Consumer complaint received 2024-05-21 00:00:00
Product: Student loan — Private student loan
Issue: Getting a loan — High pressure sales tactics or recruiting
Company: Navient Solutions, LLC.
State: MN

Complaint narrative:
Navient ( then Sallie Mae ) scammed thousands of students into taking out predatory private loans to attend for-profit schools such as the one I attended, The XXXXXXXX XXXX XXXXXXXX of XXXX. This school would remove their students from their classes and coerce them into signing their loan documents with the threat of not being able to return to class until doing so. In fact, the attorneys general of several states investigated The XXXX XXXX and their parent company, XXXX, and found them to have acted fraudulently. 

Because of the numerous claims of fraud and misconduct perpetrated by The XXXX XXXX, the Biden administration has just announced a blanket discharge for anyone enrolled at XXXX XXXX XXXX from XX/XX/XXXX, to XX/XX/XXXX. My Federal loans in the principal amount of {$18000.00} were discharged, and my credit was repaired. 

I am aware that Navient was sued by 39 state AGs regarding its predatory loans to attend these online for-profit schools and that Sallie Mae/Navient was a `` preferred '' lending company in a " deal '' with these schools during the early XXXX. These private loans with a high risk of default were part of a package deal offered to for-profit schools, but loans made to students in states outside of the agreement or those who were not in default for 7 months or more during a " specific '' time frame, were excluded. 
I am sure this was a big win for Navient, but what a sham of a settlement deal for the other borrowers scammed into taking loans to at least 150 for-profit schools.

Didn't Navient also exit the federal student loan business after the AG settlement due to scrutiny from lawmakers and borrower advocates? Didn't Navient have to pay restitution to the Federal student loan borrowers for not informing students of IDR/IBR payments students could have enrolled in but instead steered toward forbearance? 
Furthermore, hasn't Navient been sued at least a half dozen times for other predatory loan practices and illegal collection practices? 

I am also aware of a " pilot '' program by which Navient is sending out " applications '' to select students who may have filed Borrower Defense claims against their schools and were approved. This application is a sham. Why do we need to prove anything? 
Navient knows who we are. 

My private loans totaled {$45000.00} in principal and were taken out between XXXX and XXXX. Today, I owe {$43000.00}. On my {$20000.00} principal loan taken out in XXXX, I've paid/accrued {$19000.00} in interest and owe {$22000.00}. Of the five private loans held by Navient, three have exceeded their principal despite making payments, and strangely, the other two have had principal paid. 

Under the FTC " Holder Rule, '' Navient is liable for providing predatory loans in connection with for-profit schools. Time is running out for Navient to do right by students who were scammed into taking out private loans to attend XXXX XXXX, who have committed misconduct and misrepresented themselves to the public to entice students to enroll. 

Senator XXXX XXXX has sent a letter to Navient 's CEO asking to discharge these loans NOW! It's time Navient does the right thing and discharges all these predatory private loans made to attend for-profit schools NOW!

Company response to consumer: Closed with explanation