Consumer complaint received 2018-04-11
Company: HEARTLAND PAYMENT SYSTEMS INC
State: CT
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:
Introduction : On XX/XX/XXXX during a review of my XX/XX/XXXX taxes, I was unable to log into the provider of my Federal Perkins Loan utilized for my studies at the University XXXX XXXX. I tried multiple times to log into the loan provider ( XXXX XXXX now doing business as XXXX XXXX ; XXXX XXXX XXXX ) and was alerted that an account did not exist. This was very concerning as I wanted to download my XXXX tax form to record the interest paid during XX/XX/XXXX. After a XXXX Search, I found a user forum website which described a similar occurrence using XXXX  and having a suggestion to try alternative loan providers as the loan may have been transferred. Also, in reviewing my XX/XX/XXXXbanking data ( checking account ), I noticed that XXXX did not debit any payment for the Perkins Loan using the ACH system since XX/XX/XXXX. I have been paying this loan off since my first payment on XX/XX/XXXX and have not missed a payment on the loan utilizing the XXXX website along with the automatic debit system to lower the interest rate and validate that the loan I am very thankful for is paid back. 

Based on the recommendation of the user forum, I found that many XXXX  loans were transferred to XXXX XXXX among others. I created an account at XXXX XXXX this morning and checked the status of my account. Based on payment history, which began on XX/XX/XXXX and was continued uninterrupted until XX/XX/XXXX. Not one payment was missed during this time. Looking at the XXXX XXXX website under account statements, the first balance that is due was on XX/XX/XXXX and continued monthly until XX/XX/XXXX. My account is listed as within collections even though I was never notified nor communicated with about the change in provider nor the disabling of the automatic debit program. I also was charged a fee of {$820.00} on top of accrued interest for the loan not being paid. 

This is an unfair practice to not communicate the necessary information regarding the changeover of a loan provider nor discontinuing the automatic debit for payment which occurred on time almost 3 years. As I saw this injustice, I went to the Consumer Financial Protection Bureau website to see what types of options I can undergo. Based on the complaint submission form, I decided to contact XXXX XXXX to gather more information surrounding this occurrence and rectify any debts. I also aimed to have the fee disregarded as I did not receive proper communication and found the provider change based on filing my taxes. 

Call to Loan Provider : On XX/XX/XXXX from XXXX EST to around XXXX EST, I called XXXX XXXX  at ( XXXX ) XXXX based on the contact information listed on the website ( XXXX XXXX XXXX XXXX XXXX ). At this time, I spoke with a XXXX whom would not share her last name nor employee number, but stated she is the only XXXX working at XXXX XXXX. She also mentioned that all calls are recorded. For the actual recorded call, please contact XXXX XXXX and describe the timing along with the employee spoken with. At first I explained my situation and as a part of security measures, XXXX verified my contact information. This included my name, last four digits of my social, phone, and address. After XXXX explained that since the account is in collections and XXXX XXXX could not do anything, she provided the number of the collection agency. Before we ended our conversation, I asked her for the details of any contact attempts to alert me of the change. She mentioned two phone calls ( one in XX/XX/XXXX and one in XX/XX/XXXX ). The number was not the number provided within my contact information ( which XXXX verified at the start of our conversation ) and there was no ability for me to receive the call. Next, I asked for any correspondence thru US Mail. She stated documents were sent out, however, once again not to my contact address as verified through the security verification of my person. Based on these items, I asked for any identification information from herself as a record of our conversation before formalizing my complaint. 

Details : I have included screen shots of the XXXX XXXX  website while logged into my account created on XX/XX/XXXX. These include my contact information, the fees charged, the collection status of the account, every payment made since XX/XX/XXXX until XX/XX/XXXX and the " past due '' statements which began in XX/XX/XXXX. These past due statements were never communicated to myself and I do not believe a honest attempt was made to notify me of the XXXX XXXX becoming the new loan provider and canceling the automatic debit that was set up for almost 3 years. Also, I am concerned that there is a gap between the paid statements ending in XX/XX/XXXX until XX/XX/XXXX for the current statements from XXXX XXXX. This 2 month gap in statements is confusing and since the company did not keep with the agreed upon payment schedule, I doubt how someone can assume that the debt was transferred over. I disagree with the handling of this loan by XXXX XXXX as I was always excited to see my overall loans decrease since graduation as the opportunity the loan allowed me to have was excellent. I also disagree with any additional fee added to the amount of the loan based on XXXX XXXX lack of communication. 

Please help me navigate this situation, I see complaints surrounding XXXX XXXX thru minimal XXXX searching. I want to continue paying my Perkins loan as agreed upon and starting in XX/XX/XXXX. I look forward to any feedback and please feel free to contact myself for more details including account numbers.

Company response to consumer: Closed with explanation