Consumer complaint received 2019-03-01
Product: Student loan — Federal student loan servicing
Issue: Dealing with your lender or servicer — Trouble with how payments are being handled
Company: AES/PHEAA (PA)

My loans were transferred from XXXX XXXX to XXXX XXXX in XX/XX/XXXX, as I was accepted into the Public Service Loan Forgiveness Program. As a government employee I make less money than in the private sector. My loan payment through XXXX XXXX was approximately {$2500.00}. I submitted all of my documents ( paystubs, copy of my XXXX tax return, letter explaining financial situation etc ) to both XXXX XXXX and XXXX XXXX. When my loans were transferred I began calling XXXX as they estimated my payment at $ XXXX/mo, despite the fact that my salary had decreased. I asked if they had my forms for IBR etc and they indicated that they did, but that for some reason they hadn't been properly reviewed. They placed me in forbearance and said they would reprocess the forms. This continued for 3 months, with several different representatives. Then when that was going no where, I called again and this time the representative indicated that the forms had been lost and would need to be resubmitted ( this was XX/XX/XXXX ). I resubmitted all forms and paperwork. My next request was denied as they indicated I hadn't submitted the correct information ( exactly what they had asked for and what XXXX XXXX had accepted previously ). I submitted the exact same information a second time and it was finally approved in XX/XX/XXXX. My new payment was supposed to be {$390.00}. Later the same day, I received my XXXX bill - for {$2700.00}. I have no idea where this number came from as it wasn't any of the previous or discussed values. Of course everytime I call they insist that they can't do anything about it right now so my only option is forbearance while they review the request again. The representatives also frequently give false information, which is conflicted by the next person I speak to. For example, on XX/XX/XXXX I spoke to XXXX # XXXX about my amount due XX/XX/XXXX. She indicated that it was just a timing problem and that I should just wait for XX/XX/XXXX for the new month to start. Once it was XXXX my payment amount would adjust online. Of course XX/XX/XXXX I logged on and nothing had changed. I called and spoke to both XXXX ( # XXXX ) and XXXX ( XXXX ), who indicated that was false. Several times during this review period I asked if I can make a different payment amount to keep current during the time they review, but of course they said if I pay anything less than the indicated amount I will be considered in default. During the time I have waited for their review process this far approximately {$15000.00} of interest has been added to my loan balance. I owed substantially less money before my loans were transferred and am regretting ever joining the program. I would be better off if I had just stayed with XXXX XXXX. I believe the PSLFP is a giant scam where they just continue to allow your loan amount to grow while promising forgiveness if you make 120 payments - but by wasting all of my time they are keeping me from making payments and pushing my boss forgiveness date back farther and farther while my loans balloon out of control. Please, please help. I want to pay off my loan and just be done. I feel like my only option is to leave the PSLFP and try to refinance my loans at a lower interest rate privately, but then they have won by denying me access to a program I rightfully qualify for.