Consumer complaint received 2018-08-01
Company: Texas Guaranteed
State: TX
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:
I have contacted XXXX XXXX in regards to a Student loan that has defaulted agreed to enter the Rehabilitation Program with a payment of {$58.00} a month due by the XX/XX/XXXX of each month ; however, my wages have been garnished from my place of employment either way. I do not understand why this is happening. I received a letter in the mail dated XX/XX/2018 stating : You must make at least nine ( 9 ) monthly payments during a ten ( 10 ) consecutive month period in the amount of {$58.00} due on the XX/XX/XXXX of each month as agreed to between you and XXXX  under the established repayment agreement. Under the rehabilitation program, the full payment amount agreed to must be received within 20 days of the payment due date. A payment made more than 20 days before or after the due date will be credited to your outstanding balance but may not count toward the rehabilitation program. This may delay completion of the program or require you to start the program over. I did receive a letter in regards to a garnishment to begin XX/XX/2018 if I did not contact or settle into agreement of repaying my student loan ; however, I did contact the company prior to that date and settle to enter into the Rehabilitation program. I did pay my payment of {$58.00} in two payments : a payment of {$46.00} on Saturday XX/XX/2018 and {$20.00} on Thursday XX/XX/2018 well within the 20 days as stated. I log onto my online account see the payment of the {$66.00} but I do not see my wage garnishment of {$200.00} applied at all to my account. I spoke to a XXXX in regards to this issue twice and asked if my account is placed on wage garnishment why does it state online " Your good faith payment of {$58.00} is due by XX/XX/18? She said that is incorrect and should have taken a couple of days to come off my online account since the garnishment was put into place from XX/XX/18 ; I told her a couple of days we are now XX/XX/2018 that is more than a couple of days and she said there is nothing she could do to help and the garnishment will not be cancelled. I told her so my online account information is incorrect which is deceiving and a lie. It should not show that I am on a rehabilitation payment and still get my wages garnished at the same time. How is it that I paid my Rehabilitation payment well withing the 20 days as stated on the letter and had my wages garnished of {$200.00} but yet that garnishment is nowhere to be seen applied to my account. I feel that this company is not for the people or in any way to help the people. I mentioned to XXXX how unfair is that and I have other loans with the XXXX that have been put on a payment plan/IBR and she told me we have no affiliation with XXXX. Please help to stop this ; I am scheduled to give double payment by paying the Good Faith of {$58.00} and have my wages garnished? I spoke with a XXXX twice with no help at all ; I did receive one phone call from a supervisor by the name of XXXX  whom left a message so I did return the phone call and have left 3 messages with no return phone call.

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