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Get a Lower Interest Rate on a Firstmark Services Student Loan

There are several different strategies available for Firstmark Services borrowers to reduce interest rates and get lower monthly payments.

Written By: Michael P. Lux, Esq.

Last Updated:

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Student loan borrowers who have to work with Firstmark Services usually don’t have a choice. Worse yet, if borrowers are looking for a lower interest rate, Firstmark Services probably can’t help.

Many lenders pay Firstmark to handle the day to day management of student loans, including answering borrower questions and collecting payments. For the over half a million consumers forced to work with Firstmark, getting help can be frustrating. This is especially true for borrowers looking for lower monthly payments or a better interest rate.

Even though Firstmark Services has earned a reputation for lousy customer service, there are several different ways that student loan borrowers can improve their circumstances. They may even be able to get rid of Firstmark entirely and work with another company.

What is Firstmark Services? And Why are they a Problem?

By digging into the Consumer Financial Protection Bureau Complaint Database, we see complaints about Firstmark’s failure to collect payments properly and complaints about Firstmark not working with borrowers on monthly payments.

Firstmark not lowering payments for borrowers isn’t a surprise because Firstmark is a loan servicer rather than a lender.

The lenders are the ones who set loan terms. A loan servicer, like Firstmark, is tasked with collecting payments and answering questions about the existing loan contract. In most cases, Firstmark does not have the authority to modify the terms of the original agreement.

Because Firstmark functions as something of a middleman between the borrower and the lender, reasonable requests may go unfulfilled. The servicer isn’t allowed to change the contract, and the lender doesn’t know about the customer’s request.

How to Go Around Firstmark to Get a Lower Interest Rate

The best and most efficient route for a lower interest rate with Firstmark Services is to refinance the student loan with another lender.

By refinancing, a new loan with new terms is created, and the old loan is eliminated. Through the refinance process, borrowers can get lenders competing to see who will offer the lowest interest rate, and borrowers won’t have to work with Firstmark going forward.

Borrowers that don’t want to work with Firstmark should avoid the following lenders who currently have contracts with Firstmark: CommonBond, Citizen’s Bank, U-Fi, Purefy, and Brazos.

Those looking for the lowest possible interest rate should investigate refinancing with the following lenders:

RankLenderLowest RateSherpa Review
T-1ELFI5.28%ELFI Review
T-1Splash Financial5.28%*Splash Financial Review
3Laurel Road5.49%Laurel Road Review

Those looking for the lowest possible monthly payment may want to opt for a longer loan. Selecting a 20-year loan will result in a higher interest rate, but monthly payments will be far more manageable, and borrowers always have the option of paying extra or refinancing again.

The top rates in the 20-year loan category are with the following lenders:

RankLenderLowest RateSherpa Review
1Splash Financial6.08%*Splash Financial Review
2Laurel Road6.55%Laurel Road Review
3ELFI6.64%ELFI Review

[Note: The lenders listed are pulled from our student loan refinance rates table, and the rates are updated monthly.]

Help for Borrowers who can’t Refinance

Refinancing away from Firstmark Services may be the easiest way to get a better interest rate or lower payment. However, refinancing isn’t always an option for borrowers who don’t have the credit score or income to qualify.

Sadly, the borrowers who need the help the most are the ones who will have the most difficult time getting help.

When the most effective option isn’t available, borrowers can resort to longshot strategies. These approaches may not always work, but they may be worth trying even with limited chances of success:

Call the Lender Directly – Because Firstmark usually doesn’t have the authority to change the loan terms, borrowers can reach out directly to the lender for help. The odds are pretty good that the lender will direct the borrower back to Firstmark. Borrowers should explain that they have already reached out to Firstmark and that Firstmark told them they couldn’t make changes to the loan. The success of this approach may vary from one lender to the next. Borrowers may also want to investigate if the lender has an Ombudsman or Consumer Advocate. These resources may be the best option when making this unique request.

File a CFBP Complaint – Reaching out to the CFPB is an excellent way to bring some extra attention to your situation. Student loan companies are often very responsive to complaints, and even if the borrower doesn’t get the help they are asking for, they may get a more detailed explanation of the issue. This site has previously explained how to file a CFPB complaint and why it can make a difference.

Don’t Buy the Hype on Deferments and Forbearances

Many student loan companies will try to convince borrowers looking for a lower interest or lower payment that a deferment or forbearance will help them.

Unfortunately, these remedies usually only delay the problem and make things more difficult in the long run.

Borrowers should understand that even though a deferment or a forbearance may pause payments, interest usually continues to accrue. This means that at the end of the “break,” the balance will have gone up, and payments may be higher. This option might help borrowers temporarily furloughed. For those with long term issues, it is best to explore other forms of assistance.

Final Thought: Understand how the system works to avoid wasting time.

Having a servicer like Firstmark puts some distance between the lender and the borrower.

Borrowers that understand this issue can do two things: either find a new lender or convince the current lender to change the terms of the deal.

About the Author

Student loan expert Michael Lux is a licensed attorney and the founder of The Student Loan Sherpa. He has helped borrowers navigate life with student debt since 2013.

Insight from Michael has been featured in US News & World Report, Forbes, The Wall Street Journal, and numerous other online and print publications.

Michael is available for speaking engagements and to respond to press inquiries.

4 thoughts on “Get a Lower Interest Rate on a Firstmark Services Student Loan”

  1. I am trying to get my interest lowered. For lender it says Firstmark Secured Trust on my loan documents but they say they don’t know. I thought it was a Wells Fargo loan but I can’t figure it out.

    • I see. First, let me start by pointing out that there are a number of strategies that can work to lower interest rates.

      If I was in your situation, I’d call and ask if there were any options to lower the interest rates. If they said no, I’d ask for contact information for the loan holder. If they refuse to work with you on the loan or provide loan holder information, I’d consider filing a complaint with the CFPB.

      You might also be able to track down some information about your loan by checking out your credit report.

      Finally, what you are describing is difficult to do under the best of circumstances, and when you have a mystery loan holder and a servicer who doesn’t want to help, it becomes even more challenging. That said, it is definitely worth a try.

    • That is strange. Firstmark only services private student loans, so we know they are not federal loans, but I can’t see why they won’t tell you who the loan holder is.

      Are you trying to reach the loan holder so that you can request a modification of the loan terms? Or are you just curious about who owns the loan? My suggestion for your next step will probably depend upon what it is you are trying to accomplish.


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