Date Received: 2022-10-27
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: FedLoan Servicing is not taking ownership of a payment I made before my loans were transferred to XXXX. On XX/XX/2021 I made a {$25000.00} payment towards my student loan balance. This was made before my loans were transferred to XXXX, therefore FedLoan should be responsible for returning {$20000.00}. Details regarding the payment is listed below : XXXX XX/XX/2021, XXXX XXXX to XXXX Dear XXXX : We are confirming the student loan payment you scheduled through Account Access. Payment Amount : {$25000.00} Payment Date : XX/XX/2021 Checking/Savings Account : XXXX Confirmation Number : XXXX
Company Response:
State: GA
Zip: 303XX
Submitted Via: Web
Date Sent: 2022-10-27
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-10-28
Issue: Attempts to collect debt not owed
Subissue: Debt is not yours
Consumer Complaint: In reference to complaint XXXX which includes the details of the account, American Education Services violated the Fair Credit Reporting Act by continuously harassing me with debt collection calls after receiving a cease and desist letter and debt validation request, and did not provide *any* documentation within the 30 day period after receipt of the request. They broke federal law. Period. The CFPB is the entity responsible for upholding these laws. Period. Both AES and XXXX have still failed to provide legal proof of ownership of my loan, and the PHEEA investigation even stated that the " documentation no longer exists. '' The CFPB SUED XXXX FOR THIS VERY REASON. https : //www.consumerfinance.govXXXX There is legal precedent that the CFPB proved in court that XXXX was unable to produce the documentation that they are legally required to have in order to legally collect on the loans. This is exactly what's going on here. I have been asking them to produce the documentation for 2 years. They keep sending me the original promissory note, from XXXX XXXXXXXX XXXX, which does not prove that XXXX owns it. They have failed to prove anything. Again, AES broke federal law, and should be held accountable. XXXX is trying to fraudulently collect on a loan they do not own, until/unless they can legally prove otherwise, which is a REALLY SIMPLE REQUEST and should not take over 2 years to fulfill. I am not satisfied with their responses, I am not about to take AES breaking the law and harassing me sitting down, and I'm a little disturbed that the CFPB doesn't seem to care that both of these companies are in violation of the laws the CFPB is responsible for upholding.
Company Response:
State: NC
Zip: 27604
Submitted Via: Web
Date Sent: 2022-10-28
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-10-28
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: XX/XX/XXXX spoke with my current loan servicer and requested a refund of all payments made during forbearance period under the CARES Act, which should total {$5000.00}. Loan was transferred to current servicer from FEDLOAN only months prior to request, but I was told while speaking to my current servicer I could request all payments made to each servicer be refunded by the US Dept of Treasury at the same time, no need to make contact with FEDLOAN. Was told 30-45 days to process. As of XX/XX/XXXX, total balance has only reflected return of payments made to current servicer ( though those funds have not been yet been direct deposited to bank account ). No payments made to FEDLOAN during forbearance period have been refunded. Unable to reach customer assistance by phone to follow up due to consistent high volume of calls, and disconnection from line while on hold.
Company Response:
State: CA
Zip: 92691
Submitted Via: Web
Date Sent: 2022-10-28
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-10-26
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: FedLoan Servicing completed my PSLF review. I had consolidated my loans in XXXX. FedLoan Servicing discharged my loan for XXXX payments made to XXXX XXXX from XXXX. However, Fedloan Servicing did not count any payments made from XXXX XXXX to a prior servicer. I have been continuously employed by the XXXX XXXX since XXXX. I believe I am entitled to have these payments counted and to be refunded payments over XXXX.
Company Response:
State: SC
Zip: 29210
Submitted Via: Web
Date Sent: 2022-10-26
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-10-26
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: Loan servicer : FedLoan Servicing At the end of XXXX I called Fed Loan Servicing at XXXX to request a {$20000.00} refund for payments I made during the Covid pause. They informed my request was accepted and I should receive the refund in a form of a check or directly deposited back to my bank within 3-8 weeks. On XX/XX/XXXX I called and spoke to a second agent to told me my request was still visible and I should be getting the refund soon. I checked Fed Loan 's webiste and it still shows my loans are paid off and have not be returend. On XX/XX/XXXX I called to check the status and ask if I needed to submit another request. They said no, they are still waiting for things to be processed. As of today, XX/XX/XXXX I would like to have my refund expedited so I can proceed with the loan foregiveness application. Please let me know when I should expect to receive an update on this matter.
