Date Received: 2019-11-19
Issue: Incorrect information on your report
Subissue: Account information incorrect
Consumer Complaint: FedLoan Servicing reported to the credit bureaus that my Federal Graduate Plus Loan payment of {$130.00} was due in XX/XX/ 2019 when I am enrolled in an 8-year XXXX program at a university. I was totally shocked when a credit union gave me this bogus information, today, when applying for an auto loan. No one from FedLoan Servicing has contacted me with this information as I check the website often. I called FedLoan Servicing and the lady I spoke to had this lackadaisical attitude, stating that the information was entered when there was a break after the last quarter. There is always a break before the start of the next quarter -- this is madness. She, also, stated that I should have this information, but discovered that the letter had not gone out to me. FedLoan Servicing was quick to submit a bogus credit report. FedLoan Servicing stated that the information has been updated, but I demanded an answer as to why this was deliberately done. This action of FedLoan Servicing is a violation of federal law. There was never a communication to me of this loan being due while I was still in school nor was a monthly payment of {$130.00} conveyed. I am sure FedLoan Servicing is well aware of the quarter system of a university. I am working on my XXXX which is an automatic deferment.
Company Response:
State: AL
Zip: 35124
Submitted Via: Web
Date Sent: 2019-11-19
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2019-11-16
Issue: Struggling to repay your loan
Subissue: Can't get other flexible options for repaying your loan
Consumer Complaint: I graduated as a XXXX and consolidated my loans. American Educational Services ( AES ) was my loan servicer. I was not able to afford my loans when I began XXXX. I made {$30000.00} one year. My loan payment was over {$800.00} per month. I was told that the only thing that I could do was defer my payment because I could not afford it. I was also told that I did not qualify for loan forgiveness or income based repayment. I paid 35 payments to AES. I moved my loans to FedLoan and started all over. I still have 36 more payments due to FedLoan. I should be done paying my loans if the 35 payments could be counted toward the 120 for Public Service Loan Forgiveness. The loans should have been paid several years ago if the deferments would be counted. Please help.
Company Response:
State: PA
Zip: 152XX
Submitted Via: Web
Date Sent: 2019-11-20
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2019-11-16
Issue: Struggling to repay your loan
Subissue: Can't temporarily delay making payments
Consumer Complaint: Ive contacted the loan servicer numerous times and its been 6 months since Ive been able to pay my student loan they have destroyed my credit they wont return my calls or my emails. They have threatened to send me to collections. I am a single dad trying to pay to keep a roof over my head and bills on a single income. I tried to defer they said I made to much which isnt true as they dont know what bills I have with my daughters health and paying the rest of the bills I have. I want them to remove the late fees remove the blemishes they left on my credit and most of all negotiate to bring my payment lower
Company Response:
State: CT
Zip: 06437
Submitted Via: Web
Date Sent: 2019-11-16
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2019-11-15
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: I'm concerned about my education loan provider, Fedloan Servicing, as they they are not responsive to my inquiries, and have miscalculated the total number of payments I have made, which makes me doubt whether they will ever allow me to achieve public service loan forgiveness ( PSLF ). For example, Fedloan does not provide users with the number of qualifying payments they have made, you have to request that information, after which it takes them 8 months to get the numbers. When they sent me the number of payments 8 months after I inquired, the number they provided was lower than the actual number of qualifying I have made. When I asked them if they needed any more information to correct the number ( e.g. bank statements, invoices ) they stated that they would get back to me. This was in XXXX ( 6 months ago ) and after contacting them since then I still haven't heard a word. In the meantime, they are of course still contacting me regularly to make monthly payments ( which I have continued to do ) and requested that I submit the paperwork to re-certify my income-driven plan. which I will do. Needless to say, the experience has been disheartening and confusing. I'm not sure what to do at this point regarding their communication ( or lack thereof ) and the need for them to acknowledge the accurate number of qualifying payments that I have made. I would very much appreciate your help and advocacy in this matter.
