Consumer complaint received 2022-11-15
Product: Student loan — Federal student loan servicing
Issue: Dealing with your lender or servicer — Trouble with how payments are being handled
Company: Nelnet, Inc. (PA)

Hello, I hope all is well. I am reaching out because I paid my student loans off in the amount of {$27000.00} on XX/XX/XXXX to Nelnet which bought my balance to {$0.00}. 

Recently there was an announcement that the government was going to do a one-time student loan forgiveness and since my account started with the letter XXXX Nelnet stated that I would qualify. In order to do so, I called Nelnet on XX/XX/XXXX to refund my loans so I then can apply for forgiveness. 

It was approved by Nelnet I believe a few days after however, it was approved by FSA on XXXX XXXX. To my wife and I surprise, both Nelnet and the FSA show that my balance is back on there however my wife called on XX/XX/XXXX to see what the status of the refund is. 

We were told by Nelnet it is still processing. We asked how long would it take to get the refund and they didn't give an answer. They just said it would come by mail. 

I am writing a complaint because Nelnet has not provided me a timeline on when the checks will come. I am also writing this complaint because the Department of Education, nor the Department of Treasury has provided Nelnet a timeline of when the checks will come. 

If someone could help me get those checks as soon as possible or provide a status of when the checks will come would be great because the student loans start back up in XXXX and being as though I only agreed to a refund because I qualified for the student loan forgiveness, which is not happening indefinitely due to the court order I would like to use those checks to pay Nelnet as soon as they clear so that the balance goes back to {$0.00}. This would tie me up financially if I don't have the checks soon because I will then have to pay with INTEREST starting in XXXX. 

Things that I would like to accomplish during this complaint : Department of Education : Confirm that they sent the approval to the Department of Treasury so they can send me my refund. If they did not do this, I would like them to send the approval to the Department of Treasury as soon as possible. 

Department of Treasury : If the Department of Education sent the approval over to them, I would like to know what date they will be sending the checks and if they completed already what date did they send the checks so I can look out for them. If they have not gotten approval from the Department of Education I would like someone to call them to get the status of the approval and work with them to get it completed. 

Nelnet : I would like for them to provide an email stating that they see the check information on their end and to keep me up to date on what is going on. Saying that everything is processing is not helpful and this is a large sum of money that I can't afford to now be paying interest on. I would also like for them to work with the Department of Education and the Department of Treasury to make sure this issue is resolved as soon as possible including initiating the conversation and process if both departments ( Education and Treasury ) are not doing it. 

Thanks!