Date Received: 2023-06-26
Issue: Getting a loan
Subissue: Problem with the interest rate
Consumer Complaint: Dear XXXX, I would like to file a grievance regarding XXXX student loans below mentioned, that I acquired from XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX parent company XXXX XXXX XXXX XXXX the basis of predatory private lending practices. I believe that the circumstances under which I obtained these loans and the subsequent repayment terms are unjust and indicative of a lending system that took advantage of vulnerable individuals such as myself in seeking higher education. I believe that my personal case with XXXX XXXX XXXX XXXX XXXX is in alignment with a previous ruling by the CFPB that XXXX XXXX XXXX XXXX XXXX XXXX loan servicing practices increased costs and unfairly penalized student loan borrowers. I believe that my personal case with University XXXX XXXX is in alignment with a previous ruling by the FTC that University XXXX XXXX lured students in with deceptive advertising. University XXXX XXXX then passed students on to XXXX XXXX XXXX XXXX XXXX in a partnership that caused more financial harm to unsuspecting student borrowers. I kindly request that you review my case and consider the resolution options I have proposed below. XXXX. Loan Number : XXXX ( XXXX ) Disbursement Date : XX/XX/XXXX Loan Amount : {$3500.00} Amount Paid to XXXX XXXX XXXX XXXX XXXX - ( XX/XX/XXXX XX/XX/XXXX ) : {$7800.00} Amount Paid to Firstmark Services ( XX/XX/XXXX Current ) : {$1800.00} Total amount student has paid on {$3500.00} loan : {$9700.00} Current Outstanding Balance : {$1800.00} Amount student is expected to pay on {$3500.00} loan : {$11000.00} XXXX. Loan Number : XXXX ( XXXX ) Disbursement Date : XX/XX/XXXX Loan Amount : {$15000.00} Amount Paid to XXXX XXXX XXXX XXXX XXXX - ( XX/XX/XXXX XX/XX/XXXX ) : {$18000.00} Amount Paid to Firstmark Services ( XX/XX/XXXX Current ) : {$1800.00} Total amount student has paid on {$15000.00} loan : {$20000.00} Current Outstanding Balance : {$16000.00} Amount student is expected to pay on {$15000.00} loan : {$37000.00} XXXX. Loan Number : XXXX ( XXXX ) Disbursement Date : XX/XX/XXXX Loan Amount : {$1500.00} Amount Paid to XXXX XXXX XXXX XXXX XXXX - ( XX/XX/XXXX XX/XX/XXXX ) : {$2300.00} Amount Paid to Firstmark Services ( XX/XX/XXXX Current ) : {$740.00} Total amount student has paid on {$1500.00} loan : {$3000.00} Current Outstanding Balance : {$720.00} Amount student is expected to pay on {$1500.00} loan : {$3700.00} XXXX. Loan Number : XXXX ( XXXX ) Disbursement Date : XX/XX/XXXX Loan Amount : {$10000.00} Amount Paid to XXXX XXXX XXXX XXXX XXXX - ( XX/XX/XXXX XX/XX/XXXX ) : {$15000.00} Amount Paid to Firstmark Services ( XX/XX/XXXX Current ) : {$1700.00} Total amount student has paid on {$10000.00} loan : {$17000.00} Current Outstanding Balance : {$13000.00} Amount student is expected to pay on {$10000.00} loan : {$30000.00} Explanation and Grievance : In XXXX, I entered into an agreement with XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX were not backed by the federal government. I did not know enough to question this at that time. I was not fully aware of the intricacies of the lending process, and I was coerced into obtaining a co-signer for my XXXX XXXX XXXX XXXX XXXX XXXX XXXX to secure loan approval. I believe that this was also a form of egregious manipulation. Any time I called to put my loans into forbearance, XXXX XXXX XXXX XXXX XXXX would deny me the option to drop my cosigner as a penalty for needing to pause my payments. To this day, I have never been able to drop the cosigner from my loans as Firstmark Services has also adopted this practice. In early XXXX, I was informed that XXXX XXXX XXXX XXXX XXXX was getting out of the student lending business. On XX/XX/XXXX, after re-paying XXXX XXXX XXXX XXXX XXXX a total of {$44000.00}, ( between XX/XX/XXXX and XX/XX/XXXX ) on {$30000.00} total disbursements, XXXX XXXX