Email and text are the top two ways student loan borrowers want to be contacted by their loan servicers, according to a new survey conducted by San Diego-based loan servicing firm First Associates Student Loan Servicing.
Two-thirds of the respondents surveyed by First Associates Loan Servicing said they preferred email and text communication to other communication methods, the firm said.
Another top finding of the survey was 90% of respondents said they should be contacted the way they like the most.
"There’s a big disconnect with many companies that operate in this market and borrowers, so it’s no wonder that a lot of firms are struggling with high delinquency and default rates within the portfolios they service,” said David Johnson, CEO for First Associates Loan Servicing.
“Loan servicers must do a better job to recognize the numerous and changing consumer preferences and incorporate them into operations that drive enhanced performance for lenders and superior customer experiences for borrowers,” Johnson said.
Nearly 250 people responded to the survey, which First Associates Student Loan Servicing conducted over two separate, one-week periods in February and April, the firm said.