Consumer complaint received 2016-09-14
Company: SLM CORPORATION
State: AL
Product: Student loan
Sub-product: Non-federal student loan
Issue: Dealing with my lender or servicer
Sub-issue: Having problems with customer service

Complaint:
On or about XXXX XXXX XXXX, my daughter submitted a loan application with Sallie Mae in the amount of $ XXXX to cover the school expenses for her trade school ( XXXX XXXX - XXXX ) that were not otherwise covered through FAFSA. On that same date, I co-sign the loan application and it was submitted back to Sallie Mae for processing. 

On XXXX XXXX XXXX, my daughter contacted Sallie Mae and found that her loan application was denied on the basis of the co-signer denial. I went out to the Sallie Mae site and saw the denial without explanation ; so, as instructed by their site, I contacted their Customer Service department ( XXXX XXXX ) and spoke with " XXXX ''. He confirmed the status of the loan application denial, but could not provide an explanation because their " process '' does not allow their Customer Service personnel from viewing said information ( Oddity # 1 ). He did put in a request through their automated system to generate an explanation letter and that I would see it within 24-48 hours. 

On XXXX XXXX XXXX, I was notified via email that the loan denial explanation was out on the Sallie Mae site in my account ( I have a previous relationship with them due to co-signing student loans for my son ). I download the explanation letter and it was the standard boiler plate denial letter without a clear reason for denial ... just listed the potential reasons. Since my credit standing is very good at this point, even better than it was when I co-signed loans with them for my son, I was very confused ; so, as instructed in their letter, I contacted their Customer Service department again. Again, the Customer Service representative could not help me, so she patched me through to the Originator Department and I spoke with " XXXX ''. XXXX reviewed the account information ; and, as it was with the Customer Service personnel, he was unable to view the actual reason for the denial and stated that this was the process and policy per their Corporate Headquarters. He did submit a request for a full explanation letter to be sent to me via snail mail and that I would see it within the next 30 days. The problem is that my daughter 's school begins in less than 60 days and I explained I could not wait that long, but he said their was no one else he could refer me to expedite the help request. 

I believe the only reason that is causing the hiccup with this loan application is the outstanding $ XXXX in loans I 've co-sign for my son with Sallie Mae, but none of them are delinquent. I state this because my credit is very good, I have no delinquencies and I have a decent income ( $ XXXX ), plus I 'm a veteran and still currently employed by the XXXX XXXX XXXX ( 20 years XXXX XXXX, 16 years XXXX ). 

My daughter will be resubmitting her applicable using her grandfather and/or aunt to co-sign for her and those should go through with ease, but I am not satisfied with the multiple layered bureaucracy and the fact that XXXX and XXXX XXXX representatives of Sallie Mae can not assist a customer with a simple task, especially one that could possibly be resolved over the phone. 

Sketchy business practices to say the least. Please look into this matter for me.

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