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Trump to offer exclusive contract to service U.S. student loans Trump to offer exclusive contract to service U.S. student loans Graduates arrive for commencement at the University of California, Berkeley, in Berkeley, United States May 16, 2015. REUTERS/Noah Berger WASHINGTON President Donald Trump's administration will soon offer an exclusive contract that will give one company the right to service billions of dollars of outstanding federal student loans now handled by four companies, officials said on Friday. The U.S. Education Department, led by Trump pick Betsy DeVos, said the streamlining will save money and increase efficiency. But critics said student borrowers could suffer because a single company would be granted a monopoly, with no incentive to provide better customer service. The Trump approach would represent one more radical change for the financial aid system that former President Barack Obama overhauled. Under Obama, a Democrat, much of the $1.3 trillion business of student lending was moved from banks and other companies to the federal government. Four companies still handle servicing the loans. Navient Corp (NAVI.O), which was spun off Sallie Mae (SLM.O) in 2014, is the largest.