How to Write a Student Loan Goodwill Letter to Save Your Credit

Updated on February 21, 2024

At a Glance

  • A goodwill letter is a formal request to your student loan servicer to help remove a negative mark from your credit report.
  • Writing a successful goodwill letter involves clearly explaining your financial hardship and how you plan to improve your situation.
  • It may take several weeks or months to get a response to a goodwill letter, so patience is key.
  • While waiting for a response, there are other steps you can take to improve your credit such as paying your bills on time and reducing credit card balances.

Are your student loan payments drowning you in debt and damaging your credit score? Don’t worry, there’s a light at the end of the tunnel! With a little bit of effort, you can turn things around. One effective strategy is to write a goodwill letter to your student loan servicer. In this article, we’ll show you how to write a persuasive goodwill letter that can help save your credit.

Goodwill Letter for Student Loans: The Basics

Before getting into the “how to”, let’s learn more about goodwill letters, what they are and how they can help you.

What Is a Goodwill Letter for Student Loans?

A goodwill letter is a formal letter you write to your student loan servicer, explaining your financial situation and requesting their assistance to remove a negative mark from your credit report. The goal is to appeal to their compassion and understanding, and convince them to make an exception for you.

When crafting your goodwill letter, it’s important to provide specific details about your financial hardship. For example, you can mention unexpected medical expenses, job loss, or any other circumstances that have impacted your ability to make timely payments. By painting a clear picture of your situation, you increase your chances of touching the hearts of your loan servicer.

Can a Student Loan Goodwill Letter Help You?

Goodwill letters have been successful in many cases, but there are no guarantees. It ultimately depends on your loan servicer’s willingness to forgive the negative mark. However, it’s always worth a try, especially if you have legitimate reasons for your financial hardship.

It’s important to note that a goodwill letter is not a magic solution. While it can potentially lead to the removal of a negative mark, it requires patience and persistence. Your loan servicer may need time to review your case and make a decision. In the meantime, continue making your regular payments to show your commitment to resolving the issue.

How Long Does It Take to Get a Response to a Goodwill Letter?

Patience is key when it comes to goodwill letters. It might take several weeks or even months to receive a response. Stay proactive and follow up with your servicer if you haven’t heard back after a reasonable amount of time.

It’s important to stay on top of your finances during the waiting period. Keep track of your payments, review your credit report regularly, and explore other options for managing your student loan debt. Remember, a goodwill letter is just one approach, and other strategies may be available to you.

Additionally, it’s worth mentioning that some loan servicers have specific guidelines or requirements for goodwill letters. Take the time to research and understand their policies before submitting your letter. This will help you tailor your message to their expectations and increase your chances of a positive outcome.

Sample Goodwill Letter for Student Loans

When writing your goodwill letter, keep it concise, honest, and respectful. Here’s a template you can use as a starting point:

[Your Name]

[Your Address]

[City, State, Zip]

[Loan Servicer’s Name]

[Loan Servicer’s Address]

[City, State, Zip]

Dear [Loan Servicer’s Name],

I am writing to you today to express my sincere desire to resolve the negative mark on my credit report regarding my student loan account. I am facing significant financial challenges that have led to my inability to make timely payments on my loan.

[Explain your situation briefly, including any circumstances that have affected your ability to repay your student loan debt. Be honest and provide as much detail as necessary to support your case.]

I understand that my situation is my responsibility, and I am committed to resolving it. I truly believe that with the removal of this negative mark, I can work towards rebuilding my credit and becoming financially stable. I kindly request your understanding and support in this matter.

[Express gratitude for their time and consideration. Sign off with your name and contact information.]

Sincerely,[Your Name]

It is important to note that when writing a goodwill letter for student loans, personalization and attention to detail can greatly increase your chances of success. While the template provided above serves as a solid foundation, taking the time to add your unique circumstances and experiences can significantly impact the reader.

How to Improve Your Student Loan Goodwill Letter

It’s crucial to improve and personalize your goodwill letter if you want it to be effective. Here are a few things you can do to boost your chances of success:

Talk About Your Financial Issues

Consider elaborating on the specific financial challenges you are facing and how they have affected your ability to meet your student loan obligations. Providing concrete examples and details can help the loan servicer understand the severity of your situation and the genuine effort you are making to rectify it.

