Consumer complaint received 2022-08-29
Company: DISCOVER BANK
State: OH
Product: Student loan
Sub-product: Private student loan
Issue: Dealing with your lender or servicer
Sub-issue: Received bad information about your loan

Complaint:
I have 3 student loans with Discover bank. This complaint is about Discover Financial and how they omitted important information, harassed my mother and I for two months, are falsely holding 3 loan balances on my credit report, and still have not fixed the issue. 

On XX/XX/XXXX I consolidated my private loans with XXXX bank. On XX/XX/XXXX XXXX sent 3 checks to the XXXX XXXX XXXXXXXX in Illinois, the address Discover requests payments be sent to. 

I was told 10 business days until the checks would post. I called Discover a few days before my payment was due letting them know the checks were on the way, they " noted '' it on my account. 

I kept calling to see if the checks were there up until my due date ( XX/XX/XXXX ) every few days, no checks yet. One day after my payment was due, they began calling me multiple times a day asking for payment. I would tell each representative about the checks. They began sending me delinquent letters in the mail, emails, emails to my MOM, and calling my MOM. Saying we owe payment. Leaving voicemails. 

When I would call in trying to see why they do not have the checks they began saying oh maybe wait up to 14 days then call your new lender XXXX and ask for new checks to be sent. I asked if electronic copies could be sent they said no. Every day I went in rounds between Discover calling insisting I owe them a payment and there is no checks in their possession, and that it's my problem to fix with XXXX. 

XXXX  every time I would call, would tell me that Discover is doing this to everyone that they have sent checks for, and that it's taking over a month for payments to process. XXXX advised against sending new checks. 

This continues on for the next month, except now the calls emails and mail becomes more frequent and says I am two months behind in payments, talking about reporting to creditors my delinquency. In the meantime I am already paying on my NEW consolidation loan. They say they can not call it a missing payment because they didn't cash the checks, and say there is NO REASON the checks could be delayed. I begin asking about a way to put this loan into forbearance and they say I have used my time available already. ( I am a fresh graduate. ) They acted like they didn't believe I had checks coming. Like I was a liar and unable to pay. 

A few days short of being " 60 days delinquent '' I hear Discover had launched an " internal investigation '' on student loan practices. I call in again demanding a supervisor for the 500th time. I tell them I need to speak to someone about this investigation. I also tell them due to this investigation I fear their processing times will be even longer and told them there is no way I am paying this almost XXXX dollar bill to them. They then put my loan into forbearance. 

A few days later someone from the lost payments department calls me and says there was a SECURITY BREACH at the XXXX XXXX XXXX Illinois, Discover forwarded the checks from that location and they have a new payment processing company. They said they had made it though the other customer 's XXXX checks and still don't see mine. I confirm with XXXX the XXXX XXXX used was the breached one. The 'back office '' Discover person says they think they can ask higher above them to accept the original checks, but not before suggesting new checks be over nighted. ( That would mean dated for sometime in XXXX and increased interest. ) XXXX  forwards over the original checks via email per Discover 's request ( Couldn't do this 2 months ago?? ) Discover states they will cash them ASAP, and backdate the interest to the original check date. 

Two more weeks pass by. I call them asking WHY they still have not cashed the checks. They told me they were working on a big project, why is my situation not your big project? I threatened to place in complaints on every level. They called me letting me know the checks were cashed and back dated. 

They should have been back dated to XX/XX/XXXX. They are not. They are back dated to XX/XX/XXXX. Three extra days of interest. The person on the phone with Discover said I am getting a refund still, and my reply is that I want the CORRECT refund. Every turn as been deception from Discover. This feels Illegal what they have done, someone please help me prove exactly how it is.

Company response to consumer: Closed with non-monetary relief