Company Response:
State: GA
Zip: 303XX
Submitted Via: Web
Date Sent: 2022-10-26
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-10-26
Issue: Struggling to repay your loan
Subissue: Problem lowering your monthly payments
Consumer Complaint: In XXXX my wife and I made the decision to consolidate our federal student loans in hopes of simplifying our payback arrangements. This resulted in a private loan with XXXX, serviced by AES which originated on XX/XX/XXXX with a balance of a {$42000.00} with a variable rate at the time based upon the XXXX. Since origination, almost exactly XXXX ago, the following are loan facts to date ( XX/XX/XXXX ) : Current Interest Rate : 10.57 % ( Standard Variable ) Payments made to date ( according to the banks payment history ) : XXXX Average Monthly Payment {$300.00} Late Payments Since Origination : XXXX Late Fees Paid Since Origination : {$75.00} Principal Paid to Date : {$9700.00} Interest Paid to Date : {$40000.00} Total Paid to Date : {$50000.00} Expected Payoff Date : XXXX/XXXX/XXXX My complaint should be self evident based upon the numbers above. While the ( to date ) loan details state that our term is " 196 months '' we have satisfied XXXX payments to date and have only paid less than {$10000.00} to the principal and the loan details also state the " Expected Payoff Date '' to be XXXX/XXXX/XXXX? Very confusing. It should be noted that my wife and I filed for XXXX XXXX Bankruptcy in XXXX, XXXX in XXXX of XXXX. The bankruptcy was a result in part to past medical debt and my wife losing her business due to unforeseen circumstances. Due to the bankruptcy pending on our credit report, we are not able to refinance this student loan. As shown above, in the past 14 years we have been late paying this student loan one time. I have attached the loan transactions to date document that was downloaded from the AES website. I have also attached the details of the loan as printed from their website in XX/XX/XXXX and as of recent of XX/XX/XXXX.
Company Response:
State: NE
Zip: 693XX
Submitted Via: Web
Date Sent: 2022-10-26
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-10-25
Issue: Dealing with your lender or servicer
Subissue: Need information about your loan balance or loan terms
Consumer Complaint: I paid my student loans in full in XXXX of XXXX through FedLoan, closing my account. My account was going to be transferred to XXXX but then I got a letter from FedLoan stating that the transfer was delayed or cancelled & that they would contact me if that should change on XX/XX/XXXX. On XX/XX/XXXX or XX/XX/XXXX of XXXX I requested a refund of {$10000.00} of the {$10000.00} that I paid in full as part of the CARES Act. I was told initially that this would take 1 week or up to 1 month. I called again in XXXX to ensure that the request for the refund had gone through as I hadnt heard anything or received any confirmation. They told me it had gone through, but that the information I was given to me initially was wrong & it could be six months. They said it showed in their system the refund has been requested but that it had moved to the XXXX XXXX XXXX & that was what the hold up was. I called a few days ago & the automated messaging on FedLoan said my loan had been transferred to XXXX. I finally got through to customer service & the agent ( # XXXX ) said it continues to show that I requested the refund & that the request had been sent to the XXXXXXXX XXXX XXXX XXXX. She said it also shows that my account was transferred to XXXX but that the refund would still be going through FedLoan because thats who I paid the account off with. I still have yet to receive any account related letters via email or mail to inform me that my loan with a {$0.00} balance was transferred to another loan servicer. Now I do not have any way to even check the status of my loan balance to see if I have been refunded.
