Consumer complaint received 2025-03-13 00:00:00
Product: Student loan — Federal student loan servicing
Issue: Struggling to repay your loan — Problem with your payment plan
Company: EdFinancial Services
State: NY

Complaint narrative:
I am writing to formally request the forgiveness of my federal student loans due to a recent data breach involving the Department of Education 's ( DOE ) data system and DOGE. As a borrower whose personal and financial information has been compromised, I believe this situation warrants consideration for loan discharge. 

Recent reports indicate that DOGE has been granted access to sensitive student loan borrower data housed at the DOE. This access raises significant concerns about the security and privacy of my personal information, including Social Security numbers, loan details, and other sensitive data. The breach has prompted significant legal actions and concerns : XXXX XXXX XXXX XXXX XXXX XXXX : On XX/XX/XXXX, the XXXX XXXX XXXX XXXX student government sued the XXXX, alleging unauthorized sharing of personal financial data of XXXX  of student loan borrowers with DOGE. The lawsuit claims this violates the Privacy Act of XXXX, exposing sensitive information such as Social Security numbers and bank account details, raising concerns about potential misuse in AI systems and risks like identity theft. 

Federal Judge 's Injunction : A federal judge issued a temporary injunction preventing the ED from sharing personal records with DOGE, indicating that such data sharing likely violated the Privacy Act by disclosing sensitive information without individuals ' consent. 
Congressional Inquiries : Democratic members of the House Oversight Committee have expressed concerns over DOGE 's access to sensitive data and its potential use in AI applications, questioning the legality and data protection measures of such access. 

The unauthorized access to my personal information has caused considerable distress and potential financial harm. The exposure of sensitive data increases the risk of identity theft, fraudulent activities, and other financial losses. Given these circumstances, I am seeking relief through the discharge of my federal student loans. 

Additionally, I am currently enrolled in an Income-Driven Repayment ( IDR ) plan, which is essential to maintaining my financial stability. I am deeply concerned that this data breach could jeopardize my eligibility or access to this plan. Losing the ability to participate in an IDR plan would place me under significant financial strain, making it difficult to meet my repayment obligations and maintain my quality of life. 

A recent federal court injunction has halted the U.S. Department of Education 's implementation of the Saving on a Valuable Education ( SAVE ) Plan and certain aspects of other income-driven repayment ( IDR ) plans. Consequently, online applications for IDR plans and loan consolidations are temporarily unavailable on StudentAid.gov. As a result of the injunction, online applications are unavailable. The Department of Education has temporarily disabled online applications for IDR plans and loan consolidations on StudentAid.gov. 

I respectfully request that the Consumer Financial Protection Bureau ( CFPB ) and the Department of Education consider granting a full discharge of my federal student loans due to the data breach. This action would alleviate the potential financial burden resulting from the compromised security of my personal information and protect me from future harm. 

The security of personal information is paramount, and breaches of this nature undermine trust in the systems designed to protect borrowers. I urge the CFPB and the Department of Education to consider my request for loan forgiveness due to the extraordinary circumstances surrounding this data breach and the potential loss of my IDR plan eligibility. 

Thank you for your attention to this matter. I look forward to your prompt response.

Company response to consumer: Closed with explanation