Consumer complaint received 2019-02-23
Company: Foxstar Energy Resources LLC DBA Federal Student Loans Council
State: GA
Product: Student loan
Sub-product: Federal student loan servicing
Issue: Dealing with your lender or servicer
Sub-issue: Received bad information about your loan

Complaint:
Consumer Financial Protection Bureau Dear Sir/Ma I am writing this letter to notify the Consumer Financial Protection Bureau about a fraudulent organization called Federal student loans council- aka True Solution. 
A letter was mailed to me from the above fraudulent company on the XXXX of XX/XX/2018. We communicated through this number XXXX and also via this email address, ( XXXX. I called and a guy by the name XXXX XXXX picked up the phone. We had a conversation about how his organization was going to help lower my student loan payments and also put me on XXXX monthly payments. they convinced me with all their lies and I fell for it. 
They ask me to provide them with all my personal information, which I did and also they told me I should pay them {$150.00} down payment which was scheduled out of my account on the XXXX of XX/XX/2018 and that my monthly payment for the next two, years will be {$75.00} making a total of {$1600.00}. 
In addition, the loan company said that after paying the said amount they will continue to help me on XXXX monthly loan payments and that I should notify them when I file my taxes each year for them to recalculate my income and family size. I never knew they were a scam. They mess me and my credit up for their personal interest. 
After I made the first down payment I discovered that it was showing on my credit report as a loan under a different name called ( XXXX XXXX XXXX ) and it took my credit score down by 13points after that I noticed my federal student loan was increasing and I did not understand why. First, I saw an increase of {$89.00} in XXXX and XXXX which took my credit down by 34points. Not too long, I started receiving letters from XXXX XXXX ( the genuine loan company ) telling me about increasing interest on my loan and whenever I call federal  student loan council aka true solution to complain they always have something to say that will calm me down, something like ( ignore every letter and email you receive from XXXX XXXX ) and that the issue has been taking care of that I should give it some time for it to reflect on my credit. Also on XXXX and XXXX, there was another balance increase of {$93.00} and that took my credit down, again on XXXX and XXXX there was another increase on my credit of {$92.00} which reduced my credit again by 38points. When I noticed that my credit score is been messed up, I decided to call XXXX XXXX on the XXXX of XXXX, this month to find out if they are aware of what is going on with my student loan account? That was when I was made to understand that I have been dealing with a third party company. At this point, I was confused and did not know what to do or who to call for help so I called the third party again ( federal student loan council also know as true solution ). After calling them multiple times and my calls is always picked up by a lady who keeps telling me someone will get back to me, which nobody did, but on XX/XX/XXXX at about XXXX, a guy by name XXXX that work for the said company called back to find out why I called and as soon as I told him that I contacted XXXX XXXX, he said he will call me back in an hour and that was it. Since then I have been trying to reach them but to no avail. My calls are been picked up by the same lady giving me the same stories about them calling me back as soon as possible. So on Thursday, XX/XX/XXXX, I decided to call the XXXX XXXX since I could not reach anyone at Federal loan council aka true solution ; that was when I was informed that I have been dealing with a fraudulent company which by law there is not suppose to be any third party in between them. Also that the Government has long shut down these thirds parties but they keep coming up under different names. Also, I was advised to contact Consumer Financial Protection Bureau to report this issue alongside with my bank to stop the monthly payments. XXXX XXXX also advised I dispute the Fraudulent company ( by name XXXX XXXX XXXX ) from taking payments on my credit report. I was also notified about a fake account that was opened using my information to create an online account with XXXX XXXX and that they put all kinds of lies and numbers on the account.

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