XXXX XXXX XXXX sold my loans to Firstmark Services for an amount I do not know, making Firstmark Services the beneficiary of XXXX XXXX XXXX XXXX XXXX predatory lending practices. At the present time, I owe Firstmark Services {$32000.00} on a {$30000.00} loan. Given that Ive already paid a total of {$50000.00} towards my student loans, the expectation is that as a student borrower, I must pay {$83000.00} on a loan of {$30000.00}. I would have never agreed to these terms had they been appropriately presented to me as a student borrower. This was an intentional act on the part of XXXX XXXX XXXX XXXX XXXX to deceive student borrowers and manipulate us into making financial agreements that benefitted XXXX XXXX XXXX XXXX XXXX and to the detriment of the student borrower. By pushing me into high cost, high risk loans, XXXX XXXX XXXX XXXX XXXX has caused me great financial distress. As a woman of XXXX, this predatory lending practice further perpetuates the existing gender and XXXX wealth gap in a way that is both harmful and systemic. Upon reviewing my loans, I discovered that the interest rate and repayment conditions are significantly burdensome. Since XX/XX/XXXX, I have made consistent monthly payments, diligently fulfilling my obligations as a student borrower. However, it is disheartening to note that despite my payments totaling {$50000.00} on total disbursement amounts of {$30000.00}, my current lender, Firstmark Services has me on the hook for an additional {$32000.00}. It is evident from the above information that the interest rate and fees associated with my loans are exorbitant, leading to a seemingly endless repayment period. This has impacted me deeply and has left me in a state of financial strain, inhibiting my ability to pursue other life goals such as saving for retirement. XXXX XXXX XXXX XXXX XXXX XXXX and XXXX XXXX XXXX XXXX record of predatory practices, I strongly believe that these loans were granted under those same predatory practices previously ruled on by the FTC and CFPB. The lending terms and interest rates are disproportionate and exploitative, ( attached student loans paperwork obtained from Firstmark Services on XX/XX/XXXX does not indicate interest rate charged. Paperwork only states when the interest rate cap was reached ), resulting in a cycle of perpetual indebtedness. I request that the CFPB thoroughly review my case, taking into consideration the predatory lending circumstances surrounding my loan agreement and the current financial burden it imposes.
Company Response:
State: MA
Zip: 02072
Submitted Via: Web
Date Sent: 2023-06-26
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-06-26
Issue: Improper use of your report
Subissue: Credit inquiries on your report that you don't recognize
Consumer Complaint: I am not a reporting agency. I have sent ftc reports to nelnet and a police report that I have submitted to you all to send to the company below are the letters that they respond to when I file a dispute. I have never lived at the address on the account XXXX XXXX XXXX XXXX XXXXXXXX
Company Response:
State: GA
Zip: 30260
Submitted Via: Web
Date Sent: 2023-06-26
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-06-26
Issue: Incorrect information on your report
Subissue: Account status incorrect
Consumer Complaint: My federal student loans have been transferred several times amongst XXXX creditors. XXXX XXXX, Dept of Edu, DEP ED NELNET. Each They currently reside with Nelnet. On my credit report the student loan accounts are listed under each creditor therefore showing my debt as tripled. They are also showing as collection accounts under each, when they are not in nor have they ever been in collections, but were just sold or transferred to another creditor. When I contacted each of these creditors they confirmed that my students loans has been either transferred or in good standing. However, no proper correction or update was made on my report.
