Consumer complaint received 2020-11-10
Product: Student loan — Federal student loan servicing
Issue: Dealing with your lender or servicer — Trouble with how payments are being handled
Company: AES/PHEAA (TX)

I have contacted the Consumer Financial Protection Bureau because I have been incorrectly denied loan forgiveness under XXXX. The attached documents certify that 42 payments made from XX/XX/XXXX through XX/XX/XXXX to Direct Loans under the Extended plan should count toward the 120 required payments for forgiveness. 

According to the FedLoan Servicing website : ED will reconsider your eligibility for XXXX using an expanded list of qualifying repayment plans. Some payments that dont count toward loan forgiveness under XXXX may count toward forgiveness under TEPSLF. The additional qualifying repayment plans include the Graduated Repayment Plan, Extended Repayment Plan, Consolidation Standard Repayment Plan, and Consolidation Graduated Repayment Plan. These plans dont usually qualify for XXXX. You will be eligible for the XXXX opportunity only if, among other requirements, the amount you paid 12 months prior to applying for XXXX  and the last payment you made before applying for XXXX  are at least as much as you would have paid under an income-driven repayment plan. FedLoan Servicing will assess this and contact you if they need documentation of your income to determine whether you are eligible. 

In XXXX, I specifically consolidated under this plan because I was told that the Extended repayment plan would qualify for XXXX. The XXXX  program was established for borrowers in my specific situation ( borrowers who were denied loan forgiveness because they consolidated under the wrong repayment plan ). I escalated my request through FedLoan Servicing and have been awaiting a response to my appeal to be considered for XXXX since XX/XX/XXXX. At FedLoan Servicing, I have been working with XXXX, who is employee # XXXX. She has sent my appeal but has received no response. 

As of today, I have made a total of 144 payments ( 24 payments beyond the 120 required ). The longer my appeal takes, the more money I will be owed as a refund for overpayment. As a result, I request an urgent review of my 42 qualifying payments to Direct Loans on the Extended plan, in the amount of {$650.00} each from XX/XX/XXXX through XX/XX/XXXX. Below, I have provided an outline of my correspondence and my appeal and escalation requests to FedLoan Servicing to correct this error before my payments resume in XX/XX/XXXX. 

Please find the following documents attached ( highlights within the pdfs have been added for clarity ) : XXXXpresent : Complete list of payments made since loan consolidation in XXXX ( pg 3-5 ) XX/XX/XXXX : XXXX XXXX XXXX XXXX XXXX note showing Extended plan ( pg 6-7 ) XX/XX/XXXX : NSLDS list of loans consolidated with Direct Loans ( pg 8 ) XX/XX/XXXX : Loan Summary Sheet from Direct Loans confirming Extended plan ( pg 9-13 ) XX/XX/XXXX : Letter from FedLoan indicating loans # 1-2 as Extended plan ( pg 14-16 ) XX/XX/XXXX : Application for forgiveness/ECF signed by employer ( pg 18-19 ) XX/XX/XXXX : XXXX  denial letter ( pg 20-22 ) XX/XX/XXXX : Two emails to request TEPSLF consideration ( pg 23 ) XX/XX/XXXX : Email from FedLoan Servicing suggesting to get reconsidered ( pg 24-25 ) XX/XX/XXXX : XXXX  denial email ( pg XXXX ) XX/XX/XXXX : letter from FedLoan listing payments XXXX ( pg 28-32 ) XX/XX/XXXX : FedLoan Servicing letter showing payments between XXXX XXXX XX/XX/XXXX XXXX XXXX XXXX XXXX XXXXXX/XX/XXXX : FedLoan Servicing letter showing that the only payment plan which doesnt qualify for XXXX is the Extended Graduated plan ( I was on the Extended plan ) ( pg 37 ) Current : XXXX  repayment plans on studentaid.gov lists the repayment plans included for XXXX, specifically including the Extended Repayment plan https : //studentaid.gov/manage-loans/forgiveness-cancellation/public-service and https : //studentaid.gov/manage-loans/forgiveness-cancellation/public-service/temporary-expanded-public-service-loan-forgiveness ( Scans of these webpages are attached and highlighted relevant areas of text pg 38-50 ) The attached documents prove that I have met each of these requirements, and they show that I paid more from XXXX on the Extended Repayment Plan than I did in subsequent years on an income-driven repayment plan. My payment amount was fixed, i.e. it did not change between XXXX ( it was not a graduated plan ). 

Although I have met all the published requirements and requested an appeal for TEPSLF, I havent received an explanation for my denial or any response to my appeal. As my attached documents show, I have met or exceeded each of the published requirements for this congressional program and have awaited a response from FedLoan for six months. The XXXX program was set up by congress for borrowers who are precisely in my position. These actions by FedLoan are in direct conflict with the program established by congress. 

Please contact me if you need further information to review my case for XXXX. This must be resolved before XX/XX/XXXX, as FedLoans shows that my monthly payments are to resume. I can not continue to pay toward a loan which met the requirements for forgiveness two years ago, and I need support from your office to correct this error in their accounting. Thank you for your consideration.