Company Response:
State: MN
Zip: 565XX
Submitted Via: Web
Date Sent: 2022-10-25
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-10-24
Issue: Dealing with your lender or servicer
Subissue: Need information about your loan balance or loan terms
Consumer Complaint: I requested a refund under the CARES Act for payments made during the XXXX waiver of {$34000.00} on XX/XX/22. I followed up with a phone call on XX/XX/22 to check that the refund was in process and received confirmation that it was sent to the Department of Education. I have not received any updates or information since XX/XX/22. On XX/XX/XXXX I logged into my Fedloan account and all my information has been erased. When I try to call Fedloan, they say that my account has been transferred to XXXX and I can not get hold of a representative because the call ends automatically. I received no information ( email, text, or physical ) that this has happened I found out by chance. It has been almost XXXX weeks since I put in my refund request on XX/XX/22 and I am hearing that Fedloan canceled the refund request when they transferred my loan over to XXXX which I did not authorize them to do.
Company Response:
State: WI
Zip: 54601
Submitted Via: Web
Date Sent: 2022-10-24
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-10-25
Issue: Dealing with your lender or servicer
Subissue: Problem with customer service
Consumer Complaint: I submitted a CFPB complaint on XX/XX/XXXX, as FedLoan Servicing was not providing sufficient information about the status of my requested refund for payments made during the XXXX freeze. My original request to FedLoan Servicing accepted on XX/XX/XXXX was for my {$19000.00} in payments made between XX/XX/XXXX and XX/XX/XXXX to be refunded so that my loans would be reinstated and become eligible for {$10000.00} in debt relief/forgiveness under the Biden-XXXX Administration student debt relief plan. On XX/XX/XXXX, the XXXX XXXX XXXX XXXX ( " XXXX '' ) at the Pennsylvania Higher Education Assistance Agency ( " PHEAA '' ) responded to my CFPB complaint, saying : " XXXX performed a comprehensive review of your account. This investigation included the review of all relevant account history and documentation, including any information you provided to us. As you may know, PHEAA/FedLoan Servicing did not renew its federal loan servicing contract with the United States Department of Education XXXX XXXX of XXXX XXXX XXXX XXXX XXXX ), which means PHEAA is unable to process your refund request. Although your account is not active at this time, it will be transferred to another XXXX servicer. You will receive ( or should have received ) communications regarding this transfer. Your outstanding refund request will be sent to the new servicer, who will be able to assist you with your refund request, and if approved, will result in a reinstatement of your loan balance. '' On XX/XX/XXXX, following PHEAA 's CFPB response, I re-contacted FedLoan Servicing by phone as I had not received any communications regarding the transfer of my account to a new servicer ( as indicated by PHEAA in their CFPB response ). A supervisor at FedLoan Servicing confirmed that my account had not been closed/transferred and reassured me that FedLoan Servicing would be responsible for issuing the refund to me and reinstating the loans and that my account nor this process would be transferred to a new XXXX servicer. The supervisor told me this would occur in a minimum of 90 days but could not provide further guidance or timelines. Now I am in a position where PHEAA is providing conflicting information on the status of my account. I am left unsure if/when I will receive a refund and be able to proceed with the subsequent steps to apply for loan forgiveness from the Department of Education by the application deadline.
Company Response:
State: NY
Zip: 10001
Submitted Via: Web
Date Sent: 2022-10-25
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-10-24
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: I contacted FedLoan servicing at the start of XX/XX/2022 to request a refund of payments I had made during the XXXX forbearance. FedLoan acknowledged that my request had been received and that I would receive my refund within 2 to 6 weeks. Approx 2 weeks of that refund request, all of my loan information disappeared from my account on the FedLoan website. I contacted FedLoan on XX/XX/XXXX to understand why I could no longer see any information related to my loan on their website. I was informed by the agent on the phone that FedLoan no longer serviced my loan and that it had been transferred to another servicer. They said my request for a payment refund would have to be made through the new loan servicer. I immediately called the new loan servicer, XXXX. They said that my loan information had not actually transferred yet and could take up to 2 months to transfer and be in their system. They could not see any info related to me or my loan as it was not yet in their system. FedLoan servicing knowingly made a promise of a payment refund with a 2-6 week timeline and then immediately sought to transfer my loan away from themselves. They knowingly gave fraudulent information and made no effort to process my refund request. Money that is legally my right to be refunded is now unavailable.
Company Response:
State: AZ
Zip: 85388
Submitted Via: Web
Date Sent: 2022-10-24
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A