Date Received: 2022-01-27
Issue: Struggling to repay your loan
Subissue: Can't get other flexible options for repaying your loan
Consumer Complaint: XX/XX/XXXX Dear Sir or Madam : I am writing for assistance with an issue regarding my student loans ; specifically an interest capitalization the amount of which was not clearly disclosed and has drastically impacted my loan amount and the interest which has since and continues to accrue. I graduated in XXXX and had my loans consolidated in XXXX. In XXXX of XXXX, my loan amounted to {$110000.00}. Since that time, I have been unable to find employment at a level that has allowed me to cover the interest or principal amounts. Although I have more than once experienced difficulty renewing my Income Based Repayment plan with my current loan provider, the major issue which I would like investigated occurred as a result of my moving to the XXXX XXXX for work and my subsequent return to the US. I first moved to XXXX XXXX in XXXX after having been unemployed for several months. In XXXX, when I went to renew my XXXX plan, my regular documentation was not accepted. Although I should have sought legal assistance then, I ended up accepting a forbearance at that time which amounted to {$7400.00} being capitalized onto my balance. I returned to the US in XXXX and encountered additional problems when I attempted to recertify in XXXX. Beginning in XXXX of that year, I repeatedly submitted various documents indicating my income ; however, my application met with delays in approval. By XXXX of that year, my XXXX still had not been approved and I was informed that my account would be delinquent if I did not pay {$1300.00} that month. As I was unable to pay that amount at the time, I reluctantly agreed to accept another forbearance believing it was the only way to secure additional time for the loan holder to review my paperwork. However, it was not until after the forbearance was actually issued that I learned the amount to be capitalized onto my balance : {$41000.00}, almost six times the amount of the previous forbearance. In XXXX of XXXX, I was informed by a representative from the loan company that I had provided more information than was needed to process my application and told exactly what to write in order to be approved. This is information that could have been provided to me much earlier in the process and would have allowed my XXXX to have been approved in a more timely manner thus preventing my being placed in a position where I might face delinquency. When I received a second notice of payment due, I called and was offered another forbearance but told that I still had time to decide prior to the deadline so I declined. However, a request was still entered into the system. I was later informed that my application had been accepted by the time of that call and that the other forbearance should not have been offered nor processed. Regardless, two additional forbearances were processed in XXXX and XXXX of XXXX, totaling {$1900.00} and {$770.00} respectively. Under the advisement of a representative from the loan holder, I sent numerous letters detailing what occurred as she said that, having not been properly informed of the interest amount, the forbearance could and should be reversed. Likewise, it was that representative who informed me that the second forbearance which occurred in XXXX should not have even been offered. I am not certain how the one for XXXX came about. Despite repeated attempts at writing their Office of Consumer Affairs and Ombudsman, I was unable to get any assistance. Unfortunately, at that time I was unaware the CFPB could help with matters such as this so I resigned myself to the belief that I had no further recourse and had been duped into worsening my situation. I find it difficult to believe that this can be a legitimate and legal practice. Had I been informed of the extent to which my loans would be impacted, I would never have agreed to those terms. I maintain that I provided more than enough information to the company early on in the process to show that my XXXX should have been approved well before the XXXX payment was requested. I feel that no consideration was given to me despite making payments even when my expected payment was zero dollars. Likewise to my providing documents to prove my income level. I believe that in both XXXX and XXXX, the recertification process was dragged out and that I was misled into a situation that has compounded my debt to a level that I will never be able to manage. Especially now with the interest capitalization and the exponential growth of this debt with the new interest that is being charged on the principal. I am including the financial activity on the loan which I have been able to compile, as well as several of the letters I sent the loan holder. I will greatly appreciate any assistance you may be able to offer with regard to assessing what transpired. I hope there is some remedy to this situation as I am unable to see a way to further address it without some mediation as I was unable to resolve anything directly with them. As of this date, my current balance is {$220000.00}. This is approaching twice the amount I originally borrowed as Federal Student Loans and my employment situation remains unchanged. Thank you in advance for your time and consideration. Kind regards, XXXX XXXX XXXX
