Consumer complaint received 02-09-2017 about Student loan (Federal student loan servicing) with AES/PHEAA (NJ).
Issue: Can't repay my loan
Sub-issue: Can't get flexible payment options

Complaint: I borrowed $ {$28000.00} between XXXX and XXXX at 9 % interest earning a XXXX and XXXX through Federal Stafford Student Loan program. At some point I consolidated the loans for convenience. I made payments for years totaling the principle plus $ XXXX {$8000.00} in interest.The balance never went below {$17000.00} because of 9 % interest.When interest rates were half that, I tried to rework the loan but PHEEA refused since my loan had already been consolidated. In XXXX XXXX my now late husband was XXXX that had XXXX. 3 years earlier, we had adopted an XXXX from XXXX ( with XXXX ). This was before the XXXX and we ended up being XXXX of those families who lost good private insurance 2 months after my husband 's XXXX. We ended up with terrible insurance with no XXXX XXXX hospital in network, no in-network XXXX after his XXXX XXXX, and NO out of pocket maximum.I tried to work but needed to care for him and our XXXX. The stock market crashed, the housing bubble burst, and a month before he died I declared XXXX Bankruptcy. I knew a student loan was n't usually included but tried to get my lawyer to make an attempt due to my payment history and hardship. He did n't even try and I was in no mental state to realize the implications. Eventually I lost the house. 

I called the student loan company and requested help. My balance was still {$170000.00} despite having made years XXXXXXXX years of payments totaling the principle plus $ XXXX {$8000.00} interest. They offered a one year deferment where I would accue more interest. I asked them to keep my balance at XXXX and offer me a current day 's interest rate. They refused. I became ill myself after my husband died and did n't work again until XXXX. My doctors all considered me XXXX and I submitted paperwork to be considered XXXX for student loan purposes but the paperwork got lost when the process changed and I was declined by XXXX Apparently if you can speak and are trying to get better, you can work according to XXXX so it did n't matter I had been in the hospital twice, had XXXX more surgeries ( with complications ), etc. I did eventually recover and work now. Its paycheck to paycheck. My daughter has serious XXXX from her 8 years in XXXX and death of her daddy and intense XXXX is costly even with health insurance these days. I am a XXXX and XXXX of the few who still accepts the crumbs paid by health insurance. I ca n't do it in XXXX anymore so I work in a XXXX which allows me to help people who would never find that level of care in their communities anymore. I ca n't BE in XXXX because if I accept XXXX, those payments will go to pay the student Loan! I 'll never retire. All I have is social security. I lost everything when I lost my husband -- all savings, the house, the retirement funds. 

At some point I paid a company called XXXX XXXX for 10 months to get out of default. They said the Student Loan people would consider renegotiating my loan or consider medical discharge if I got out of default with them. Now I 've been offered a plan where my payments are higher than ever for the next 25 years ( wo n't live that long ) for another {$77000.00}. That is not a Federal Student Loan program. That is LOAN SHARK terms. That is unfair lending practices. That is fraud and greed. I worked for the federal government for XXXX years and with XXXX first responders, survivors and families in XXXX XXXX XXXX years. I still help the people least likely to get help anywhere else. When do I catch a break? I have no retirement fund and the Student Loan people will take my social security if I ever retire. I can not work privately since I ca n't get paid by Medicare or revive my credit. I spent my life helping others and the system failed me, again.

Company response to consumer: Closed with explanation