Consumer complaint received 2016-03-15
Product: Student loan — Federal student loan servicing
Issue: Dealing with my lender or servicer — Trouble with how payments are handled
Company: AES/PHEAA (IA)

My complaint is against FedLoan Servicing. 

In XXXX of XXXX I refinanced most of my loans from FedLoan to XXXX and that this transfer amount shows a total of {$66.00}, XXXX ( at least that is the amount that is showing in my new account ). 
I have called Fed Loan every month since this occurred regarding my payments due and direct debits. Each time a representative told me that it would take a couple months for my IBR and to be removed from my account and for the payments to debit appropriately from my account. Every month since XXXX they have requested a direct debit of {$800.00} when my payment due was {$47.00}. On XXXX, when I was still having this same issue, I requested my direct debit to be removed. This person told me it had to be in writing ( none of the previous XXXX people had told me that ) and he said he could do that on XXXX. This has still not been done. No one that I spoke with at Fed Loan could explain to me why there is a discrepancy between what was being requested as a direct debit, what my account said, and what my payment due should be. 
So here is the breakdown of issues on my account : My account shows that they are requesting {$800.00}, but then a different amount is deducted that never shows on my account. I have not received any notifications of updated billing information. The huge problem here is that my payment due is only {$47.00}. 
My payment since XXXX shows a due amount of {$47.00}, but the following amounts have been deducted instead : XXXX/XXXX/XXXX - {$300.00} ( I am attempting to do a stop payment with my bank ) XXXX/XXXX/XXXX - {$47.00} ( this direct debit was cancelled and I made a manual payment online and I was told that next month the issue would be resolved ) XXXX/XXXX/XXXX - {$250.00} - I was told this payment would be the {$47.00} by the account rep and that I would need to call in again next month to cancel the direct debit again because the issue would n't be resolved in time. 
Despite an email and a pdf request, I still show a direct debit on my account. 
The last person I spoke with said that Fed Loan my account showed that I had paid more than was required so my account was in an overpaid status. I am not seeing this on my statements and have not approved any overages to go towards future payments. 
It shows that as of today I have paid {$45000.00} on my loans, yet XXXX has a loan transfer of {$66.00}, XXXX and I 'm not sure where that discrepancy is especially considering the interest that I paid last year. 
I also question how they are accruing interest at Fed loan. When I refinanced with XXXX, I learned that I could have an interest rate of 3 % higher ( if it came to that since I refinanced with a variable rate ) with XXXX and still pay off my loans with only {$50.00} more a month than Fed loan. I do n't understand how my payment for XXXX would be so similar to Fed Loan with a significantly higher interest rate. My payment with XXXX is {$690.00} for a 10 year payoff with my rate at XXXX ... my payment for 10 year payoff with Fed Loan was XXXX. With the highest rate being XXXX. 
Last year my IBR based payments show that I paid over {$6000.00} in interest on my loans on only {$1200.00} in principle. This hardly seems legitimate, but the two times that I asked for a payoff statement from Fed Loan it was never provided. When I review my current account I have roughly a XXXX split with 70 % of my payment going to principal.