Company Response:
State: FL
Zip: 33161
Submitted Via: Web
Date Sent: 2022-01-27
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-01-27
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: I have submitted a XXXX XXXX XXXX ( XXXX ) to Fed Loans and they have not updated my payment count to reflect my previous counts prior to consolidation ( XXXX ). I called today and spoke with XXXX ID # XXXX and he hung up the phone. I called back and spoke to XXXX ID # XXXX and she told me that she needed to transfer me to XXXX XXXX XXXX XXXX ( PSLF ) area. I was then spoke with XXXX ID # XXXX and she said that she was not in XXXX and she transferred me to XXXX ID # XXXX and she basically told me that Department Of Education ( DOE ) will make the updated payment counts and they have no control over payment counts. She went on to tell me that it is nothing that I can do. Her nonchalant attitude prompt me to ask for a supervisor. At this point, I spoke with XXXX ID # XXXX and she said she was with the Service Recovery Line and that the payment count would be updated by DOE because they are overwhelmed with calls right now and DOE is focused on everyone 's loans at this point. They consistently pointed out that they are ending their contract. Why not end it now, so I can get the appropriate paperwork completed on my loans before the program ends.
Company Response:
State: TX
Zip: 76051
Submitted Via: Web
Date Sent: 2022-01-27
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-01-28
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: I am under the PSLF loan program. I have been since the programs inception in XXXX. I went back to school on XXXX, so under the old program I was told I would have to start over with payments which I did in XXXX. Every year, I am expected to fill out a certification form verifying that I work for a public non-profit agency. I do this every year as I have worked for different public school districts over the years. Recently, XXXX XXXX passed a law that previous payments before you went back to school count. But even before this, Fed loan is missing many years of payments even though I faxed in the forms multiple times. There are at least XXXX payments missing even before my XXXX payments would even be considered. I have tried calling and having been on hold for over XXXX hours I am told my payments are in process. Then I get an email showing what payments have counted, only to find several school districts missing that I have faxed them forms for. As an educator, I don't have time to call and be on hold. I have now faxrd some of these forms XXXX or XXXX times to no response. I can send the forms to you that are missing if you request it. It was XXXX districts over a span of 9 years. I appreciate your assistance.
Company Response:
State: CA
Zip: 92504
Submitted Via: Web
Date Sent: 2022-01-28
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-01-28
Issue: Incorrect information on your report
Subissue: Public record information inaccurate
Consumer Complaint: PLEASE REFER TO COMPLAINT # XXXX XXXX XXXX Federal student loan Dealing with your lender orservicer XXXX Unversity XX/XX/XXXX Open Information received XXXX XXXX XXXX Federal student loan Dealing with your lender orservicer Fed Loan Servicing ( PHEAA ) XX/XX/XXXX Open Submitted to theCFPB An official website of the United States Governmen In accordance with law : Furnishers of Information : General Section 623 ( e ) ; 15 U.S.C. 1681s-2 ; 12 CFR 1022, Subpart E Section 623 ( e ) required the Agencies and the Federal Trade Commission ( FTC ) to : 1. issue guidelines for use by furnishers regarding the accuracy and integrity of the information about consumers that they furnish to consumer reporting agencies ; 2. prescribe regulations requiring furnishers to establish reasonable policies and procedures for implementing the guidelines ; and 3. issue regulations identifying the circumstances under which a furnisher must reinvestigate disputes concerning the accuracy of information contained in a consumer report based on a direct request from a consumer. The Agencies and the FTC published final rules in the Federal Register ( 74 FR 31484 ) implementing this section of FCRA. These rules took effect XX/XX/XXXX. OnXX/XX/XXXX, the CFPB restated the FCRA regulations at 12 CFR Part 1022. ( 76 Fed Reg 79308 ). XXXX. XXXX, XXXX, and Fed Loan Servicing violated my consumer rights. As of today, the disputed loans have been removed from my credit report with no comment or note to explain the