Navient Settlement: Who Gets Paid and How Much

Who qualifies

• 2022 debt cancellation: borrowers nationwide with qualifying subprime private student loan balances originated by Navient's predecessor. Navient canceled the remaining balance and notified those borrowers directly — about 66,000 people, sharing roughly $1.7 billion in relief.
• 2022 restitution: federal loan borrowers who were placed in certain types of long-term forbearance. About 357,000 people received approximately $260 each, and eligible borrowers were sent a postcard by the state settlement administrator in spring 2022.
• 2024 CFPB redress: borrowers harmed by the conduct in the CFPB's order, which covers steering borrowers into forbearance instead of income-driven repayment, failing to notify borrowers about income-driven plan recertification deadlines, misallocating and misapplying payments, damaging the credit reports of borrowers with disability discharges, and misrepresenting cosigner release requirements.
• The CFPB identifies eligible borrowers itself and mails checks. The Bureau has stated that consumers do not need to do anything to obtain redress.
• If Navient serviced your loans before the servicing transfer completed in 2021, you may fall within the CFPB group even if you did not receive a 2022 state restitution payment — the two programs cover different conduct and different borrowers.
• Neither program covers loans that Navient never serviced or originated, and neither cancels current federal student loan balances.

Navient settlement payments — what to expect

1. 1

   There is no claim form, and there never was one

   Both the 2022 state settlement and the 2024 CFPB order pay automatically. Borrowers were identified from Navient's servicing records, and government administrators mailed the money. Any website offering to file a Navient settlement claim for you, especially for a fee, is not legitimate.

2. 2

   The CFPB checks started February 13, 2026

   The CFPB lists the distribution for CFPB v. Navient as beginning February 13, 2026 and ongoing, which means checks are mailed in batches rather than all at once. Rust Consulting administers the payments and can confirm whether a payment was issued in your name.

3. 3

   The 2022 restitution was about $260 and was paid in 2022

   Roughly 357,000 federal loan borrowers who had been placed in long-term forbearance received about $260 each from the $95 million restitution fund. Those borrowers were sent a postcard by the settlement administrator in spring 2022 before the payments were issued.

4. 4

   Debt cancellation was applied to the loan, not paid as cash

   The $1.7 billion in relief canceled the remaining balances on qualifying subprime private loans for about 66,000 borrowers. Navient notified those borrowers and refunded qualifying payments made after the cutoff date in the settlement, so the benefit appeared as a zeroed balance rather than as a settlement check.

5. 5

   Navient is permanently out of federal student loan servicing

   The September 12, 2024 CFPB order did more than order money. It permanently bans Navient from servicing federal Direct Loans and from most work involving the federal student loan system, which is why borrowers' accounts moved to other servicers.

6. 6

   If no check arrived and you think you qualify

   Contact Rust Consulting at 1-800-711-8418 or navient_info@rustcfpbconsumerprotection.org, or write to CFPB v Navient, P.O. Box 2561, Faribault, MN 55021-9561. Make sure your address is current, because these payments are mailed as paper checks.

7. 7

   Spotting the scams that follow a real settlement

   Student loan relief scams spike whenever a servicer settlement makes the news. The CFPB never charges a fee to release redress and never asks for payment to process a check. ClaimBee tracks which settlements are real, whether they need a claim form, and when the deadlines fall.

Frequently asked questions