Consumer complaint received 2020-01-23
Product: Student loan — Private student loan
Issue: Struggling to repay your loan — Can't get other flexible options for repaying your loan
Company: AES/PHEAA (NY)

In XXXX of XXXX, I spoke to a representative at American Education services. 
I was behind on payments in the amount of {$1000.00} XXXX including late fees ). I attempted to apply for a forbearance- which would bring my account current but I did not qualify for the forbearance because I had applied for one the previous year. The representative at AES then advised me to continue to make my monthly minimum payment until XXXX of XXXX, so that I could re-apply for the forbearance and bring my account current. 

I made payments XXXX of XXXX -or so I thought. XXXX When I logged into my account XX/XX/XXXX I saw that I could not go into my account and make a payment. I then noticed that my loan had gone into default. 

I called AES and spoke to someone who told me that my account was over 120 days late and therefore went into default. The expressed to me that my loan was in limbo awaiting to get picked up by a collections agency. She told me there was nothing she could do.I explained to her that I had been ill-advised by one of her colleagues at AES who told me ( in XX/XX/XXXX XXXX that if I continued to make my monthly payments I would be okay and be able to apply to forbearance to take away the balance. She still refused to help me and said again, that there was nothing she could do at this point. I was frustrated and hung up the phone. 

On Tuesday, XX/XX/XXXX I spoke to a man named XXXX at AES who advised me to speak to the XXXX default loan center. I explained to him about how I had been ill-advised and all I wanted to do was to pull my loan out of limbo so that it would not be picked up by a credit agency and he told me my best option was to talk to someone at the XXXX default loan center, so that is what I did. 

I was connected with a woman named XXXX, who I told my situation to. She looked over my account and then told me that the reason it went into default was because I missed a payment in XXXX. I was surprised and frustrated to hear this because I have email confirmation that I made a payment in XXXX. She connected me with someone in AES who went through my payments and said that my payment in XXXX was canceled -something that I know I did not do. She told me she would take two to three days to investigate this matter and would get back to me with an answer. 

Today, XX/XX/XXXX I received a phone call from them saying that they had investigated my account, and that because my payment for XXXX shows up as canceled they can not take my loan out of default. I reiterated the fact that I did not cancel the payment. I have tried to check my account to verify her claims but I am no longer able to access my payment history on AES. 

They have refused to work with me and have told me I have no other options than to take it up with whatever collections agency picks up my student loan. 

I have offered multiple times during the multiple phone calls I have had with AES/XXXX XXXX pay the late, full balance of {$1000.00} on my account and they refuse. 

I have also not received any documentation by way of mail or email that my student loan was going to go into default. This feels predatory and they are completely unwilling to work out a solution with me.