removal. Furthermore, this action has caused an adverse impact by reducing the average age of my credit history and failing to reflect the accounts closed and paid in full as opposed to cancelling them continues to exacerbate the financial and economic damage from carrying the debt since XXXX, default reporting to the credit bureaus, DOE, and civil claims court resulting from a fraudulently initiated complaint. I am not willing to accept a cancellation without equal compensation, restitution, and refund of loans repaid, court damages, and upper-level compensatory damages equivalent to fraud and substantial misrepresentation. I am awaiting the shelter verification letter to attach to the financial damage incurred by being forced into an emergency state shelter resulting from adverse credit reporting in XXXX. I have attached evidence of the negative credit impact and current reports verifying the debt cancelled from account. 2. Please also investigate, remove, and refund the remaining {$2000.00} XXXX XXXX held by XXXX. I have repeatedly requested reconsideration of eligibility for cancellation denial and review of student account records showing that XXXX recharged me for transfer credits denied in XXXX and their failure to award grant monies in the amount accepted on financial aid award letter, 3. Please review my case in regard to my eligibility for relief under The Attorney Generals Office filed a lawsuit against PHEAA in XX/XX/XXXX alleging that it violated consumer protection laws relating to in administering the Public Service Loan Forgiveness ( PSLF ) and TEACH Grant programs and in handling Income-Driven Repayment ( IDR ) plan applications. A copy of the lawsuit is attached here. In particular, the lawsuit alleges that : PHEAA made account errors and provided borrowers with misinformation about eligibility requirements for PSLF that caused borrowers to lose months of qualifying payments toward loan forgiveness. PHEAA failed to timely process borrowers IDR plan applications, causing borrowers to lose months towards loan forgiveness. PHEAA erroneously caused TEACH Grant recipients to lose their grants and have them converted into loans that the recipients were required to repay. The settlement provides an opportunity for borrowers who believe they may have been affected by these practices to obtain a detailed account review by submitting a claim form. If the account review identifies errors or misrepresentations, the borrower will receive account corrections and, in some cases, monetary relief. A copy of the settlement will be posted here when available. For borrowers who are pursuing PSLF, the account review will determine whether PHEAA made errors that resulted in an inaccurate count of the number of qualifying payments that the borrower made towards loan forgiveness. The review will also determine whether PHEAA made misrepresentations to the borrower concerning which repayment plans, loan statuses, or employers qualify for PSLF. For borrowers who applied for an IDR plan, the review will determine whether PHEAA delayed longer than 30 days in processing the borrowers IDR application, causing the borrower to miss the opportunity to make a qualifying payment towards loan forgiveness. ( Claim review denied, appeal submitted see attached ). I have included MA AGO contacts in the email for transparency and accountability, especially since the loans are indeed REMOVED AND I HAVE NOT RECEIVED A REFUND, ) 3. Pease review and afford me my constitutional right to due process. Allow me to be heard verbally and not just rely on the text. I have fought this battle for equity and justice for more than 5 years and there is no way to quantify the damage and irreparable harm but please allow my daughter and I the opportunity to share the impacts in our own words exercising our right to freedom of speech. Please contact me with an update and or next steps regarding my rights to request compensation.
Company Response:
State: MA
Zip: 022XX
Submitted Via: Web
Date Sent: 2022-01-28
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-01-28
Issue: Improper use of your report
Subissue: Reporting company used your report improperly
Consumer Complaint: The company, Fed loan Servicing is reporting inaccurate and erroneous information for six accounts on my XXXX, XXXX, and XXXX credit reports. I am the consumer, the natural person according to federal law, and the only individual who validates an account as accurate. Fed loan Servicing did not have a permissible purpose under 15 USC 1681b ( 2 ), no written/ oral consent to report these alleged items to the credit reporting agencies. Additionally, it is a federal law to provide accuracy of any information item contained on a consumer report. The information is reporting inaccurate date opened ; balance ; last reported ; date last active ; missing payment history which is all a direct violation of state and federal law as well as an infringement of privacy.