Company Response:
State: MA
Zip: 02139
Submitted Via: Web
Date Sent: 2019-11-15
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2019-11-15
Issue: Attempts to collect debt not owed
Subissue: Debt was paid
Consumer Complaint: Fed Loan servicing assumed my student loan. In XXXX they contacted me stating that my loan was in default and no longer on deferment and I had a balance of {$10000.00}. They stated I could not make payment arrangements and had to pay it in full because it was in default. They suggested that I take out a personal loan or borrow from a family member to pay it. I couldnt do anything like that so I was at a loss. They submitted a garnishment order to my employer that I had just started working for and never provided a 30 day notice on XX/XX/XXXX. I got the notice from my employer a week before garnishments were to start. The order stated that I owed {$10000.00} and I was going to be garnished for {$16000.00} ( added fees ) until it was paid. I was then contacted in XXXX by fed loans stating that I could reduce my debt if I made additional monthly payments of {$5.00}. If I made these payments for 12 months then they would remove the collection fees and consolidate the 3 loans I had so that the debt would pay down faster. Additional payments started XX/XX/XXXX. I was not aware how much had been paid out in garnishments yet. XX/XX/XXXX my employer was sent a garnishment cancellation notice. I was contacted shortly after stating that my has been paid and that my employer was notified to discontinue garnishments.They stated they would forward the information to the department of education and they will contact and provide me with my release. The last payment was XX/XX/XXXX. They continued to automatically deduct the {$5.00} additional payments though until XX/XX/XXXX. I was contacted 2 months later stating they were calling in regard to my student to set up payment arrangement for the remaining {$3000.00} balance. I stated my loan was paid, they said this is what they got from the servicer, after a back and forth they told me to make {$50.00} payments to keep it out of default while they figured out what was going on. called every month to check the status and they said that I did a loan recovery agreement to get out of default. I told them no I didnt sign anything for that it was out default because it was paid off. The recovery agreement is where you pay 9 additional payments during the garnishment for 10 consecutive months. If that is successful your garnishments will stop and they will take your loan out of default and set up a payment plan. I made additional payments from XX/XX/XXXX to XX/XX/XXXX. Thats 16 months not 10. Also I payed through garnishment and additional payments a total of {$17000.00}. Thats {$1000.00} more than the garnishment order. They also never consolidated the 3 loans. I refused to keep paying and now the {$3000.00} is in default. XXXX XXXX XXXX has now submitted garnishment. I just found out. I never got a 30 day notice. When I called to tell them I dont owe this they stated that I submitted a no contact order so they couldnt send me notice and cant talk to me about it. I never contacted them and thats not even legal for them to do. Im entitled to a hearing to stop the garnishment from happening thats why Im suppose to be given notice. Ive been trying to clear this up for years and they finally in XXXX fed loan servicing sent me my payment history after stating they didnt have that information.
Company Response:
State: CA
Zip: 93291
Submitted Via: Web
Date Sent: 2019-11-15
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2019-11-15
Issue: Credit monitoring or identity theft protection services
Subissue: Problem with product or service terms changing
Consumer Complaint: XX/XX/2019 phone call received from a XXXX XXXX from XXXX XXXX XXXX. Stated that I was approved for student loan forgiveness program. She looked up the company I work for and stated that it fell under their terms for public service. She filled out all these forms. She also went through and got to my FSA account and had me forget password and go through there to see who my loans were through and get the information. She then had me sign documents and send in verification of employment and family house hold. The terms were that I pay {$200.00} for 6 months to their company and also continue paying the {$10.00} a month to my student loan service. I could not pay off my loans any sooner than 10 years because it was a contract. After this was all done a couple of weeks later I called the company and asked my concerns about how things did not seem correct and I just seemed uneasy with it and he reassured me that after the 10 years the left over interest and payments on the account would be forgiven. I still did not feel comfortable so I called my student loan service company and they could not tell me too much other than a consolidation loan had been made and my payments were only {$10.00} a month and will be re-evaluated next year. I finally found an email from the company ( XXXX XXXX XXXX ) and there was a warning as soon as you click their website stating that the company on XX/XX/2019 was sued by the Bureau for Consumer Financial Protection for practices related to their student loan debt relief operation.
Company Response:
State: FL
Zip: 32503
Submitted Via: Web
Date Sent: 2019-11-15
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2019-11-15
Issue: Dealing with your lender or servicer
Subissue: Received bad information about your loan
Consumer Complaint: I spoke to a FedLoan representative on XX/XX/XXXX about what I could do to avoiding negative credit reporting. The representative explained that the best option would be to have a Delinquency Forbearance submitted for me. Despite this effort, a negative credit report occurred a few days later on XX/XX/XXXX. It was later explained to me by different representatives ( XX/XX/XXXX and XX/XX/XXXX ) that the first representative ( on the XX/XX/XXXX call ) should have advised me to use a General Forbearance, of which I had 702 available days ( and still have 702 available days ), but failed to give me this information and advice. It was also explained to me after the fact that a Delinquency Forbearance is not something a consumer like myself can request, but must be offered and processed by a representative. This Delinquency Forbearance was offered and submitted by the representative on XX/XX/XXXX, which resulted in a denial because the circumstances of my case did not meet the required criteria. I contacted XXXX again on XX/XX/XXXX when I learned of the negative credit reporting. At that time, another representative encouraged me to submit a dispute and took it upon himself to submit a request for review on my behalf. The XXXX representative that I spoke to today, XX/XX/XXXX, explained the he also would have advised me to use a General Forbearance at that time if had been speaking to me and that, had the first representative advised me of this, I would have been able to avoid the negative credit reporting that occurred as a result of allowing that representative to submit a Delinquency Forbearance rather than a General Forbearance. I feel that I was misled as to what my options were on that XX/XX/XXXX call by the representative. If I were given better advice and had been made aware that I had the option of using a General Forbearance at that time and not encouraged by the representative to allow the Delinquency Forbearance to be submitted on my behalf, I would have been able avoided this negative credit report.
