Consumer complaint received 2020-02-05
Company: Texas Guaranteed
State: FL
Product: Student loan
Sub-product: Federal student loan servicing
Issue: Dealing with your lender or servicer
Sub-issue: Received bad information about your loan

Complaint:
Account # XXXX It starts with the fact I am a XXXX XXXX XXXX veteran. 
To Whom It May Concern : On XX/XX/XXXX, I received a notice from TG XXXX XXXX XXXX advising of the defaulted student loan and for me to contact them with regards to making payment arrangements. I called TG and at that time was informed I had been entered in to the Treasury Offset Program. I had advised I was unclear as to what that program entailed. At this time, I informed TG, as I had informed them various times before, I was in a precarious situation as I had been going through a divorce since XX/XX/XXXX, I was unemployed, had gone through several medical procedures as a XXXX veteran, and had recently been diagnosed with another medical issue. I informed them, I had called several times before and asked if they had that those conversations recorded that they could revert to. At this time, I entered into a payment plan and was informed that I need to make three ( 3 ) consecutive payments in order to show good faith. I had assured them I had no issues with that and signed up via electronical debit with them via phone. 
On XX/XX/XXXX, I received correspondence from the Department of Treasury that the JOINT ENTIRE federal refund had been applied to that balance. A total of {$20000.00}. On XX/XX/XXXX, I called several times, a few of which I was disconnected, and eventually spoke to a XXXXtwice, ext : XXXX, who could only advise me that although he had seen I had signed up to make payments, I would have to make three ( 3 ) consecutive payments in order get out of the program. I explained that how I could do that, if I had been afforded the opportunity to make three ( 3 ) payments before they touched a refund I wasnt even aware that was coming yet. He then said that for any future refunds, I would be ok ... Im not sure was that meant. I advised XXXX the second time that at NO TIME, based on TGs own TREASURY OFFSET PROGRAM http : //www.tgslc.org/borrowers/default/consequences.cfm page explanation was I ever given the following : By federal law and regulations, you have certain rights when you are facing Treasury offset XXXX You must be notified that TG  is proposing to use Treasury offset to collect money from you. A notice will be sent to the address you used when filing your most recent federal income tax return. 
You must be given an opportunity to : Avoid offset by arranging to repay your loan, Review any records about your loan, Show why the loan is not in default, is not delinquent, or why you aren't legally responsible for repaying it. 
If your spouse 's tax refund was subject to Treasury offset because of your federal debt, your spouse may be entitled to claim his or her return. You can contact the IRS about your Treasury offset at XXXX XXXX XXXX XXXX. 
The notice you receive will explain your rights with regard to the Treasury offset process. 
If tax refunds or other federal payments are withheld, they will not appear as voluntary payments on your credit report although they will be deducted from your balance. In addition, Treasury offsets do not count toward any program that requires voluntary payments such as reinstatement or rehabilitation. 
Borrowers receiving a letter from TG  warning of possible Treasury offset should call TG   at ( XXXX ) XXXX or send TG  an email message. 
PLEASE BE ADVISED THAT At no time did I receive a notice stating I was in for TREASURY OFFSET, nor did I even been given an explanation and/or been given my rights regarding this program or given the opportunity to object and/or explain my current position or even review it. 
As soon as I received the XX/XX/XXXX notice, I called and made arrangements for payment after explaining my situation. TODAY, after speaking to XXXX, I asked to speak to a supervisor, I was told that speaking to a supervisor would do me no good and that my only option was to call and/or write after the payment went it and claim hardship or injured spouse for the other party. I called right after and spoke to an XXXX XXXX, who was a little rude and just recited the same information as if reading from a script. I can totally understand this is an attempt to collect a debt, which makes it even harder as the debtor to call and try to remedy the situation with individuals who are not even trying to help you resolve the issue. As I said, I have called several times in the year XXXX to try to resolve the debt, and have been handled and/or mishandled. 
I have no problems showing any proof and/or documentation of any of the things I have said, please contact me via email and I will gladly provide and/or call me : XXXX as I believe this has been wrongfully handled and could have been avoided.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation