Consumer complaint received 2024-07-19
Product: Student loan — Federal student loan servicing
Issue: Dealing with your lender or servicer — Received bad information about your loan
Company: Nelnet, Inc. ()

My student loan provider, Nelnet, has consistently failed to communicate with me in an accurate and timely manner regarding my student loans. Non-working email and phone numbers exacerbated the problem, making it more difficult to get the information I needed. 



On XX/XX/XXXX, I submitted an application for the SAVE program to Nelnet. I received a notice that my application was received and that I would receive updates every 10 days. Unfortunately, Nelnet failed to send any updates, let alone an update every 10 days, even as my loan was placed on administrative forbearance while processing the application. 



Yesterday, XX/XX/XXXX, I received a notice from Nelnet that I have a billing statement. This is the first communication that I have received since submitting my application. I never received a notice that my application was approved. I never received a notice that my loan was being placed in administrative forbearance. I never received a notice that my loan was being taken off of administrative forbearance. I never received a description of what would happen to my loan or the interest during the administrative forbearance period. Nor have I received any information regarding my expected monthly payment, and so have no way of understanding how the payment amounts Nelnet is showing for this month and next month ( {$0.00} and {$960.00} respectively ) were calculated or why. 



This caused me frustration, uncertainty and confusion and left me unable to make considered decisions regarding my finances. For example, if I do not know what my monthly payment will be, I can not budget and plan for it. As another example, according to the Department of Education, interest accumulated during administrative forbearance would be canceled. I did not receive any information regarding this from Nelnet. I do not see this reflected on the interest amount shown on the Nelnet site. So : if I make a payment to Nelnet, how will that payment be applied? Will they apply it to the interest that should be removed? Have they already changed the interest due amount? Nelnets failure to communicate at any step of the process has caused me unnecessary confusion and stress. Clear, timely and accurate communication is surely a basic responsibility of any functional business. 



During this time, I tried to contact Nelnet numerous times regarding my loans using the form on their contact us page, to try to get more information about my loans. Each time, I received an error message asking me to log in again, which did not resolve the issue. I tried logging in on multiple devices, and at different times on different days. Based on the authentication codes I received, I tried to contact Nelnet via their email form on the following dates : XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX and XX/XX/XXXX. I have screenshots of the error message that I received during that time on different dates and devices. 



I also tried to call Nelnets international number on XX/XX/XXXX to get more information at XXXX XXXX XXXX XXXX and XXXXXXXX XXXX XXXX ( I live overseas. ) After hearing the introduction, Thank you for calling Nelnet, there was no further sound, instruction or signal from their telephone line. I tried calling their XXXX domestic number at XXXXXXXX XXXX XXXX  with the same result. According to their website, the call center opens at XXXX XXXX XXXX 



On XX/XX/XXXX, at XXXX XXXX, I called the domestic number for Nelnet again and was finally connected to an agent. 



The agent confirmed that my email address was correct, and could not find a reason that I had not been receiving any updates regarding my student loans. She blamed the Department of Education and said it was simply the chaos surrounding the SAVE program. I fail to understand how that prevented Nelnet from, for example, sending me an update saying processing is taking longer than normal because of changes regarding the SAVE program.

The agent also informed me that I had already been approved for the SAVE program. I had also not been informed of that by Nelnet in any type of communication, and the status to that point when I logged in on their website said my application was still pending. She proceeded to adjust the status of my repayment plan on the Nelnet website to SAVE. 



After talking with the agent, I found an email address for Nelnet to report problems with technical issues. I emailed Nelnet to inform them about the continued error with their mail submission form and that I had not been receiving communication from Nelnet. I included a screenshot of the error message, hoping that would help. The first reply I received was an automotic reply about how to log in when I had forgotten my password and how to update my contact information. I had not had any issues regarding logging in to my account, nor had I reported any, and had just confirmed with the agent that all of my contact information was correct the entire time this ordeal was ongoing. I sent a second email asking to confirm that any IT issues regarding submitted emails via their contact form had been resolved, and that any issues on their side that might prevent them from sending me updates had been resolved. I received a reply that I should talk to a customer service agent regarding any complex issues with my loan - still not an answer to my questions regarding their IT and email system. 



Despite talking with the customer service agent and confirming Nelnet had all of my contact information, Nelnet still has not sent me any information regarding my SAVE application, expected monthly payment, etc.

The first mail that I received from them was a billing statement yesterday, saying I owe {$0.00}. However, when I log in to my Nelnet account, I see a notification that Nelnet will deduct an automatic payment of {$960.00} in XXXX. Based on the Dept of Education loan repayment calculator, my expected monthly payment on the SAVE plan should be approximately {$270.00} per month.

I have no idea which number is accurate, what my normal monthly payment will be, or how Nelnet came up with the {$0.00} or {$960.00} amount. I have no idea whether the interest that accumulated during the administrative forbearance period has been adjusted. And I have completely lost faith in Nelnets ability to communicate in a timely and accurate manner, let alone in Nelnets intention to enable communication by providing working email and telephone numbers.

This has caused me harm by preventing me from being able to make timely and considered decisions about my finances. Repeatedly attempts to communicate with Nelnet on my own have failed to resolve the matter. I am hoping that appealing CFPB to intervene will spur Nelnet to provide timely and accurate communication, now and in the future, regarding : the status of my loan, the status of any applications, the impact of any decisions taken by Nelnet ( for example, to put my loan in administrative forbearance ), the impact of any decisions made by the Dept of Education ( for example, that interest will not accumulate during administrative forbearance of SAVE applications ), my monthly payment amount, my interest rate, and how many months of on time payments I have made that count toward loan forgiveness, etc.

Attachments : 1. all documents I have received from Nelnet in the Documents section of their website ( showing last document received on XX/XX/XXXX confirming receipt of my application for SAVE ) 2. A copy of the error when trying to send on email via Nelnets contact us email web form