Consumer complaint received 2017-07-25
Company: Credit Adjustments Inc
State: AZ
Product: Debt collection
Sub-product: Federal student loan debt
Issue: False statements or representation
Sub-issue: Attempted to collect wrong amount

Complaint:
CAI canceled my default repayment program because of lack of paperwork which I was told by their representative I had turned in all of my paperwork. I set up a payment plan with CAI to get my student loans out of default. During the initial set up the rep told me that they would be sending me paperwork to fill out by XXXX and I would need to complete it and send it back before my 9 payments were complete. I needed to complete that paperwork before my payments were done in order for this process to work. I never received the paperwork but they were taking my payments. I called to let them know I never received any paperwork by XXXX. That rep confirmed it was never sent out and he would have it sent out. Again, I never received the paperwork. I called and the rep again confirmed the paper work was never sent and they would send it. I called again for the 3rd time and spoke with a rep who confirmed it was n't sent again and sent me an email with my paperwork  along with a place to download my files to them. I filled out the paperwork with him over the phone and submitted it. He also said my account had been cancelled because I had n't turned in the paperwork. I had no paperwork to turn in. He said that since I had only missed one month of payments since they cancelled my account and that he would reinstate my account and I would only have 2 payments left. I never received confirmation that they received my paperwork so I called and followed up. The rep I spoke to said that one of my papers was approved and one was denied. She told me word for word what to say on that document, I downloaded it to them while on the phone with her and she confirmed I had handed in all of my paperwork and I was good. I only had 2 payments  left. That last call was in XX/XX/XXXX. My payments were to be done in XX/XX/XXXX. I called in XX/XX/XXXX to follow up as I should have been done. I spoke to 3 reps, one being a supervisor and one a manager. All of them said my account was never reinstated like the previous rep had stated and that no payments were ever taken out after that even thought I had updated payment in XX/XX/XXXX for them to use. I took full responsibility to follow up constantly with this company, did everything they said to do, turned in the paperwork when I finally got it. The manager said my account was cancelled because I never turned in my paperwork. NO ONE WOULD SEND ME PAPERWORK. I had no paperwork to send in. But they graciously took 7 of my 9 payments. Every rep I talked to confirms my paper work was never sent. But somehow it is my fault that the paperwork was never completed. Their only solution was that I need to start all the way over with my 9 payments. I have made full effort to make this transition successful. I was told that I was not speaking to experienced reps and thats why this happened. It was suggested I only speak to tenyear reps to avoid this problem. This mistake was made completely and fully by CAI and they fraudulently canceled my repayment program.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation