Consumer complaint received 2021-02-11
Product: Student loan — Federal student loan servicing
Issue: Dealing with your lender or servicer — Problem with customer service
Company: AES/PHEAA (AL)

I will make this short in hopes that someone will actually read it. This concerns FedLoan Student Loan Servicing for Public Service Loan Forgiveness. I am qualified government employee who has made more than 120 qualifying payments. This has been an absolute nightmare for 14 years and that nightmare continues. Every chance that FedLoan has had to make things difficult or to manipulate the process they have taken advantage of that opportunity. Last year they notified me that I had reached my 120 payments and was qualified for Public Service Loan Forgiveness. Considering their track record, I absolutely did not trust them. I spoke with multiple reps who advised me that it was time for me to apply for forgiveness. I was even told not to worry about my past problems and all the news stories about FedLoan, that my account was a perfect example. I applied for forgiveness and continued to call every few weeks to make certain that I had done everything and that the process was moving along. I was told more than once that it was good and they were just waiting to hear back from the Department of Education and that it could take up to 120 days. In a little less than 90 days I received notice that I had been rejected because I had not made 120 qualifying payments. I had in writing from FedLoan before I even applied that I had made 120 qualifying payments. I spoke with customer service who informed me that they had no idea why it was rejected because I had indeed made the payments and they would request a review of the file. I was told that this review would normally take 6 months but could be more considering a backlog. I have no idea if this review will ever actually take place. I am now trapped and under their control. This isnt the first time I have been left out in the cold by FedLoan. I made payments that didnt count because I was paying {$300.00} when I should have been paying {$0.00} on different plan even after asking for advise. I lost payments because I paid extra one month to cover the next month, and they didnt have the appropriate box checked for that to count as a payment. Just today I see an article in Forbes where FedLoan is settling with borrowers in Massachusetts because of these exact practices. I live in Alabama, I am out of luck, but I feel like I am dealing with a loan shark. I am not a freeloader. I have never been without a job since I was XXXX years old. I dont want free college, but I took and kept a public service job based on this program. I was offered this and I fulfilled my end of the bargain and FedLoan is doing everything they can do avoid handling their portion of the deal. They are even admitting that it must be a mistake on their end that they might review this year. FedLoan can be downright sadistic and cruel to people who are trying to do the right thing. It is a shame that America has allowed a company to do this to its citizens. I have done everything that I can think to do outside of hiring a team of attorneys that would cost more than the student loans themselves. Any advice or assistance that could be provided would be appreciated. I will be glad to provide all of my account information. Thank you for your time and consideration.