Consumer complaint received 2023-07-05
Company: SLM CORPORATION
State: IL
Product: Student loan
Sub-product: Private student loan
Issue: Dealing with your lender or servicer
Sub-issue: Trouble with how payments are being handled

Complaint:
In XX/XX/XXXX, I noticed Fraudulent activity on my checking account. As such, all of my automatic payments were cancelled/removed including my automatic payments for my Sallie Mae account XXXX Upon the realization of same, I contact Sallie Mae to enroll in one of the programs advertised by Sallie Mae to bring the account current. I spoke to a representative who claims that no such programs exist and that I would need to pay the entire outstanding amount to bring the account current. I explained to this representative that according to the written correspondence Id received, there were options to bring the account current. This representative stated that no such options exist despite me having received from Sallie Mae via email and USPS.

I recontacted Sallie Mae and spoke to a seemingly helpful representative who stated that I could simply make the NORMAL minimum payment to avoid a negative credit reporting and make interim payments to bring the account current. Again, this representative stressed making my NORMAL ( Not past due ) payment to avoid negative credit reporting. I made the normal minimum payment of ~ {$240.00} with that representative on XX/XX/XXXX. On that same date, Sallie Mae reported my loans BOTH 30 and 60 days late. I contacted Sallie Mae via mail to try and rectify the situation to no avail. It should be noted that I received no acknowledgement of my correspondence. I recently contacted Sallie Mae once again and requested to be placed on a repayment program. My goal with same was not only to stagger the repayment amount, but also to ensure that whatever information was provided to me relative credit bureau reporting and past due status would be archived. This representative echoed the previous representative by stating that if I made the NORMAL minimum payment due, the account would not be reported as delinquent nor would it fall further behind in terms of default risk. The representative further gave unsolicited and incorrect credit reporting information including the following, Some of the information reported to the credit bureaus is not reported by Sallie Mae Late payments exist whether or not the creditor ( in this instance Sallie Mae ) reports them The Credit Bureaus are able to determine an account is past due regardless of reporting from the Creditor. 


Again, aside from being completely false and inaccurate, this information was not solicited from the representative. I informed the representative of same and requested that she attempt to place the account on the repayment program. I provided her with my information to which eventually stated that my account is ineligible for any sort of repayment assistance. I once again made the NORMAL minimum payment and was assured by the representative that this would stop the negative credit reporting. Unsurprisingly, this turned out to be false information as the account was once again reported past due to the credit bureaus, only this time with a 90 and 120 late payment designation.

Sallie Mae contacts me nonstop with claims and promises of programs and solution options to bring the account current. This is untrue as two different representatives stated that no such options exist. To that end, the one program that claims to exist to assist with getting the account back on track precluded my accounts from enrollment. Make no mistake, this is not simply a case of a slight error in relaying information on the part of your representatives, your representatives are provided wholly inaccurate and false information that lends itself to unfair debt collection practices. To that end, to report the account as delinquent for two months is also inaccurate as payment was received during the first month of delinquency. ( EX, Payment due XX/XX/XXXX. The account is not 30 days delinquent until XX/XX/XXXX. The payment was due in XXXX, not received and is not 30 days late until XXXX which is 30 days past XX/XX/XXXX. ) To that end, Sallie Mae advertised a plethora of repayment options that do not exist. It should be noted that each of the representatives I spoke to stated that making the NORMAL minimum payment due would cease any negative credit reporting. These same representatives also made the suggestion of making additional payments in between the monthly payments to get the account caught up. I have made numerous attempts to resolve the issue with Sallie Mae. I have contacted the organization via phone, accepted their calls and written letter concerning same. I can only manage this account, and by extension my finances based on the information provided from the Sallie Mae representatives. When this information is false or inaccurate. I am unable to properly manage this account. Please have someone contact me concerning this matter.

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