Consumer complaint received 2023-03-09
Company: Navient Solutions, LLC.
State: IN
Product: Student loan
Sub-product: Federal student loan servicing
Issue: Dealing with your lender or servicer
Sub-issue: Need information about your loan balance or loan terms

Complaint:
On XX/XX/XXXX of XXXX I received a email which I still have about being in a class action lawsuit stating this : Dear XXXX XXXX : Subject : Student Loan Discharge Based on XXXX XXXX XXXX The Department of Education ( " Department '' ) has determined that the loan ( s ) you received to attend a school owned and operated by XXXX XXXX XXXX are eligible for full loan discharge. This means the remaining balance on the loan ( s ) will be forgiven. You do not have to make any more payments on the loan ( s ). 

Your loan ( s ) will be discharged as part of a Department action ( " Group Discharge '' ) to discharge all outstanding loans for attendance at XXXX XXXX XXXX after finding that it engaged in widespread misconduct that violated state consumer protection laws and/or made widespread substantial misrepresentations about its educational programs, both of which are grounds for borrower defense to repayment under the borrower defense regulations ( 34 C.F.R. 685.206 and/or 685.222 ). The Department is discharging your loans without requiring you to file an application because of the pervasive and widespread nature of the school 's conduct. 

You also may receive a refund for prior payments made to the Department on your discharged loan ( s ) related to XXXX XXXX XXXX. Your servicer will let you know if you are eligible for a payment refund, which would be mailed to you. Please check your online account with your loan servicer to ensure your address is correct so you can receive any refund. Otherwise, you do not have to take any further action to receive your discharge. Your credit report will also be updated to reflect this discharge when it is complete. 

If you do not wish to accept this discharge, please contact your servicer within 30 days of receiving this letter. 

It will take the Department some time to process your discharge. Until the Department completes its work, your eligible loan ( s ) from XXXX XXXX XXXX will remain paused in forbearance/stopped collections, and we will not ask you to resume making payments. If your loan ( s ) are in default, we will not attempt to collect on the loan ( s ) being discharged. If you have other loans not covered by this group discharge, you will enter repayment and/or collections when the national pause on student loan repayment and collections ends. 

If you have questions about this notice, please call our borrower defense hotline at XXXX from XXXX XXXX on XXXX or from XXXX XXXX on XXXX XXXX XXXX 

Sincerely, XXXX XXXX XXXX Operating XXXX Federal Student Aid Up to this day I continue to get the run around from Navient first I was told they didn't have any information about this then I was told they were waiting on the department of education to give them information this has been back and forth sense XXXX then in XXXX I called because Navient was reporting to the credit departments that my loans were 120 days delinquent which they were not they were in a hardship deferment til XXXX of XXXX and then switched over to the Government forbearance. In this conversation I asked Navient dis you receive any information from the department of education on the discharge from the case and asked them why they were reporting my loans were delquint when they obviously were not I was told that they didn't report them delinquent and the credit company 's themselves listed them as delinquent. When I asked if they got the discharge paper work they said they had it they had to get it approved '' by the loan holder and it would take up to 60 days .... when I called the D.O.E after that call for yhe borrowers defense I was told it could take up to 3 yrs to be discharged and that I had to fill out a borrower 's defense application even though this e mail above clearly states I don't, however I started a application anyways and the application process shows what loans are eligible and which loans are not well it was saying all of my loans were ineligible I contacted the D.O.E who then again told me today ( XX/XX/XXXX ) that I don't have to fill out a borrower 's defense and my loans would be discharged automatically cause of the lawsuit and to contact my server so I contacted Navient after this phone call today XX/XX/XXXX again and now Navient is stating that they have not got any information from the department of education. Which is a contradiction to the previous phone call with them. The Department of Education was the ones that told me to submit a complaint here Because I continue to get the run around from Navient but I feel like I'm getting a run around from both Navient and the Department of education. 
Thank you XXXX XXXX

Company response to consumer: Closed with explanation