Date Received: 2017-04-04
Issue: Can't repay my loan
Subissue: Can't decrease my monthly payments
Consumer Complaint: Interest Rate for Federal Student Loan Consolidation is too high! Based on how much I 've borrowed to pay for US. standard college costs and how much it has accumulated in the past years, it is unrealistic for any American citizen to pay their student loan balance within a reasonable given time frame. Based on an income-driven payment plan with regard to interest rate, my total balance for my Federal Student Loan Consolidation is almost doubled. Now imagine millions of Americans facing the same issue.
Company Response:
State: MI
Zip: 491XX
Submitted Via: Web
Date Sent: 2017-04-04
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: No
Date Received: 2017-04-04
Issue: Dealing with my lender or servicer
Subissue: Trouble with how payments are handled
Consumer Complaint: My oldest son started school in 2012. At that time, we took out our first Direct Plus loan, and were assigned to Nelnet to service our loan. Since that time, I have been making monthly payments in an attempt to stay on top of my loans ( we took out a new loan every year, to help my son pay for college ). I recently discovered that Nelnet breaks up my payments each month in a way so that they only ever pay interest. Unless I specifically log in and make a manual payment every month, they will continue to do this. Even when I have logged in and made a specific payment towards a specific loan, they still apply all of the payment to the loan 's interest. The only times they have ever applied any payment to principal is when the payment was made within 120 days of the original disbursement of the loan ( which they have to do by law ). Even when payments were made within 120 days of a loan 's second disbursement, they applied it to interest instead of the loan citing that it was more than 120 days from the loan 's original disbursement date. So, even though I 've been paying on these loans for 5 years at this point, I 've hardly paid any principal off at all, as they break up every payment in such a way that it never touches the principal on any loan. I have XXXX children, and I 'd like for them all to be able to go to college, but how am I ever to get out of debt if they never apply any part of any payment I make to the principal of the loan?
Company Response:
State: FL
Zip: 33610
Submitted Via: Web
Date Sent: 2017-04-04
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: Yes
Date Received: 2017-04-04
Issue: Dealing with my lender or servicer
Subissue: Trouble with how payments are handled
Consumer Complaint: I made a payment on XX/XX/XXXX on a loan which was disbursed on XX/XX/XXXX. This payment should have been applied 100 % to the principal of the loan, as I was essentially paying back an amount from the loan which was more than we needed. This was the second disbursement of my son 's student loan, and Nelnet applied most of it to principal, but applied {$270.00} to Interest. As it was repaid within 120 days of the disbursement of the loan, it should have all been applied to principal. I contacted Nelnet via chat support in mid XX/XX/XXXX to request that they correct this and apply the full payment to principal. I was told via chat that the payment was not applied fully to principal because it was more than 120 days from the loan 's disbursement ( the loan 's original disbursement was in XX/XX/XXXX ). I pointed out that the second half of the loan was disbursed in XX/XX/XXXX, well within the 120 days and was told that they would correct the issue. In early XX/XX/XXXX, I noticed that Nelnet still had not fixed this issue. I then contacted Nelnet via their 'contact us ' on their website to follow up and again request that they take care of this. I received an email requesting more information, which I supplied. I was contacted on XX/XX/XXXX stating that they would send a request for the payment to be allocated as requested, and that my request could take up to 5 business days. Checking today, they have still allocated {$220.00} of that payment to interest. I have received no further communication from Nelnet regarding this issue. I emailed them back this morning, again requesting that they fix this issue. Meanwhile, I am being charged interest on the full balance of the loan, when this should have been credited to the principal of the loan almost 2 months ago. I have also made several requests trying to find out how to pay down any of the principal on my loans, and these requests have been ignored. I filed a different complaint with you regarding that issue prior to noticing that they still have not credited my account as they should for this issue.
