Consumer complaint received 05/24/2016 about Student loan (Federal student loan servicing) with Navient Solutions, LLC. (MI).
Issue: Dealing with my lender or servicer
Sub-issue: Trouble with how payments are handled

Complaint: The company of Navient managed to create a bank account under my name and charge my XXXX loans to it through autopay. Over the phone, I inquired about the account before it withdrew anything. They convinced me that my dad ; who a month before, had paid off XXXX of my loans, tied his bank account to it for me. During this time, I used the money that would have gone to the XXXX loans to pay one of my other loan providers, XXXX XXXX. When the processing of the money was suppose to have been completed, I inquired as to why I did n't see it on my account. That is when Navient told me that the payments did not go through. I contacted my dad about it, and he informed me that he never setup an account for me. I contacted Navient back and demanded to know where the account came from. They tried to blame me saying I created it. That 's not possible for XXXX reasons. First, if I did, Navient would have to verify the account before I can even charge to it. Second, I checked all of my bank accounts, and none of them match the numbers on this fabricated XXXX. thirdly, the account started with like XXXX zeros, which they did n't disclose to me until after the fact ; which, if smart, should set off alarms. I asked what they were going to do about the problem, seeing as I no longer had the funds to pay for the loans due to a mistake on their part. They informed me to go into fore-bearance for a month and resume payments in XXXX. Calculating my payments, doing that would cause me to pay about XXXX extra dollars in interest for the total amount of my loans because they skipped a payment. and due to the missing payments for one month, my balance has now reversed its trend of being paid down and will backtrack me two months in payments. Basically, three times the amount will be what I need to pay to get back on track with where I was if this problem, ( which was caused by Navient alone ) never happened. They basically gave me that only option. I told them that I wanted reparations for their mistake, and that I should not have to pay more for their XXXX. they respond that their only option is to put me in forebearance or pay it all now and backtrack the time of payment, ( which is not an option because then I wont be able to pay next months payment ). To add to it, the company said that they would look into the whole problem on Monday morning and that it was set as a high priority. My dad called inquiring about the status. They told him that it was fixed and that they would contact me that day about it. They never did. I called them the next day about it, and they told me it was still pending. They also informed me that they would not admit to making an account and causing this problem to happen. The only thing that I wanted was for the payment for the month of XXXX to be dismissed due to mistakes from their end. They wont even do that. So, now I really want to press charges. Because, every time a loan gets paid off, they find a way to take more money from me. I have just started my career, making well above average of students starting careers in the US, and I can barely afford to provide for myself because I am actually steadily paying off my loans. I do n't understand why they would try to get more from me when most people cant even afford to pay for them at all. I feel as though they should help the ones that actually pay, or they will loose even us. I choose to pay my loans off, I choose to have credit. Most people do n't at all. Things like this make me understand more why they do n't.

Company response to consumer: Closed with explanation