Consumer complaint received 2017-07-18
Product: Student loan — Private student loan
Issue: Dealing with your lender or servicer — Need information about your loan balance or loan terms
Company: AES/PHEAA (AZ)

To Whom It May Concern, I applied for a private student loan with   XXXX   XXXX   back in   XXXX   because I did not qualify for Pell Grants due to my income at the time. According to the loan officer who helped me, I was approved for my loan with a guarantor. I was told once I had made 12 payments my guarantor would be automatically be removed. She agreed upon the terms of her being removed.
This was in fact untrue, after I made 12 payments, I was told my loan was sold to American Education Services. ( AES ) I was also informed my guarantor would not be removed until I could refinance the private student loan completely on my own. Private student loans have not be able to be refinanced since the market crashed. It has been a nightmare trying to keep up with all the promises, given from   XXXX   XXXX   initially and the hassle it has been to track down my original paperwork agreed to by them.
Due to the fluctuations in the market, I was personally affected as a mortgage professional since  XXXX . I was unfortunately due to employers closing their doors, I as a single mother was forced to file bankruptcy in   XXXX   which AES was included. I was required to continue to make payments by AES or my student loan debt would be transferred to my guarantor as her sole obligation.
After learning back in   XXXX   XXXX  , I was in a negative amortization loan, and although I was making payments well above my minimum amount due, my balance was in fact increasing. These terms were not explained to myself or my guarantor from   XXXX   XXXX  . In fact, when I asked for an amortization schedule AES was not able to provide or calculate for me how much I needed to pay down toward my principal balance. I was in fact on a variable interest rate, with interest accruing every single day. It would take me to pay over {$2000.00} a month to see any type of principal reduction. I was being buried in debt without any alternatives for help. On,  XX/XX/XXXX  I was granted a by AES a Modified Graduated Repayment Schedule. After this was complete, I would have no options left for the reduced payment plan.
By  XX/XX/XXXX , I struggled to keep up with the payments, knowing my balance was steadily increasing. I called AES to inform them, I would be out on   XXXX   XXXX   for my   XXXX   child and would not have enough income to cover the payments. I did not have any options left from the lender. I would be forced to default on my private student loan.
This brings me to  XX/XX/XXXX  I called and was transferred multiple times by AES representatives, eventually requesting assistance by requesting a supervisor. I was granted a hardship forbearance back dated from  XX/XX/XXXX -  XX/XX/XXXX  and they updated my credit report. I attempted to make the level repayment as now my payment had increased again  XX/XX/XXXX  to {$210.00} along with my balance increasing rapidly. The increase was too much for my income to support the higher payment, especially since the principal balance was not declining. I was making payments, just to not affect my credit. Unsurprisingly, I fell past due 30 days, 60 and 90 days with no assistance from the lender. As of  XX/XX/XXXX , I could no longer continue payments.
My last payment was  XX/XX/XXXX for {$210.00}. Throughout several months of contacting AES and not being able to resolve my account was swept for collections t o National Collegiate Trust i n XX/XX/XXXX . My original balance was {$16000.00}, as of the last balance in  XX/XX/XXXX  my balance had increased to {$27000.00} and still is increasing.   XXXX   XXXX   is the debt collection company servicing my account. I have made several attempts to contact them through  XXXX  at  XXXX  which was the number provided by AES representatives. I was never able to reach a person, an answering machine or receive any details regarding my loan. I kept calling AES requesting new number or better contact for them. As this was a known issue, they just kept advising me to keep trying.
 XX/XX/XXXX I called AES advised, I was still unable to make contact. The representative advised me this is the only number they can give me. They have told me several times people complain they can not get through to the file manager at this number. However, they have no way to resolve this.
 XX/XX/XXXX , I called AES again to state, I have called during various hours and still I am not able make any contact with National Collegiate Trust or make payments/ arrangements etc. and its affecting my credit as well as my employer. On  XX/XX/XXXX , I requested master promissory note from AES. This document was never received. According the   XXXX   employee ID  XXXX  after my call to AES today  XX/XX/XXXX , I did not receive this because it was previously requested incorrectly.
On XX/XX/XXXX , I called AES again and requested Special Letter showing accrued interest. However, I have not received documents as requested. Again,   XXXX   above mentioned representative said she would discuss with supervisor for approval. After requesting payment information of all payments made to the account,   XXXX   employee ID  XXXX  today  XX/XX/XXXX , said I should be able to see the payments in my paperless inbox online. However, I can not access any previous payments prior to  XX/XX/XXXX payment. See attached statements.
As of today,   XXXX   XXXX  , AES, National Collegiate Trust has NOT contacted me or my guarantor with any correspondence by mail, by phone etc. My current home address has always been on file. You can undoubtedly see, I have made numerous attempts on my own to get this resolved. This is defamation of character and I need this resolved immediately and my guarantor needs to be removed, as well as the negative trade lines removed from all   XXXX   major bureaus for myself and my guarantor.
  XXXX   XXXX    was not complaint with truth in lending laws and needs to be held accountable from the original loan. AES has not been complaint in any of my request or transparent with truth in lending laws or the fair credit reporting act.   XXXX   XXXX  , has as well not been complaint with Federal or State Laws including the Fair Debt Collection Practices Act. The derogatory marks on my credit have impacted my employer, my career and the income in which I need to provide for my family.
The amount of financial hardship,  XXXX  and derogatory information is overwhelming. At this point the burden is excruciating. I have exhausted all channels and I am requesting assistance of the CFPB and attorney general. I am not able to purchase a home for my children, I am not able to become licensed in new states to further my career and I am not able to support my family, if I am not able to maintain my State Licenses.
Thank you!