Date Received: 2024-01-05
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: Dear CFPB, I am writing to urgently address a concerning matter regarding the application of my recent payment towards my student loan. Despite making all my payments in advance and on time, I have noticed that my most recent payment, made on XX/XX/XXXX for the amount of {$170.00} has not been applied correctly and accurately. I have taken proactive steps to resolve this issue by contacting your customer service department on multiple occasions and sending emails outlining my situation. I've called XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, and XX/XX/XXXX. I have followed all protocols and waiting time. Unfortunately, despite my efforts, I have not received any resolution or assistance. I was even escalated to a supervisor who was unable to provide a satisfactory solution. Moreover, I have experienced considerable frustration as each time I have called, I have been placed on hold for over an hour. In total, I have made five calls regarding this matter, and the due date of my next payment, which is XX/XX/XXXX, is fast approaching. The correct application of this payment is crucial as it will affect my due date. I kindly request your immediate attention and assistance in rectifying this issue. I believe that open communication and prompt resolution are essential in maintaining a positive customer-provider relationship. I trust that you will take the necessary steps to ensure that my payment is applied correctly, and I receive the necessary confirmation. Please reach out to me at your earliest convenience to provide an update on the status of this matter and to discuss the steps required to resolve it. I appreciate your prompt attention to this urgent issue. Thank you for your understanding and cooperation. Sincerely, XXXX XXXX XXXX
Company Response:
State: GA
Zip: 30022
Submitted Via: Web
Date Sent: 2024-01-05
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2024-01-04
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: On XX/XX/, a payment of {$11000.00} was incorrectly applied to my account. Under the terms of the loan agreement, payments made within XXXX of the disbursement are applied entirely to the principal balance and any fees and accumulated interest are refunded accordingly. This payment was within the 120 day period and was to pay the entire remaining balance, but it incorrectly applied a portion of the payment towards interest. The representative I spoke to said this would be adjusted on my account and that I would receive a check with a refund of any fees and interest and that once corrected, the balance will show XXXX, so I do not need to take any further action on this loan to pay it off. However, when I attempted to follow up via email to confirm this information, I have received XXXX response. The balance on my account kept increasing because interest was accruing. And having no response over and over again from Nelnet, I paid the remaining balance ( which was interest that I should not have been charged for because the payment was made within 120 days ) so that the balance would not continue to increase and risk having to pay that as a result of Nelnet 's incompetence. Nelnet has refused to respond. Their call center places you on hold for HOURS, effectively blocking you from getting any kind of meaningful customer service. If they don't respond to ANY emails, and you have to wait hours on hold, how is this issue supposed to be resolved? They owe me hundreds and hundreds of dollars of interest and fees that I should NOT have been charged for and they just ignore me now. They are in breach of contract and are not acting in good faith. This company is a scam and the XXXX Department of Education should have some standards in place so scumbag bankers like Nelnet stop taking advantage of students by fraudulently overcharging them. I will not let this go.
Company Response:
State: CA
Zip: 94103
Submitted Via: Web
Date Sent: 2024-01-04
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2024-01-04
Issue: Incorrect information on your report
Subissue: Information is missing that should be on the report
Consumer Complaint: My Nelnet student loan is being reported as closed, however it is not closed.
Company Response:
State: IL
Zip: 60623
Submitted Via: Web
Date Sent: 2024-01-04
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2024-01-04
Issue: Incorrect information on your report
Subissue: Account information incorrect
Consumer Complaint: XX/XX/XXXX, XXXX Nelnet sold the debt to XXXX Loans. XX/XX/XXXX, XXXX Nelnet balance shows XXXX. Proof : XXXX ) I have a letter from Nelnet indicating there is no balance with them, yet they are still reporting a balance of over XXXX. XXXX is ignoring the hard documentation issued by the Nelnet. XXXX ) Student portal shows no balance as of XX/XX/2023. Disputes Resolved disputes You've previously resolved XXXX disputes with XXXX You've previously resolved 10 disputes with XXXX DEPT OF ED / NELNET Submitted on XX/XX/2023 Not Changed DEPT OF ED / NELNET Submitted on XX/XX/2023 Not Changed
Company Response:
State: WI
Zip: 53209
Submitted Via: Web
Date Sent: 2024-01-04
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2024-01-04
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: I graduated from XXXX XXXX XXXX in XXXX and started loan repayment 6 months after graduation. The repayment plan I accepted was explained to me that after 20 years of interest payments, my loan would be forgiven. I have been making payments for 13 years with the exception of XXXX. My repayment recently started up in XX/XX/XXXX. I wanted to know when my loan payment plan would end so I contacted Nelnet to get that information. I was told that my repayment plan is not what I thought it was. The payments have been going to interest only, but my loan repayment will only end once the principal is paid off. This information tells me that my loan will never be paid off because the way it is set up is that my monthly payment only goes to interest and has been for the past 13 years. I am XXXX XXXX XXXX and at this point, I would never see the loans be paid off, it would take decades to get to that point. I am currently looking for a better way to pay the loans, but I am utterly disappointed with Nelnet for not making my repayment options known to me. I would like some support or guidance in how to handle this situation. I currently owe {$31000.00}, the same amount I owed in XXXX. This is a terrible way to pay a loan and I don't understand how a financial institution can have a program such as this. I am currently unemployed and my situation seems completely wrong.
