Currently Navient is saying that Auto Pay amounts cannot exceed the minimum monthly payment due.
I have a really hard time believing this is a technical issue, to me this sounds like a ploy to make more money: if the only way to pay more than the minimum is for the borrower to actually log in and make a payment manually then they are probably exponentially less likely to do so.
In the process they are not paying down the principal nearly as fast, resulting in the borrower being in debt longer and paying more interest.
What I don't know is if there are any laws governing federal loans and/or automatic payments that actually prevent Navient from offering more than the minimum automatic payments. Is there anything preventing Navient from offering this to its borrowers?
EDIT: My question specifically deals with the laws of the US, but if the policy is the same for other countries, answers are welcomed as well.