Consumer complaint received 2023-10-02
Company: EdFinancial Services
State: MO
Product: Student loan
Sub-product: Federal student loan servicing
Issue: Dealing with your lender or servicer
Sub-issue: Trouble with how payments are being handled

Complaint:
On XX/XX/XXXX I applied for the new SAVE repayment plan through studentaid.gov. 
On XX/XX/XXXX my application was processing. 
Unknown to me until XX/XX/XXXX on XX/XX/XXXX my application was denied by ED Financial ( my loan servicer ) because I didn't have an active loan. 

In reality ED Financial was transferring loans in its system to a different computer system. That change had a transfer window of XX/XX/XXXX to XX/XX/XXXX based on their emails. They had delays in transfer. They didn't inform that this delay was occurring until late XXXX. Because of their own internal system transfers they didn't see my loan in their system. They inaccurately denied my request. I had to reapply today XX/XX/XXXX over the phone with their customer service rep XXXX. The change wont happen for 31 days, after my next payment which resumed this month is due. 

The change when I applied said my payment was going to drop from close to XXXX to {$74.00}. Now I was told my payment will be closer to {$170.00}. That's okay as long as that is accurate. My XXXX Payment will still be the higher amount even though I timely applied for the change to the SAVE program. ED Financial screwed up, not me. 

XXXX put in a ticket to figure out why my loan was lost during the transfer creating a denial, why I never received the XX/XX/XXXX correspondence informing me my loan was denied, and I think a general complaint on my behalf. She was actually helpful, but still could only convey what basic info she had. It wasn't her fault that ED Financial screwed up from a systems perspective with a failure to properly audit requests that came in on and after XXXX. 

I also tried emailing using their online contact form ( that does not provide an email confirmation/copy so I only screenshot the 2nd submission before submitting. I emailed on XX/XX/XXXX and again on XX/XX/XXXX. They indicate a 4-5 day response time. XXXX told me it is closer to 27 days currently. I have not received a response to either of those email/contact form requests. If I had received a response I would have been able to resubmit with more than 31 days time. I did try and call in on XX/XX/XXXX but was on a different call when they called back ( 5.5 hours later ) and didn't have a chance till today to call again. 

I received a letter on XX/XX/XXXX ( dated XX/XX/XXXX ) that described my old plan, but since I never received the XX/XX/XXXX denial on that SAVE application I just assumed my request hadn't been processed yet. That was also why I reached out via the contact form to get answers regarding that XXXX ( XX/XX/XXXX ) letter. 

ED Financial should have known their system was causing issues with requests because they failed to meet the transfer schedule they informed us would be in place. They knew when SCOTUS denied the forgiveness and a new plan was created that lot of change requests would start. I applied to give plenty of time to allow those changes to take effect.

Company response to consumer: Untimely response