Let Them Know How You’re Trying to Fix the Problem

Furthermore, including any steps you have taken or are planning to take to improve your financial situation may be beneficial. This could involve seeking additional employment, enrolling in financial literacy courses, or exploring alternative repayment options. Demonstrating your proactive approach to resolving your financial difficulties can leave a lasting impression on the reader.

Remember, the goal of a goodwill letter is to appeal to the loan servicer’s empathy and understanding. By sharing your story and expressing your commitment to overcoming your financial challenges, you are more likely to receive a positive response. Take the time to craft a heartfelt and persuasive letter that showcases your determination to make amends and move forward.

Important Documentation to Provide With Your Letter

You should include supporting documentation to strengthen your case when submitting your goodwill letter. Here are a few documents you should consider including:

  • Proof of income (pay stubs, tax returns)
  • Bank statements
  • Medical records (if applicable)
  • Divorce decree (if applicable)
  • Death certificate (if applicable)

Include a cover sheet that lists the enclosed documents and briefly explains how they relate to your financial hardship. This will help your servicer understand your situation better.

Tracking Down the Address of Your Loan Servicer

  • Navient

Contact the Navient student loan servicer at the following address:

Navient P.O. Box 9500Wilkes-Barre, PA 18773-9500

  • Sallie Mae

Contact Sallie Mae at the following address:

Sallie MaeP.O. Box 9635Wilkes-Barre, PA 18773-9635

  • Nelnet

Contact Nelnet at the following address:

NelnetP.O. Box 82561Lincoln, NE 68501-2561

  • Great Lakes

Contact Great Lakes at the following address:

Great LakesP.O. Box 7860Madison, WI 53707-7860

  • FedLoan Servicing

Contact FedLoan Servicing at the following address:

FedLoan ServicingP.O. Box 69184Harrisburg, PA 17106-9184


Contact MOHELA at the following address:

MOHELAP.O. Box 1022Chesterfield, MO 63006-1022

Other Steps You Could Take to Build Your Credit

While waiting for a response to your goodwill letter, there are other steps you can take to improve your credit:

  1. Pay your bills on time
  2. Reduce your credit card balances
  3. Keep old credit accounts open
  4. Monitor your credit report regularly
  5. Avoid applying for new credit
  6. Consider credit counseling or debt consolidation

Remember, rebuilding your credit takes time and effort, but it’s definitely achievable. Be patient and stay committed to your financial goals.

Final Thoughts

Getting a negative mark on your credit report can be devastating, but you can still save the situation by being honest about your financial situation. By following the steps outlined above and utilizing the power of a heartfelt goodwill letter, you can take control of your student loan debt and protect your credit score. Don’t let your student loans define your financial future – take action now!

Frequently Asked Questions (FAQ)

What is a goodwill letter for student loans?

A goodwill letter is a formal letter you write to your student loan servicer, explaining your financial situation and requesting their assistance to remove a negative mark from your credit report.

Can a student loan goodwill letter really help?

Goodwill letters have been successful in many cases, but there are no guarantees. It depends on your loan servicer’s willingness to forgive the negative mark.

What should be included in the goodwill letter?

Your goodwill letter should include specific details about your financial hardship, reasons for your inability to make timely payments, your commitment to resolving the issue, and your request for their understanding and support.

How long does it take to get a response to a goodwill letter?

It might take several weeks or even months to receive a response to your goodwill letter. Persistence and patience are key.

What happens if my goodwill letter is not accepted?

If your goodwill letter is not accepted, you may need to explore other strategies for managing your student loan debt and improving your credit.

Can I send a goodwill letter if I am not currently facing financial hardship?

A goodwill letter is specifically meant to appeal to the loan servicer’s understanding in case of financial hardship. If you’re not facing one, it may not be the appropriate strategy.

What documents should I include with my goodwill letter?

You should include supporting documents such as proof of income, bank statements, medical records (if applicable), divorce decree (if applicable), and a death certificate (if applicable).

How do I find the address of my loan servicer?

The addresses of various loan servicers are usually listed on their official websites or can be obtained by contacting them directly.

What other steps can I take to improve my credit while waiting for a response?

You can pay your bills on time, reduce your credit card balances, keep old credit accounts open, monitor your credit report regularly, avoid applying for new credit, and consider credit counseling or debt consolidation.

Can I write a goodwill letter for other types of loans or only for student loans?

While this article focuses on student loans, a goodwill letter can technically be written for any type of loan where you’re facing repayment issues due to financial hardship.

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