Consumer complaint received 2018-12-08
Product: Student loan — Private student loan
Issue: Dealing with your lender or servicer — Need information about your loan balance or loan terms
Company: College Ave Student Loan Servicing, LLC (MI)

On XX/XX/XXXX both of my sons applied for private student loans with your company. The three of us sat down together and each applied independently on their computers and submitted their applications within minutes of each other. Eventually they were approved with me as their co-signer. One received his approval first and was offered a variable interest rate of 8.12 %. The other received his approval next and was offered a variable interest rate of 5.12 %. XXX is older, better credit score, longer credit history and better income. XXX is two years younger, lower credit score, shorter credit history and lower income. They both have great credit scores. This made no sense to me, not to mention a THREE point difference. I thought there must be a mistake so the next day on XX/XX/XXXX I contacted College Ave by phone. I explained what occurred and wanting to find out why XXX rate was so much higher. After getting nowhere and being told a few times that there was no one I could speak to regarding how the rates were determined I asked to speak to a supervisor. I was transferred to a supervisor named XXXX. I again explained the situation to her looking for some answers and was told that determining rates was all back room decisions and there wasnt any information, explanation, or anyone else I could talk to. I continued pressing for some type of answer and she finally said she would submit it for review and it could take up to 48 hours to receive an answer. I was satisfied with this and waited for a call back. 

It was now Monday, XX/XX/XXXX, and I had not heard back from anyone at College Ave. I  called XXXX again and she said that they did not have an answer yet. I told her I needed some answers as their university was questioning how to apply their loans for next semester. I told her I felt that getting an answer to a very simple question was taking way too long. I said that if I didnt hear back from anyone in 24 hours I would be filing a complaint with the Consumer Financial Protection Bureau ( CFPB ). She said she would expedite the review. XXXX called back within 30 minutes. She stated that she talked to someone and they would adjust XXX interest rate to match that of XXX ( 5.12 % ). She stated that XXX would be receiving an email to where he would need to agree to the new terms and esign. She said it could take 24-48 hours to receive but to watch for it. I also mentioned that as their co-signer I had not received any disclosures or information on the loans I was agreeing to co-sign on. She said that she would request a copy to be emailed to me and that too could take 24-48 hours. She said if we didnt receive the emails to let her know. I questioned her again on why the rates were so different, especially with XXX being higher, and all she could tell me was its our internal model on how rates are determined. She even stated she agreed it was very strange and questioned it herself. XXXX gave me her direct number of XXX-XXX-XXXX to call her back. 

By Thursday afternoon, XX/XX/XXXX, XXX nor I had received an email yet. I called XXXX direct number and it rang continuously for a minute and a half never going into voice mail. I then called your XXXX number and spoke to XXXX. XXXX said that XXXX did not have a voice mail to leave a message. She said that XXXX was in a meeting. She took my information and would pass it on to XXXX to call me back. 

Its now Saturday, XX/XX/XXXX, no phone call or emails from College Ave. No transparency, no co-signer disclosures, loan terms or agreements. I feel this is unfair and borderline abusive and would like answers.