Company Response:
State: PA
Zip: 191XX
Submitted Via: Web
Date Sent: 2019-11-15
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2019-11-15
Issue: Incorrect information on your report
Subissue: Account status incorrect
Consumer Complaint: FedLoan Servicing is reporting a wrong status on my credit report by saying that I'm 120-149 Days Late on a section of loans with them ( {$49000.00} ). This is false because onXX/XX/2019 I was granted forbearance by FedLoan Servicing that covered the time period that they are saying I'm delinquent ( XX/XX/2019-XX/XX/2019 ). On two occasions, two customer service people that helped me with this forbearance process told me that once it's approved, they will contact credit agencies to remove the delinquency reporting. Then after it was approved, customer service people are now telling me they will not remove it. So, on XX/XX/XXXX I filed a dispute with XXXX and XXXX detailing this issue. XXXX completed their investigation and it seems that FedLoan Servicing is still refusing to remove the false delinquency reporting from my credit, as it is still on my credit as of today. This is ruining my financial life, in that my credit dropped exponentially and will now not be able to get a loan for a car that I need to get to work and will cause me issues when trying to get approved for the next apartment I need to rent from. This makes no sense to me, as I even have a credit reference letter generated by FedLoan Servicing that states I am 0 days delinquent on all loans with them. My account is current with a {$0.00} balance and I have no payment history with them because I've never had to make a payment.
Company Response:
State: VA
Zip: 20110
Submitted Via: Web
Date Sent: 2019-11-15
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2019-11-15
Issue: Dealing with your lender or servicer
Subissue: Trouble with how payments are being handled
Consumer Complaint: Fed loan servicing is a complete scam. After enrolling in part-time XXXX school they automatically make changes to my account to set to deferment. No one should be making changes for my account other than myself, if I wanted to enter deferment I would have. On top of this, I was eligible for the deferment back in XXXX but it did not actually kick in until a few days before my loan should be paid in XXXX. After being notified by Fed loan of the deferment I received multiple emails that I should still pay, yet they make it impossible to take my loans out of deferment. After spending 30 minutes I finally was able to reach through to an actual person who informed me I must now fill out a form. The only place this form is found is before logging into your account at the bottom of their web page in small writing. AKA where no one will look. After that you must submit this form, they give plenty of options to submit for deferment and avoiding the loans, but force the form to get out of deferment to fall into the other category. This category, of course, takes longer because it does not give a defined path to a representative. While on the phone I also asked about the ability to target higher interest loans with extra payments because my employer also helps with my loans. Apparently you can only target higher loans with single payments, not auto payments. Now not only did they mess up my loan statues but have also messed up my employer 's contributions. Every single procedure and step about this company is designed to make you pay more and keep you as long as they can. They send emails to say look what we can do to help and then give a complete run around that often makes things worse.
Company Response:
State: MA
Zip: 01923
Submitted Via: Web
Date Sent: 2019-11-15
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2019-11-15
Issue: Dealing with your lender or servicer
Subissue: Problem with customer service
Consumer Complaint: I AM CURRENTLY ON THE PUBLIC SERVICE FORGIVENESS PROGRAM. MY LOANS WERE TRANSFERRED FROM XXXX TO FEDLOAN DUE TO THIS. FEDLOAN HAS HAD MY LOANS FOR OVER A YEAR NOW. THEY HAVE NOT CALCULATED MY PAYMENTS TO COUNT TOWARDS MY PSLF. I HAVE GOTTEN SEVERAL REASONS FOR THIS. LAST TIME I CALLED AND DISCUSSED THIS I WAS TOLD IT HAD BEEN REVIEWED MULTIPLE TIMES ( MORE THAN 6 ) AND NOTHING HAD BEEN DONE. I SENT A MESSGE TO CUSTOMER SERVICE IN THE SUMMER AND RECEIVED THE MESSAGE THAT BASICALLY SAID THEY WOULD CALCULATE MY PAYMENTS WHEN THEY FELT LIKE IT. I ALSO FEEL THAT MY PAYMENTS ARE NOT APPROPRIATELY APPLIED TO THE LOANS I HAVE.
Company Response:
State: AR
Zip: 72764
Submitted Via: Web
Date Sent: 2019-11-15
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A