Consumer complaint received 2019-07-29
Company: Navient Solutions, LLC.
State: MD
Product: Student loan
Sub-product: Private student loan
Issue: Getting a loan
Sub-issue: Confusing or misleading advertising

Complaint:
A recruiter from XXXX XXXX, XXXX XXXX, NY was recruiting at my high school. I was scheduled to graduate high school in XX/XX/XXXX. I was a ward of the NY state court. Unfortunately, I had no parents or family members. However, I knew after graduation I wanted to go to college. However, did not know how I was going to pay for it? XXXX XXXX offered financial aid and stated because I was a ward of the state. Tuition cost would be fully covered my first year through federal grants and financial aid. There was no need for me to worry. I agreed at that time and signed up to go to XXXX in advance. I had already moved into the dorm in XX/XX/XXXX and was a student. Approximately a month into classes, I was told I could not attend classes. In order to continue my classes. Financial Aid had not posted. I would need to take out a loan for total {$6600.00} and had me fill out the paperwork to reflect {$6600.00} with Sallie Mae. While I awaited financial aid. Actual loan after financial aid finally posted loan amount was {$2600.00}. XXXX Financial Aid Dept. explained my financial aid still did not cover my full tuition and awarded amount wasn't enough. Having no where to go and no family. I agreed to the loan amount {$2600.00} instead because I had no choice. When I inquired about how much financial aid actually awarded, I was never answered. I inquired in person, writing, etc. XXXX never provided awarded amount I was awarded. However, when I called Federal Student Aid and inquired. Rep explained you are a ward of the court, should not have had to take out any loans your first year and you qualified for full amount that would be awarded to anyone with your circumstances. XXXX College never provided that amount and would not. On XX/XX/XXXX. Sallie Mae Servicing Lender who was the initial lender of this loan notified me of refund in the amount of {$1000.00} was received from XXXX College and was not sent to me but posted to my Sallie Mae Account on XX/XX/XXXX from {$2600.00}. However, Sallie Mae NEVER applied nor " posted '' this amount to the total owed for that loan balance to reflect the difference in lesser balance owed to them. The initial balance owed back to Sallie Mae for loan taken out was {$2600.00} and {$1000.00} was refunded paid back to Sallie Mae from XXXX College. On XX/XX/XXXX, XXXX XXXX XXXX XXXX  also transferred a {$1800.00} balance of that loan to Sallie Mae. None of these amounts reflect the total balance owed to Sallie Mae, neither has Sallie Mae Servicing Center corrected any of these issues but it was presented to them countless time from XXXX to XXXX. Sallie Mae did not stop their fraudulent activities there nor did anything to correct them. On XXXX of XXXX I wrote a letter to Sallie Mae expressing to them why I requested the loan amounts be corrected. My home suffered a 6 alarm fire, I lost everything and had to start all over again. There was a loan that was cancelled in their system on XX/XX/XXXX and I received confirmation letter from SMSC they removed it from my account dated XX/XX/XXXX and it was removed from bottom of letter where it list borrowers loans. However Sallie Mae figured out a way to incorporate this amount back into total balance owed to them via interest. On XX/XX/XXXX I received a letter from SMSC stating account has a total of {$4700.00} capitalized interest on it. Interest rates were always whatever Sallie Mae wanted them to be at the time. Regulations were not followed and regulatory caps on interest rates were ignored by Sallie Mae. The more I complained in addressing these issues the higher the interest rates. If you notice on attached interested rates were always higher at the bottom. After taking advantage of me and never correcting balances owed to them. My loans went into default with SMSC having never corrected amounts owed and suggested I do a loan consolidation. I did. When that loan consolidation was completed with XXXX XXXX XXXX. Which caused all beginning balances during consolidation to be incorrect to begin with. On XX/XX/XXXX Sallie Mae refused to correct because they were paid all wrongful amounts and funds stated to be owed to them through recommended consolidation. Necessary corrections SMSC stated they would make were never made by SMSC to reflect actual balances owed to them.

Company response to consumer: Closed with explanation