Company Response:
State: NY
Zip: 134XX
Submitted Via: Web
Date Sent: 2024-01-04
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2024-01-04
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: My student loan servicer is Nelnet. I applied for SAVE plan and was approved. It shows I am on the SAVE plan for all of my student loans. My monthly payment is now {$0.00}. However, I am still accruing interest on my student loans. This interest amount was around {$1000.00} last month, and now {$2400.00} this month, which is not correct according to the SAVE plan. I called Nelnet. The Nelnet " advisor '' on the phone said that Nelnet doesn't decide if my interest plan is forgiven or when it is forgiven, the government does. However, according to the SAVE plan, which the Nelnet website states I am on, my interest should be a much lesser amount. The person over the phone said I just need to get the interest below {$2000.00} but I don't need to pay the full interest before it starts to go to principal. This does not make any sense to me. She said she did not know the exact amount of money I would have to pay in order for it to start going to interest, but it didn't have to be the full interest balance and kept saying it just needs to be below {$2000.00}. I asked if that meant I got my interest down to {$1900.00} then would any other payments go to principal since that's what she was telling me. She hung up on me! Nelnet also has no way to provide feedback on the call since in order to do so I was supposed to stay on the call, but she hung up. The call was less than 10minutes, some of which was taken up by me confirming my information. I have no way of paying my full interest, which is supposed to be lower according to SAVE, and I want to begin paying my principal with what little I have. I have no way to get information from SAVE about student loan interest forgiveness and mine keeps accruing. I have no way of complaining to Nelnet. They actively discourage you from emailing them, the email form requires several clicks to get to on their contact form, and they say their email volume is high. If it is high, they need to hire more people.
Company Response:
State: IL
Zip: 60605
Submitted Via: Web
Date Sent: 2024-01-04
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2024-01-04
Issue: Incorrect information on your report
Subissue: Personal information incorrect
Consumer Complaint: I have 4 student loans that i literally have no knowledge of so i called the department of nelnet and was told to fill out fraud docs and nothing happened im sure these are not my loans i never XXXX XXXX XXXX in order to get college loans so they are not mine... so i filed a bankruptcy and they were included in my XXXX Bankruptcy discharge and they were taken off my credit report and i was so happy but for some reason they keep jumping back on my credit report since XXXX has now made easier to have federal student loan debt discharged in bankruptcy and because the loans aren't mine why do these loans keep coming back?
Company Response:
State: GA
Zip: 30180
Submitted Via: Web
Date Sent: 2024-01-11
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2024-01-05
Issue: Struggling to repay your loan
Subissue: Bankruptcy
Consumer Complaint: Nelnet and XXXX both have duplicated loans repeated on both of their company and the servicing lender. I have advised to correct, and they refuse to. I Filled a XXXX XXXX XXXX and have provided them with records and still ignore. I have also Disputed with Studentaid.gov and under review. Continue to have economic Hardship and loans placed in deferment. Constant interest charges that exceed the original loan amount.
Company Response:
State: FL
Zip: 342XX
Submitted Via: Web
Date Sent: 2024-01-05
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2024-01-05
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: In XXXX, I applied for an income-driven repayment plan with Nelnet, expecting to receive updates and correspondence regarding the application 's status. However, despite waiting for a significant period, I received no communication from Nelnet about whether my application was approved, required additional information, or was even being processed. To my surprise and concern, I later discovered that my student loan account had been transferred to another loan servicing agency ( PHEAA ) without any prior notice or explanation from Nelnet. I was not informed of this transfer, nor was I provided with any details regarding the new agency, how to contact them, or how this would affect my income-driven repayment plan application. This lack of communication and transparency has left me in a state of confusion and concern about the status of my loan and repayment plan. I am uncertain about whom to contact regarding my application, and I am worried that this transfer might have affected the processing or approval of my income-driven repayment plan. I believe that as a borrower, I am entitled to clear and timely communication about significant changes to my loan servicing and the status of my repayment plan application. The absence of this essential information has caused unnecessary stress and uncertainty. I request that this matter be looked into promptly and that I be provided with comprehensive information regarding the status of my income-driven repayment plan application and the details of my new loan servicer. Furthermore, I would appreciate an explanation for the lack of communication and steps taken to ensure this does not happen to other borrowers in the future.
Company Response:
State: NV
Zip: 89166
Submitted Via: Web
Date Sent: 2024-01-05
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2024-01-05
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: I am the co-borrower on a joint consolidation loan. My ex-wife and I are part of a group of people affected by the Joint Consolidation Loan Separation Act. We have filed our paperwork for intent to separate our consolidated loans as soon as this becomes available. In the meantime, we'd like to take advantage of the administrative forbearance until the law is fully implemented. We had a previous forbearance with Nelnet but it expired. Not sure why. We've contacted Nelnet about it and they said we should contact the XXXX and the ombudsman group. We're tired of getting bounced around and we're hoping you can help. Please advise. Any help appreciated.
Company Response:
State: NY
Zip: 117XX
Submitted Via: Web
Date Sent: 2024-01-05
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A