Company Response:
State: PA
Zip: 190XX
Submitted Via: Web
Date Sent: 2023-06-27
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-06-26
Issue: Incorrect information on your report
Subissue: Account status incorrect
Consumer Complaint: My federal student loans have been transferred several times amongst XXXX creditors. XXXX XXXX, XXXX XXXX XXXX, XXXX XXXX XXXX. Each They currently reside with XXXX. On my credit report the student loan accounts are listed under each creditor therefore showing my debt as tripled. They are also showing as collection accounts under each, when they are not in nor have they ever been in collections, but were just sold or transferred to another creditor. When I contacted each of these creditors they confirmed that my students loans has been either transferred or in good standing. However, no proper correction or update was made on my report.
Company Response:
State: PA
Zip: 190XX
Submitted Via: Web
Date Sent: 2023-09-25
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-06-25
Issue: Improper use of your report
Subissue: Reporting company used your report improperly
Consumer Complaint: My loans are improperly reported, and reported without my consent. I wish to have them removed since the reporting itself is in direct conflict with the law.
Company Response:
State: TX
Zip: 759XX
Submitted Via: Web
Date Sent: 2023-06-25
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-06-25
Issue: Struggling to repay your loan
Subissue: Can't get other flexible options for repaying your loan
Consumer Complaint: I have a very " old '' student loan that I have been paying on forever. I am co-signed on this private student loan and have made ALL of the payments. Several years ago this was sold by XXXX XXXX to Nelnet ( doing business as Firstmark Services ). At the current terms I won't have it paid off until approx. XXXX - when I will be XXXX XXXX XXXX. The payoff as off today is $ XXXX.I have offered to pay approx XXXX XXXX down in one cash payment now and then request that the balance remaining be " re-financed '' as a 3-4 year loan. I was told this was not an option/not possible. I simply can not pay another 12 years of additional interest. I need help with this. Thanks
Company Response:
State: NE
Zip: 681XX
Submitted Via: Web
Date Sent: 2023-06-25
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-06-24
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: Please note that a previous complaint was filed against my private loan servicer ( XXXX ). I continue to encounter issues with the loan servicer as I have not received paper statements through U.S. mail. On XX/XX/2023, I received an email from XXXX XXXX stating my account was under review and that a formal response would be provided. However, a response has not been provided. Instead, I received a credit alert notice from XXXX on XX/XX/2023, stating that NELNET INC/NELNET has flagged my account as 30 days past due. NELNET INC/NELNET has refused to provide paper statements and communications through U.S. mail . Instead, in what appears to be a condition of the loan product they have aggressively pushed student borrowers such as myself into electronic statements, using questionable, deceptive, and possibly illegal tactics to force student borrowers to " choose '' electronic statements by accessing their accounts online. Just because a student borrower accesses an account online does not mean that the consumer wants to receive statements electronically. Instead, they have used the telephone and electronic communications to harass students for non-payment and then report the account as derogatory.
Company Response:
State: MD
Zip: XXXXX
Submitted Via: Web
Date Sent: 2023-06-24
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-06-24
Issue: Improper use of your report
Subissue: Report provided to employer without your written authorization
Consumer Complaint: These are counts are over 2 years old and under the new FCRA Law it should be taken off my credit report.
Company Response:
State: FL
Zip: 32244
Submitted Via: Web
Date Sent: 2023-06-24
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-06-24
Issue: Attempts to collect debt not owed
Subissue: Debt was paid
Consumer Complaint: my XXXX, XXXX credit report is reporting a student loan that was paid off by the dept of education /neln and needs to be removed from my credit report this loan was taken out in 2007 and went into forbearance and then was paid off by the department of education and other respaces available to me. please remove from my credit file.
Company Response:
State: VA
Zip: 220XX
Submitted Via: Web
Date Sent: 2023-06-27
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-06-24
Issue: Improper use of your report
Subissue: Reporting company used your report improperly
Consumer Complaint: XX/XX/2023 Nelnet moved XXXX XXXX from XXXX account to another without my knowledge or consent which caused my credit score to drop XXXX points.
Company Response:
State: FL
Zip: 32208
Submitted Via: Web
Date Sent: 2023-06-24
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A