Consumer complaint received 2018-07-02
Product: Student loan — Federal student loan servicing
Issue: Dealing with your lender or servicer — Trouble with how payments are being handled
Company: AES/PHEAA (FL)

I received a letter in my online XXXX XXXX inbox ( incidentally, a ridiculous way of receiving communications -- have to log-in to see any and all important statements / letters concerning my account ) on XX/XX/2018 stating that I need to recertify by income based repayment pan by XX/XX/2018 or face an increase in my monthly payment effective XX/XX/2018. On XX/XX/2018, I completed and submitted by IBR recertification. On XX/XX/2018, I received an email that my recertification was denied and that a letter would be sent to me with the reason for the denial. On XX/XX/2018, In received in my XXXX inbox a letter that my recertification was denied by XXXX because it was not yet time for me to recertify. I called and spoke with a XXXX representative who informed me that I would not need to recertify until later this year ... so I was good! I stated that I had gotten the email prompting me to recertify, which is why I did so, and I was assured that everything was fine -- just recertify later this year! 

My XXXX and XX/XX/2018 payments came and went without a problem -- my normal amount under my income-based repayment plan. However, I got an email on XX/XX/2018 stating that my bank account would be direct debited at the standard repayment amount ( approximately 40 % of my monthly income ). I log-in to my XXXX account and see this alert : " Your payment amount increased! We did not get all of your documentation for your annual Income-Driven Repayment ( IDR ) plan recertification. If you would still like your monthly payment amount based on your income and family size, please visit StudentLoans.gov to reapply. '' I call XXXX customer service, explain the issue, and was on-hold for 46 minutes waiting to talk with a loan counselor in the income repayment division. 

The standard repayment amount is approximately 40 % of my monthly income ( and more than my mortgage payment ). I am on an income driven plan and recertify annually because I am work in public service ( state/local government ). This " gotcha '' has very real consequences for me. I take pride in always paying my bills and being on-time with payments .... hence the reason I enrolled in direct debit and always process timely recertification for my income-based repayment plan. The fact that XXXX messed up somehow on their end means real-life consequences for me. 

When I finally talked to a loan counselor ( XXXX, ID # XXXX ) she said she would have to put " this in for review '' because " this should not have been denied '' ( referring to my recertification application ). I asked what my options were for the XXXX payment and was told she had put in a request for a forbearance to cover XXXX payment since I " did recertify on time '' and she " suspended the direct debit '' so the XXXX payment would not draft to my bank account. She said the review would take 7-10 business days to complete. Meanwhile, here I am, relying on XXXX to correct something that they messed up in the first place ... something that I already asked them about. 

I have so many more stories about this company ( assurances that ALL my loans qualified for public service forgiveness -- they did not ; past problems recertifying for income based repayment ; continued need to " defer '' and thereby add interest on to teh principle because I keep getting bad advice from their counselors ; issues consolidating loans when I finally realized they did not all qualify for PSLF five years in to repayment ; PSLF employment certification issues ; problems with payment application to consolidated versus unconsolidated loans that made my account appear delinquent when it was not ; etc ... ) .... the whole saga is frustrating, depressing, and makes me question why I ever sought higher education. Maybe a bit dramatic sounding, but the reality is student loan repayment is awful and has NOTHING to do with my actual willingness to pay back the money I borrowed or my ability to follow directions and timely submit forms and information requested by the loan provider. At the end of the day, I stress out over these loans multiple times a year and have spent countless hours waiting on the phone for XXXX to fix or explain something new they've managed to do. I set up my repayment on direct debit so can deal with this fiasco as little as I need to. The stress is unbelievable. If not for PSLF, I will be paying back money until I am in my 60s ( thanks for compounded interest and all of that jazz ), and that is simply unbelievable. 

I have relevant records ( letters and such ) that I can provide if requested. I have no way of blacking out identifying information in them now, so I have not attached that documentation to this complaint.