Consumer complaint received 2022-09-16
Company: EdFinancial Services
State: MI
Product: Credit reporting, credit repair services, or other personal consumer reports
Sub-product: Credit reporting
Issue: Incorrect information on your report
Sub-issue: Account status incorrect

Complaint:
The current standing of the Federal student loan at EdFinancial Services is listed as open with a balance of roughly {$12000.00} on my XXXX credit report. The loan was transferred from EdFinancial services to XXXX XXXX and was forgiven through the Federal student loan forgiveness program. The XXXX XXXX correctly indicates that the loan balance is {$0.00}. The EdFinancial Services account still shows the loans carrying a balance. 

I initiated disputes at XXXX with accompanying paperwork showing the loan balance at EdFinancial services in XXXX and XXXX of XXXX. No action was taken to clarify the Dispute. I also contacted XXXX services on XX/XX/XXXX with the following : " From : XXXX Sent : Thu XX/XX/XXXX XXXX XXXX ( Eastern Daylight Time ) To : XXXX Subject : Other XXXX XXXX  My loans were transferred and closed at Ed Financial Services to Federal Student Aid for forgiveness, but on my XXXX and XXXX credit report the Ed Financial loans are not marked as closed. The last update was XXXX of XXXX. 

Please report these loans as closed to All credit reporting agencies As soon as possible, to avoid future legal action. 

Best Regards, XXXX '' the response was as follows : " On Tue, XX/XX/XXXX at XXXXXXXX XXXX XXXX wrote : Hello XXXX, Thank you for contacting Edfinancial Services. We apologize for any inconvenience this may cause. The U.S. Department of Education has changed the process of credit reporting when your account is transferred between federal student loan servicers. We will no longer close the current tradeline for your federal student loans, instead, the credit reporting file is now transferred to your new federal student loan servicer. Your account was transferred to the Public Service Loan Forgiveness processor on XX/XX/XXXX, and they would have received your credit reporting file within 90 days of your transfer. Please contact XXXX directly for further assistance. 

Thank you, XXXX Edfinancial Services We value your opinion and want to know how we can improve your email experience. Please take a minute and provide us with your feedback by clicking on this short survey. 
https : //Edfinancial.com/emailsurvey '' I responded on XX/XX/XXXX : " From : XXXX Date : Tue, XX/XX/XXXX at XXXXXXXX XXXX Subject : Re : XXXX To : XXXX Hello XXXX, The loans were transferred, but there is no indication on my credit report that they were transferred from you to the other vendor. So it looks like the loans are still open at Ed Financial. There has to be another step to document the transfer of the loans and subsequent zero balance owed to Ed Financial. Otherwise it looks like I still owe Ed financial $ XXXX even though the loan is closed and forgiven at XXXX. This needs to be escalated to management for review. 

Thanks XXXX '' No response has been received from EdFinancial at this time, additionally the disputes at XXXX were not successful, thus the loans still show the {$12000.00} is owed to EdFinancial when there is a {$0.00} balance.

Company response to consumer: Closed with explanation