[mr_cyborg]

In this case, the government is who is giving out the loans, and it’s been that way since 2010.

Then they pay someone else to service the loan after origination.

[kgwgk]

The one servicing the loan is the student.

[zaroth]

“Loan servicing” means the work of sending out statements, collecting payments, answering the help desk, tracking the accumulated interest, filing the tax forms, etc.