What if my “other loans” are not paid off after consolidation?

One of the more common post disbursement issues for consolidation is when a consolidation is completed but the loans that it paid off are still showing.

Here are a couple of helpful things to remember:

-It can take approximately 3 days for the balance on underlying loans to show as paid with the old loans of your current servicer

-For loans not with your current servicer where the funds must be sent, it can take up to 30 days for the funds to be received and applied. Remember that it will be credited with the day of the payment so no additional interest will be applied.

-If it is over 30 days, my suggestion would be to send a bill that shows the non-paid off amount to your servicer and request a review

-Not all bills are eligible. If you have for example private loans these will not be included in your consolidation and as a result won’t receive a payoff.