Company Response:
State: PA
Zip: 15010
Submitted Via: Web
Date Sent: 2022-01-28
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-01-28
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: I wanted to reach out to you regarding Fed Loan Servicing and their interpretation of the new rules under the XXXX XXXX XXXX XXXX program. I have a very specific question. I have XXXX payments that qualify for forgiveness under XXXX, and XXXX payments that qualify for forgiveness under XXXX. I was informed by Fed Loan Servicing that my payments under XXXX and XXXX can not be combined. In other words, if I want to qualify for forgiveness under XXXX, my payments under XXXX will be wasted because they can not be added to my XXXX payments for forgiveness. So, in short, I dont have XXXX total payments that qualify for forgiveness. I have either XXXX XXXX payments or XXXX XXXX payments, depending on which forgiveness program I choose. When President Biden expanded the types of payments that can qualify for forgiveness with XXXX, I can not believe that he intended for payments made under XXXX to simply not count anymore. Is there some way to find out whether Fed Loan Servicing is, as consistent with their history, simply making unreasonable rules to prevent public servants for qualifying for loan forgiveness?
Company Response:
State: MD
Zip: 20906
Submitted Via: Web
Date Sent: 2022-01-28
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-01-27
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: I'm currently pursuing PSLF through FedLoan Servicing, and they have completely erased my entire history of PSLF payments. In XXXX of 2021 I was at roughly 82 qualifying payments towards PSLF ( pre-waiver rules ), but should be near or at forgiveness when the Limited Waiver is applied. However, as of XX/XX/2021 FedLoan has erased my entire PSLF history and it is now set to 0 with no explanation, especially in the context on the new Limited Waiver. I originally filed a complaint through the FSA with the Ombudsman, who helped get my pre-limited waiver PSLF payment counts to that 82. When my PSLF payment count dropped to 0 in XXXX I filed a new complaint with the Ombudsman, but they have put my request in " pending '' status and say that the error is " stuck '' with FedLoan. I have not been able to get any help from FedLoan or the Ombudsman in moving my complaint case forward. I am asking for my payment counts to be restored and for the limited waiver to be applied to update my now eligible past payments as I am either near forgiveness or should already have my loans forgiven under the PSLF Limited Waiver.
Company Response:
State: CA
Zip: 90027
Submitted Via: Web
Date Sent: 2022-01-28
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-01-27
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: About XXXX, my spouse and I were encouraged by our lenders to consolidate our Direct Loans into one large Joint Spousal Consolidation Loan. We were advised that our payments would go down as would our interest rate. We quickly found our payment increased and the interest rate went to 7.8 %. Our Loans then became XXXX Loans. As both of us are public servants, the MOMENT the Public Student Loan Forgiveness program began XXXX, we enrolled. At no time were we ever told we were not eligible for the program! We would faithfully resend out application every year because we were so afraid something would go wrong. we rarely received a response to our application and usually it was only a 'thank you we received you paperwork ' type of letter. Then in about XXXX, after faithfully paying for almost SIX YEARS, we were told we did not qualify for PSFL, as our loans are XXXXXXXX Loans and make us ineligible. At NO time were we ever told that we would not qualify for the program until then. We were crushed but continued to make timely payments to the exclusion of helping to pay for our childrens education ; forcing them to take out student loans of their own. We've prayed that something would change, and because we believed in the PSLF program, we both choose to stay in Public Service, forgoing other potentially more lucrative positions. In the last few years, we were advised by FedLoan to consolidate our XXXX Loan into a Direct Loan thereby making it PSLF eligible, but of course, our clock would reset to zero. Then we were told we could not do that because our Spousal Consolidation XXXX Loan makes us ineligible for Direct Loan consolidation so " Don't bother ''. Our loan debt is currently a crushing {$160000.00} with a monthly payment of about {$1500.00} ; which we over pay every month. We have always felt paying the loan principle was fair, but we can not ever rise above the capitalizing interest! In XXXX we owed {$150000.00} and today, in XXXX we owe {$160000.00}!!! We have trusted FedLoan and our many servicers to guide us but we have been given 22 YEARS of miss information every time we call. We trusted the Department of Education and FedLoan to honor the PSLF for EVERYONE who faithfully followed the rules, but we have been left behind yet again, unable to have our XXXX SPOUSAL Consolidation Loan forgiven even after 16 years of faithful payments and decades of public service. The XXXXL SPOUSAL Consolidation Loans must be PSLF eligible but we do understand this will take a bill to be passed. FedLoan has given us, and many, many other people wrong advice and we have all suffered for it. We would NEVER have considered Joint consolidation if it hadn't been suggested to us as a smart move by The Fedloan persons we spoke to.
