because of the transfer?
No, your loans were transferred to FedLoan as they were. For example, if you were in a deferment or forbearance, the postponement continued after your loans transferred.
Can I choose to opt out of the loan transfer?
Unfortunately, you are unable to opt out of this transfer as it is mandatory. We understand this may be difficult, but we are here to help every step of the way.
Will FedLoan be able to provide me with historical account information from before the transfer?
We are working diligently to ensure all your historical loan data is successfully transferred to FedLoan; however, it may not yet be available. If you have questions about your loan information prior to the transfer, please reach out to a CornerStone representative. Otherwise, FedLoan will be your primary contact for any student loan related questions moving forward.
Will the loan transfer impact my credit score?
The transfer itself will have no net impact on your credit score, as your balance and repayment terms are not changing. However, third party websites, such as Credit Karma, may temporarily show a false change in your credit score because they do not have direct access to all your most current credit information. To verify your actual score, please reach out to the credit bureaus directly.
How should I expect to receive my tax information for the 2020 tax year?
Cornerstone sends an official 1098-E tax document to customers who have paid $600.00 or more in interest and fees in a given year. If you did not meet this threshold, generally a summary statement is provided. Due to the recent transfer of your account, we have not yet determined if or when a summary statement will be sent for 2020. However, the summary statement is not required in order to claim interest payments on your taxes.
If you would like to know the amount of interest/fees you paid in 2020 a Customer Service Representative can provide you with this amount over the phone. CornerStone will have access to your tax information until March 15, 2021. If you need your tax information after that date, you will need to reach out to FedLoan.
How do the CARES Act benefits affect the way I should file my taxes?
The general process of filing your taxes will remain the same. However, due to CARES Act benefits like the forbearance and 0% interest rate, you may not have paid as much interest or fees as you would during a normal year. A 1098-E or Tax Summary Statement, showing the amount you can claim on your taxes, will be available in your paperless inbox by January 31st. If you have any questions about filing your taxes, please reach out to a tax professional.
New Servicer Questions
When will FedLoan contact me?
FedLoan Servicing sent you a welcome email as soon as your account was fully transferred and loaded to their system. If you have any questions, please give them a call at 1-800-699-2908.
Do I have a new account number with Fedloan?
No, your account number will stay the same. Account number changes can be part of the normal loan transfer process; however, for convenience and ease, all account numbers stayed the same when transferring from CornerStone to FedLoan Servicing.
Does FedLoan have online account access?
Yes, FedLoan has online account access. You will need to follow the instructions for signing up once they provide them to you. As part of that process, you’ll also establish a new username and password.
Once your FedLoan online account is active, you will be able to make payments and view your loan details, similar to how our online portal was set up. Additionally, they have a mobile app you can take advantage of! You can learn more about the services they offer on their website at https://MyFedLoan.org.
To whom will I make federal student loan payments now that FedLoan Servicing is my servicer?
You will make all payments to FedLoan. They will notify you when your payments will be due and how you can submit your payments moving forward.
I made a payment but it isn’t showing on my account, where is my payment?
As your loans have been transferred, we are forwarding any payments we receive to FedLoan Servicing to be processed. It can take two to four weeks for your payment to be processed, but it will be effective as of the date you submitted the payment. Please reach out to FedLoan for details regarding the status of your payment.