Lincoln-based Nelnet announces hundreds of additional layoffs

LINCOLN, Neb. (WOWT) - Nelnet, the student loan service company based in Lincoln, is cutting an additional 550 positions in its diversified services division.

In an online news release, Nelnet says it received a contract modification from the Department of Education Wednesday, which significantly decreased the price earned by the company per borrower per month.

The company also says it was notified last month that the Department of Education would transfer one million borrowers from Nelnet to another federal servicer.