BETSY DEVOS/EDUCATION: “Today, U.S. Secretary of Education Betsy DeVos announced her intent to transform how Federal Student Aid (FSA) provides customer service to more than 42 million student loan borrowers…
The anticipated FSA Next Generation Processing and Servicing Environment will provide for a single data processing platform to house all student loan information while at the same time allowing for customer account servicing to be performed either by a single contract servicer or by multiple contract servicers. This new approach is also expected to require separate acquisitions for database housing, system processing and customer account servicing which will allow for maximum flexibility today and into the future. FSA expects these contemplated changes to the servicing and processing environment to provide the opportunity for additional companies to submit proposals for contracting with FSA…
Secretary DeVos recognizes the opportunities Dr. Johnson has identified to enhance FSA’s Next Generation Processing and Servicing Environment and accordingly the Department has cancelled the current student loan solicitation (Solicitation #ED-FSA-17-R-001).
Contracts with current FSA student loan servicers expire in 2019. Dr. Johnson and his team will have the new processing and servicing environment in place prior to the expiration of the current contacts.”
-Department of Education, “Secretary DeVos Announces Intent to Enhance FSA’s Next Generation Processing and Servicing Environment,” U.S. Department of Education, Aug. 1, 2017