Consumer complaint received 2022-03-04
Company: Maximus Education, LLC dba Aidvantage
State: IL
Product: Student loan
Sub-product: Federal student loan servicing
Issue: Struggling to repay your loan
Sub-issue: Can't get other flexible options for repaying your loan

Complaint:
I started XXXX XXXX in XXXX at the XXXX XXXX location in California. It was based on fraud to get me in, promising XXXX approval and Internship. On the last quarter the pilot class was informed neither would be coming. I filed with the Depart. of Educ. and they sent this : XX/XX/XXXX Borrower Defense Case : XXXX Dear XXXX XXXX XXXX : The Department of Education ( Department ) has approved your claim for discharge of your federal student loans under the borrower defense to repayment rules, 34 C.F.R. 685.206 ( c ) and/or 685.222. We have determined that you are entitled to a discharge of the loans associated with your enrollment in program ( s ) at IXXXX XXXX XXXX XXXX XXXX based on the school 's material misrepresentation ( s ) to you. 

What does this mean for you? 
If you have XXXX XXXX XXXX XXXX Direct Loans ( Direct Loans ), then 100 % of those that you received on or after XXXX for the program ( s ) of study related to your approved claim will be XXXX within the next 180 days. 
A 100 % discharge means the entire remaining balance of those loans will be cancelled. 
You do not owe any more money on those loans and will not have to make any more payments. 
If those loans are in default, the Department will not continue any collections activity or garnishment of wages or offset your tax refunds or Social Security benefits. 
Your loans will remain in forbearance or stopped collections status until the discharges are completed. 
You do not have to take any additional steps to receive this relief. 
What about payments I already made? 
We are reviewing your eligibility for a refund, but please note that only some borrowers will receive a refund. 
There are limited cases where borrowers XXXX be eligible for a refund of any prior payments made on the Direct Loans that are being XXXX. 
The Department will provide you additional information if you are eligible for a refund. 
You do not have to take any additional steps to receive a refund if you are eligible for XXXX. 
Will all of my federal loans be XXXX? 
The Department is determining whether you have other Federal non-Direct loans ( such as Federal Family Education Loans or XXXX Loans ) relating to your claim. 
If you do have those other types of loans, they will also be eligible for full discharge, but you will have to take some additional steps to receive this relief. 
If you have these eligible loans, we will send you more information about the actions that need to be taken for these loans to be XXXX. You do not have to take any additional steps unless and until we contact you again. 
If we determine you do have these loans they will remain in forbearance or stopped collections status until you take any additional steps we tell you about and the discharges are completed. 
This borrower defense to repayment discharge by the Department does not apply to private student loans. Therefore, nothing in this email applies to any private student loans that you XXXX have. 

This email only applies to the federal student loans that you received for the programs of study related to your approved claim. 

If you have questions about this notice, you can contact our borrower defense hotline at XXXX from XXXX a.m. to XXXX p.m. ET on Monday through Friday. 

Sincerely, XXXX Department of Education XXXX XXXX XXXX XXXX ID : ref : XXXX : ref Federal XXXX XXXX XXXX XXXX XXXX XXXX XXXX Department of Education XXXX XXXX XXXX, XXXX, Washington XXXX XXXX XXXX StudentAid.gov/borrower-defense XXXX XXXX XXXX Mon XXXX XX/XX/XXXX, XXXX PM to me Send message on XX/XX/XXXX on forbearance and the discharge. Under Your case number is # XXXX. 

But, to date I have not been informed anything else and keep getting notices the payments will start soon through a new company. I tried getting, after graduation in XXXX, XXXX to give a easier payment cause I could not afford what they wanted. They just kept placing me on forbearances and the interest went to over {$80000.00} in debt. Another company helped to re-lower it to {$42000.00}, and now I pay them each month also around {$39.00} a month. The interest is going back up and I am told they want over {$400.00} a month which I can not afford. I was told of this law suit and pray you can help.

Company response to consumer: Closed with explanation