Consumer complaint received 2024-09-10
Product: Student loan — Federal student loan servicing
Issue: Struggling to repay your loan — Problem with your payment plan
Company: Maximus Federal Services, Inc. (WA)

AidVantage is willfully and egregiously blocking and limiting XX/XX/XXXX Department of Education guidance related to SAVE repayment plan applications for direct XXXX student loans. 


XXXX. These are the specific provisions in reference : " If servicers need time to process a borrowers XXXX application, servicers will move the borrower into a processing forbearance for up to 60 days '' which applies since " servicers have temporarily paused processing of IDR applications until we can ensure applications are processed correctly. '' ( see https : //studentaid.gov/announcements-events/save-court-actions updated XX/XX/XXXX ). " XXXX. I signed a Master Promissory Note ( MPN ) in XXXX with clearly advertised and documented rules and procedures for income-contingent/based/driven repayment. Mandatory training was required the specifically covered the available provisions. Loan simulators publicly advertised and documented the available plans and requirements for eligibility. Every advertised law and regulation specified promises to the consumer that stipulated eligibility, informing me as a consumer what I can expect in combination with the terms of the XXXX. 


XXXX. AidVantage 's failure to process and place my request into such a plan due to the injunction is understandable, but the ensuing failure to apply mitigating steps advertised by the XXXX XXXX XXXX is a willful and egregious action causing undue financial harm to the consumer. 


XXXX. I have attempted to resolve this issue with the loan servicer XXXX times. Here is the timeline of events and communication : XXXX I enter below half-time enrollment and my XXXX grace period starts. 

I am unable to use studentaid.gov to request repayment plans since I am not in repayment status and currently in administrative forbearance. XXXX online states that I must wait. 


XXXX My loans transfer from XXXX to AidVantage. I must wait to request a different repayment plan until I have an account setup. 


XXXX AidVantage notifies me of transfer. They advertise the option of " XXXX XXXX plans that base your monthly payments on your income and family size. '' I set up an online user account, navigate the site, and figure out the process and paperwork for requesting an income based repayment plan. 


XXXX I submit a SAVE repayment plan request XXXX It was confirmed received by AidVantage stating I should await further contact. 


no further contact was received XXXX I contacted AidVantage asking the status of the request. ( ref : Case # XXXX ) XXXX AidVantage confirmed they received my application, and stated they were directed to pause application processing by the court injunction ( ref : Case # XXXX ) XXXX I contacted AidVantage asking when they will implement XXXX. XXXX XXXX. SAVE action guidance from XX/XX/XXXX -- placing my accounts in XXXX processing forbearance while they needed more time to process my application ( ref : Case # XXXX ) XXXX AidVantage responds stating " Ater reviewing your account, all of your loans are currently in a forbearance. '' without answering any specific questions. At this time, my account clearly shows that administrative forbearance ( triggered from my change in school status ) will end in XXXX  days on XX/XX/XXXX. ( ref : Case # XXXX ) XXXX I attempt using AidVantage 's chat feature. XXXX joins the chat and then leaves the chat. 


XXXX XXXX attempt using AidVantage 's chat feature and place my inquiry with XXXX. I ask XXXX about the XXXX action guidance and the processing forbearance. I let him know that my grace period ( administrative ) forbearance ends in 6 days. He asks questions about the XXXX action guidance and where it came from. He tells me to manually request a forbearance, I look at the form, and let him know none of the options apply to my situation. He tells me " pick the option that is closest to your situation. '' I ask if email would be a better contact method for assistance, since I'm uncomfortable lying on an official form by selecting something that seems " close ''. 


Then he states " It's really up to you if you want to wait and see if the processing team will place the forbearance. But I would requested it just in case. '' At XXXX AM XXXX XXXX states " Actually give me a few minutes. I might be able to add it. '' But after a few minutes exits the chat and the chat ends. 


XXXX XXXX attempt using AidVantage 's chat feature again. A different representative answers and when asked, states that I can not reconnect with XXXX. This representative directs me to place a forbearance request. I repeat my concerns about the form not fitting the situation and refer to the XXXX guidance from the XXXXXXXX XXXX  XXXX. This representative states that AidVantage will not follow the XXXX XXXX XXXX guidelines until a later undetermined date. 


XXXX XXXX place another inquiry, this time using the option to indicate " Postpone my payments ( Deferment or Forbearance ) ''. I reiterate my request and the advertised guidance : " Based on what has been advertised by XXXX XXXX guidance under the court 's partial enjoinment, I want to know what the status of my loans are and when they will be put in processing forbearance by the servicer? '' I copy the relevant information from the FAQ again and provided it for response. ( ref : Case # XXXX ) XXXX AidVantage responds with little information : " Your loans are currently in an Administrative Forbearance ''. They do not address the fact that the XXXX XXXX ends in 2 days. They do not address the inquiry on the XXXX. of XXXX XXXX guidance. They do not address the processing forbearance. ( ref : Case # XXXX )