Consumer complaint received 2022-10-03
Company: Navient Solutions, LLC.
State: FL
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:
My name is XXXX XXXX. I'm a XXXX  of yours and a XXXX  in XXXX XXXX. I'm emailing you about Senate Bill 1098, Joint consolidation loan separation act that you sponsored. I currently hold student loans ( XXXX ) with my ex-wife. They are consolidated in a type of loan called the " spousal consolidation loan '' held by Navient. This type of loan was discontinued back in XXXX or XXXX because of it's predatory nature. The consolidation loan took my student loans and my ex-wife 's student loans and consolidated them back in XXXX into the " spousal consolidation loan '', when we were still married. We thought it would be a good way to lower the interest rate and make the payment more affordable for a newly married couple. We sadly divorced in XXXX. These loans are the only thing that we couldn't split and take our own separate ways. It would make sense, in a divorce situation, that each party would take their assets and debts with them and move on with their lives. With the spousal consolidation loan, this isn't the case. I've been told that it will take an act of congress to separate the " spousal consolidation loan '' back to individual loans. It doesn't make sense to me and seems predatory and criminal in it's intent. 
Currently, the loan is in an IBR program with Navient. Each year we both have to file paperwork to re-certify the IBR program with income and personal circumstances. Navient, who holds the loan, has to take each one of our separate loans and combine them to come up with a joint payment. So, technically, they are separate loans that have to be combined to create a joint payment. From my research the only practical reason we can't split them is, I believe, they want to keep us both liable, even though we are legally divorced and should be responsible for our own individual loans. To me that is absolutely and morally wrong. 
What makes this situation even more sad, is that I'm a XXXX XXXX. I'm a XXXX  in XXXX XXXX. I XXXX XXXX XXXX and have for a long time. I've tried tirelessly to take advantage of the. Public Service Loan Forgiveness program. I've been told multiple times, by Navient, that my " spousal consolidation loan '' isn't eligible for the program, can't be split back into individual loans ( even though they are separate and need to be combined by Navient to come up with a joint repayment amount each year ), and my portion can't be reconsolidated into a loan that would qualify me for the PSLF program. I find this disgraceful and un-American. It sounds like evil greed and frightens me as to the ramifications that could happen once the IBR time is up. These loans might be forgiven after 25 years, but a huge tax bill could be penalized onto me and my ex-wife. My understanding is that, once forgiven, the forgiven amount is considered taxable income during that calendar year. That's outrageous. I should be able to take my original loan and qualify myself for the PSLF program and get credit for my prior years of teaching while being trapped with this " spousal consolidation loan. '' My ex-wife can be responsible for her original loans. I shouldn't be forced to be responsible for her portion and she shouldn't be responsible for my portion. A divorce should allow a split of such debt, no matter the circumstance. 
Can you update me on the status of this bill? Can you let me know if my " spousal consolidation loan '' would qualify for the S 1098 bill? What are the details and terms of the bill? Is the bill only for separation of loans for those who have suffered abuse or is it for all people with consolidation loans, no matter what type? I simple want to be responsible for my own, ( not my ex-wife ) loans and take advantage of the PSLF program that's available to me as a teacher. It seems that the specifics of the " spousal consolidation loan '' has discriminated against me being allowed to participate in programs available to other teachers and public servants. Please feel from to reach to me if you have questions.

Company response to consumer: Closed with explanation