Company Response:
State: FL
Zip: 33610
Submitted Via: Web
Date Sent: 2017-04-04
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: No
Date Received: 2017-04-03
Issue: Dealing with my lender or servicer
Subissue: Received bad information about my loan
Consumer Complaint: I have repeatedly contacted Nelnet for assistance in designing something that will allow me a payment that I can afford. The information that I have been given has been completely misleading, several times, and in actuality false. I have continued to contact them, never getting any assistance. I was told to consolidate my Parent Plus Loans - this was last fall. After I had been told previously not to do so. I questioned Nelnet thoroughly about this and was assured it was the right thing to do. And then my payment more than doubled. I was then told that it was because I had consolidated. Which was the advice given to me by the Nelnet load advisor. I have been through XXXX different sets of paperwork, all different, all needing the same information. I have called and spoken to 6 different people, none of who could tell me the same thing - except they had a " program that I qualified for '' in front of them. Each time I was given false information. Each time Nelnet could keep getting interest accrued on my account. The last person, a supervisor named XXXX approved a Mandatory Deferment, based on my net income, not gross income. I asked several times if that is what she meant and I was assured that it was. I again completed paperwork, only to find that AGAIN I did not qualify for any help - and my payment would stay the same. I have been clear with them that it was because of their misleading information and seemingly untrained staff who give out false information that I feel as if they have conned me. At this point, while they say I can pay the 20 % of my income, I can not. And I have repeatedly said I would pay {$100.00} per month. I am being financially crushed. I am a XXXX year old widow. I helped my daughter complete college with the Parent Plus Loans. I went to college when she was young to better myself. I am not better off at all, if anything I am worse off. I need assistance and a solution.
Company Response:
State: VT
Zip: 058XX
Submitted Via: Web
Date Sent: 2017-04-03
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: No
Date Received: 2017-04-03
Issue: Dealing with my lender or servicer
Subissue: Need information about my balance/terms
Consumer Complaint: I have requested a payment schedule from Nelnet and because my loan in 'undisclosed ' and was sold to them by XXXX XXXX they will not provide me with a payment schedule. Nelnet has offered to " disclose my student loans ' and provide me with a payment schedule if I 1 ) agree to increase my monthly payment by {$110.00} per month at {$22000.00} or increase my number of payments from XXXX to XXXX and will increase the balance by {$37000.00}. I have received XXXX phones with basically getting scammed with each offer. All I want is a payment schedule. I have filed a complaint with the BBB. All phones calls and time are documented.
Company Response:
State: NC
Zip: 27513
Submitted Via: Web
Date Sent: 2017-04-03
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: No
Date Received: 2017-04-03
Issue: Dealing with my lender or servicer
Subissue: Trouble with how payments are handled
Consumer Complaint: On XX/XX/2017, I received an email from Nelnet stating that I had a payment of {$6500.00} due tomorrow that was scheduled for automatic payment. I logged onto my account online and requested to cancel the autodraft. I called Nelnet customer service to confirm the autodraft and I was assured that it would not likely go through. I also called regarding my income-based repayment application status, assuming it was not approved. I was told I still needed to pay for the {$5.00} fee. I was told I 'd be transfered to XXXX, but was hung up on. After being hung up on, I called again and was advised to call Nelnet the following day to get in touch with the XXXX. I called them and they told me that the {$5.00} fee they were expecting from me was actually already paid for. We also discussed the returning of my {$6500.00}. I was told by XXXX that she would send my case to her supervisors along with the phone call with Customer Service for review. Today, I was told that the customer service representative never even discussed getting my debited money back.
Company Response:
State: LA
Zip: 70123
Submitted Via: Web
Date Sent: 2017-04-03
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: No
Date Received: 2017-04-03
Issue: Credit monitoring or identity protection
Subissue: Billing dispute
Consumer Complaint: I have student loans that I have to repay. I was only notified by email which I do not check because I have no need to. I was n't aware of my loans going into default and being reported to the credit bureaus. I only received email, no letter in the mail or phone call. My credit score has dropped almost XXXX points due to this, which is restricting me from trading my vehicle to get a lower payment.