Company Response:
State: SC
Zip: 29501
Submitted Via: Web
Date Sent: 2022-01-27
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-01-27
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: Dear Consumer Financial Protection Bureau, CFPB My name is XXXX XXXX and I am a Federal Student Loan borrower with FedLoan Servicing. I have contacted FedLoan and disputed specific ineligible payments and they ; FedLoan Servicing never responded as follows : 12 DIRECT SUB CONSOLIDATION LOAN {$27000.00} Remaining/ Disbursed on XX/XX/XXXX Missing count during Covid wavier period : XX/XX/XXXX XX/XX/XXXX XXXX XXXX XXXX XXXX XXXX XXXX {$58000.00} Remaining/ Disbursed on XX/XX/XXXX Missing count during Covid wavier period : XX/XX/XXXX XX/XX/XXXX XX/XX/XXXX XXXX XXXX XXXX XXXX XXXX XXXX {$3700.00} Remaining/ Disbursed on XX/XX/XXXX Missing count during Covid wavier period : XX/XX/XXXX XX/XX/XXXX XX/XX/XXXX XX/XX/XXXX XX/XX/XXXX XX/XX/XXXX XX/XX/XXXX XX/XX/XXXX XXXX XXXX As of XX/XX/XXXX I have 68 eligible counts. I understand that I must certify my employment and will have that completed by the end of the month however the 15 missing payments listed above have not been included in the eligible counts. Also missing are 8 payments listed below that was not included in my eligible count. I should have a total of 91 eligible counts as of XX/XX/XXXX. I am requesting a manual review to have counts reflected accurately. Payments XX/XX/XXXX, XX/XX/XXXX and XX/XX/XXXX has been included in the eligible count however the 6 remaining havent and payments XX/XX/XXXX and XX/XX/XXXX should be applied to two loans making it 4 counts with the other 4 payment totaling 8. I am asking you the CFPB to contact FedLoan Servicing and get FedLoan to fix the ones that should have been fixed. Sincerely XXXX XXXX
Company Response:
State: FL
Zip: 32225
Submitted Via: Web
Date Sent: 2022-01-27
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2022-01-27
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: Loan Servicer : Fed Loan Services Loan Program : XXXX XXXX Under the new XXXX rules, I submitted a new employee eligibility form for time period running from XXXX ( XXXX XXXX XXXX 's XXXX XXXX XXXX This was previously unreported employment/payment period. XXXX I contacted the provider via email for an update. The email was acknowledged via auto reply, but no written response was ever sent. XXXX I contacted the provider via email for an update. The email was acknowledged via auto reply, but no written response was ever sent. XXXX Received updated payment calculation and employer credit. No indication that the XXXX employment period was considered. Qualifying payments were not increased and my expected eligibility for XXXX increased into XXXX. XXXX Submitted XXXX employee eligibility form a second time for evaluation. XXXX Received updated payment calculation and employer credit notice. The approved begin date for the employment period XXXX was incorrectly calculated ; the servicer listed the approved employment as XXXX. As a result, I again received no credit for payments beginning in XXXX. My anticipated XXXX eligibility date increased to XXXX. Prior to the submission of the expanded employment time frame, the expected date was XXXX. I contacted the provider via email regarding the error. The email was acknowledged via auto reply, but no written response has been received to date.
Company Response:
State: SC
Zip: 29681
Submitted Via: Web
Date Sent: 2022-01-27
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A