American Education Services (AES) is a student loan servicer established by the Pennsylvania Higher Education Assistance Agency (PHEAA) in 1963. The company operates as a sister company to FedLoan Servicing, performing similar duties and tasks for borrowers from around the country. Specific services rendered for millions of students and thousands of schools include guaranteeing loans, financial aid processing, loan servicing and a myriad of other student aid programs.
While you won’t be able to approach the company as an individual looking for a student loan, you may find the company as your servicer and, thus, the company you are doing business with.
Paying back loans with AES
AES has been servicing student loans for over 50 years now. The exact rate, terms and payoff characteristics of your student loan will not be initially decided by AES. Instead, these will be sorted out by the lender from which you choose to secure your loan. After this, the lender sends the loan and your information to AES, which takes over handling the billing and backend processes.
AES offers a wide array of different services to schools and lenders to help facilitate the student loan process. One thing that stands out about the company is it offers a handy mobile app to help you track the progress and status of your student loan products. The app integrates with touch and face ID, allows you to schedule payments from anywhere, shows a helpful loan summary, gives the ability to change due dates and even has an inbox area to receive messages from AES.
The company also offers several ways to help if you are having trouble repaying your loans on time. These include things like the ability to change due dates, adjusting payment plans and postponing payments with deferment or forbearance. While you may not have a choice about what company services your loan, these perks are great for anyone working with AES.
AES has four ways to make payments toward your federal student loans:
- Direct debit
- Mobile app payments
- Online payments
- Check payments
You may also be able to contact AES to see which companies it is currently working with. Contact is available via email or mail. Do expect longer than normal wait times, though, as many students are dealing with the effects of COVID-19.
Like the rest of the federal student loan servicers that handle the U.S. Department of Education loans disbursed to students, AES has multiple repayment plans available to borrowers to pay back their student loans.
- Standard: Like a private student loan, the funds are repaid in equal monthly installments throughout the life of the loan, with no changes to terms, interest rate or payment date.
- Graduated: The loan is repaid in smaller monthly payments at the beginning, usually when the borrower’s income is low. However, the payments increase as it’s assumed that the borrower earns more throughout their career. Typically, the beginning payments are interest-only.
- Income-Sensitive: The monthly payments are determined by the borrower’s monthly gross income and how much student debt is accrued. The payment plan must be applied for every 12 months to reassess the borrower’s income and make adjustments as it increases or decreases.
- Income-Based: This payment plan helps borrowers who may be experiencing financial hardship better manage their monthly payments. The terms may extend past the typical 10-year period, but it’s not guaranteed.
- Extended 25-Year: The regular 10-year term is extended by 15 years so that monthly payments are smaller.
How to contact AES
Email: sign in to your AES account
Call: 1-800-233-0557 (Monday – Friday, 7 a.m. to 9 p.m.)
American Education Services
P.O. Box 2461
Harrisburg, PA 17105-2461
Send payments (except payoffs):
American Education Services (AES)
PO Box 65093
Baltimore, MD 21264-5093
Send payoffs (payments in full)
AES – Paid in Full
P.O. Box 2251
Harrisburg, PA 17105-2251
Send credit disputes to:
P.O. Box 61047
Harrisburg, PA 17106-1047
The Office of Consumer Advocacy
Pennsylvania Higher Education Assistance Agency
The Office of Consumer Advocacy
1200 North 7th Street
Harrisburg, PA 17102
AES student loan consolidation
Because AES is a federal student loan servicer, it follows federal guidelines for student loan consolidation. When you consolidate your AES student loans, it’s processed through the Federal Direct Loan program by the government. While consolidating your student loans can help lower your monthly payment, it can extend the life of your loan, thus increasing the amount of interest charged on the student loan overall. However, it can be beneficial to make one monthly payment to one lender for the rest of the loan, making it easy to plan payments and assess monthly budgets.
Too long, didn’t read?
When you go to secure a federal student loan, make sure to ask who the servicing company will be with your loan. If the servicing is done out-of-house (which it normally is), take the time to research the company handling your loan. Why? Because this is the company you will be doing the most business with. If AES is listed as your servicer, you now have some good knowledge as to how the company operates.
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- How to Take Out Student Loans Without a Cosigner
- Here’s How to Apply for Education Grants
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