Company Response:
State: WV
Zip: 259XX
Submitted Via: Web
Date Sent: 2017-04-04
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: No
Date Received: 2017-04-01
Issue: Dealing with my lender or servicer
Subissue: Received bad information about my loan
Consumer Complaint: My complaint is in regards to my request to have late payments removed from my credit score report. I had been informed that due to regulations promulgated by the DOE and the FCRA, late payments could not be removed from my credit file. Contrary to these assertions, by failing to update previously reported information, the Department of Education/Nelnet is in violation of Section 623 ( a ) ( 2 ) of the FCRA. There was an issue posed in the FTC advisory opinion which interprets Section 623 ( a ) ( 2 ) of the FCRA. The issue in the advisory opinion is how a lender is to handle a situation when subsequent information updates a report that was allegedly accurate when it was made but no longer is accurate in the present time. The advisory opinion states that the Section 623 ( a ) ( 2 ) of the FCRA addresses the duty to correct and update information by " furnishers, '' or persons who furnish information to consumer reporting agencies ( " CRA '' ) such as credit bureaus. In particular, this section requires a person that " has furnished to a consumer reporting agency information that the person determines is not complete or accurate '' to " promptly notify the consumer reporting agency of that determination '' and provide any information needed to make it complete and accurate. Thus, on its face, this provision requires a furnisher to provide corrected or updated information to the consumer reporting agency that it had reported to originally. This duty extends to all student loan accounts reported to CRAs, regardless of whether they were accurate at one point, because the section requires the furnisher both to " update '' accounts as well as to " correct. '' After carefully reviewing my reports, I noticed that the information that has been included in my credit profile has resulted in damaging effects on my credit standing. As you are no doubt aware, credit reporting laws ensure that bureaus report only accurate credit information. No doubt the continued inclusion of this negative information is a mistake on either the Department of Education/Nelnet, or the credit bureaus ' part. Because of the mistakes on my credit report, I have been wrongfully denied credit and I have been deterred in finding adequate housing, which has been highly embarrassing and has negatively impacted my lifestyle. I am on XXXX and I am stuck with paying rent that is far above the income level for a person in my situation because I can not move. The following accounts are reporting erroneous late payment information. These accounts are included in a hardship forbearance granted by The Department of Education on XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, and XX/XX/XXXX. Direct Stafford Unsubsidized Loan -Partial Account Number : # XXXX {$3500.00} Direct Stafford Unsubsidized Loan XXXX Partial Account Number : # XXXX {$3700.00} Direct Stafford Unsubsidized Loan XXXX Partial Account Number : # XXXX {$2200.00} Attached are copies of letters that I received from the National Student Loan Data System - U. S. Department of Education outlining the forbearances. The forbearance meant that no payments were due at that time and therefore no payments could be late. I was under the impression at the time of the granted forbearances that I had up until 12 months to stop making payments or reduce my monthly payments for up to a 12 month period. But late payments have been applied on my credit files during these periods. I had filed for a discharge of my students loans due to my XXXX and these loans have been closed, transferred, or sold. On some of my credit reports, I have several loans as " account paid '', " current account '' or " closed ''. So I do n't understand why these 3 loan accounts are not updated or being reported as the other loans. However, Section 623 ( a ) ( 2 ) clearly shows that the reports must be updated and/or corrected regardless of whether they were accurate at one point.
Company Response:
State: NC
Zip: 276XX
Submitted Via: Web
Date Sent: 2017-04-03
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: No
Date Received: 2017-03-29
Issue: Dealing with my lender or servicer
Subissue: Received bad information about my loan
Consumer Complaint: I graduated in XX/XX/XXXX. I received information from my school and from my loan lender, XXXX post graduating. I deferred my loans. I ONLY ever delt with XXXX. in early XX/XX/XXXX I paid a big chunk on my loans and then a week later I was contacted by Nelnet to say that I also had a loan with them. I had not had any contact from them for the 3 years previously. When ever I had questions about my loans I dealt with XXXX. I was making payments to XXXX and my loan was sold to XXXX. I asked them if when I was calling XXXX to defer would they have contacted any additional loan carriers? The answer is no. So, I am writing to you to have this investigated. The Facts : My college sent me a loan packet after graduating. It was for the same amount XXXX gave me ... {$38000.00}. I deferred my loan for 3 years I never heard a peep from Nelnet I got a call from Nelnet in XX/XX/XXXX. When I stated I 'd never gotten anything from them they just said, oh well .... I believe someone took out loans in my name, or something else very strange. I should only be responsible for the pay out amount my school sent me.
Company Response:
State: WI
Zip: 53214
Submitted Via: Web
Date Sent: 2017-03-29
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: No
Date Received: 2017-03-29
Issue: Can't repay my loan
Subissue: Can't decrease my monthly payments
Consumer Complaint: I just re-applied for the REPAYE program. The year prior, my student loan payments were manageable. But I recently discovered that my loan servicer, Nelnet, that my new loan payment had nearly quadrupled. I was in shock. They stated that based on " their '' calculations, that they used my Adjusted Gross Income to come up with this number. By my estimation, this number is completely inflated due to the fact that Adjusted Gross Income does not account for all of the taxes that are taken out of your check. Mind you, this is even with having two children. Not only that but I was told that my only alternative was to apply for a Deferment, which would add even more interest on to my loans. Otherwise, I would have to default, where the corrupt US Department of Education can demand full payment and or garnish my wages. This system is rigged against people like myself, who are diligently making student loan payments on time, every month! I ca n't even refinance. I may have foolishly went to a for profit school, but unlike corporations, big banks and our current President, I can neither file for bankruptcy, discharge, refinance or default on my loans without being severely punished.
Company Response:
State: CA
Zip: 95608
Submitted Via: Web
Date Sent: 2017-03-29
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: No