Consumer complaint received 2024-12-30 00:00:00
Product: Student loan — Federal student loan servicing
Issue: Struggling to repay your loan — Bankruptcy
Company: EdFinancial Services
State: TX

Complaint narrative:
Dear Consumer Financial Protection Bureau, RE : Complaint Ed Financial Ed Financial XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX Current Federal Student Loan Accounts : XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX I am filing a formal complaint against Ed Financial. 

It is unfair and should be illegal what they have done to my student loans. 
I have tried many times to correct this and have filed many complaints. I have also requested to speak with a Federal Student Aid Ombudsman. I have never received any type of communication from the Ombudsman and I have requested help going back to XXXX regarding my loans. I have also sought the help of my XXXX XXXX XXXX XXXX who has been unsuccessful in getting any kind of response.

The US Department of Education doesnt have a way to speak with anyone with the Ombudsmans Office who can help resolve issues. Many times the US Department of Education or Federal Student Aid just forwarded my complaints on to the loan administration company such as Ed Financial that I have filed complaints about, that I have requested help in addressing the problems with the company. I have received no response, no resolve and my loans are a complete unfair mess.

Here is an overview of what happened. 

I have student loans that date back to XXXX. Some were before the restructuring of the student loans to be under the US Department of Education. 

On XX/XX/XXXX, after receiving telephone advice from the XXXX Department of Education Federal Student Aid Representatives, XXXX XXXX and also a Lawyer that was hired as a consultant named XXXX XXXX, all of the loans that I had that were with XXXX and XXXX were consolidated. The XXXX loans were considered Federally guaranteed or Federally backed loans and were acquired before XXXX. I was advised by all that were named above to consolidate my loans so that I would be able to be eligible for the new student loan programs such as the SAVE PLAN and other newly developed loan programs. 

I had been in an Income Based Repayment Plan ( IRB ) for many years. Even this year I had renewed the IBR or IDR plan. Nelnet sent me a letter approving me for the SAVE PLAN. Because of the many extreme financial hardships that I have endured for many years especially with provider discrimination by insurance plans that impacted my ability to earn a living, my income was very low. Prior to the consolidation, I had loans with a much lower interest rate which also included a XXXX XXXX. When I completed the loan consolidation application I had to select what payment plan that I wanted which was the IDR SAVE PLAN and then I also had to file a new application to confirm income for IDR Plan. I actually filed the IDR application 3-4 times this year which began around XXXX. The information that I was presented for the loan consolidation and what I agreed to through the Federal Student Aid government website explained that I would have the SAVE PLAN and qualified for {$0.00} per month and that my interest would be recalculated with an average percent making many of the loans have a higher interest rate but the loans were NOT supposed to grow. The interest was supposed to be removed. This is not happening with my loans!

The total consolidation was {$400000.00}. Since the consolidation, the loans have grown to {$410000.00}. 

Overview of Loans in a chart is provided in documents. 
Many of these old loans had a much lower interest rate ( 3.40 % - 4.50 % ) and the consolidation of the loans averaged the loans and made the interest higher ( 6.250 % ), but part of the SAVE PLAN in the agreement was that the loans were not supposed to grow with interest. 

Nothing has been honored or is what I agreed to and Ed Financial has refused to fix this or reverse the change and provide me with my same interest rates.

In fact, instead of the plan that I signed up for Ed Financial made their own decision to place my loans in some 10 year plan and sent me a bill for {$2500.00} per month which I can not afford to pay. Everyone else who was in the SAVE PLAN were placed in some type of administrative deferment or forbearance, Ed Financial did not treat my consolidated loans the same as they gave other student borrowers. Instead when I filed complaints many times to correct the problem, Ed Financial has repeatedly said that I did not choose a plan which is completely FALSE! Ed Financial has said that since I didnt choose a plan they put me in the 10 year repayment plan on their own. How is this legal? The only thing that stopped the {$2500.00} per month charges was that I filed bankruptcy. I was in an IBR plan for YEARS prior to the consolidation and this that has happened to my student loans is really unfair and wrong and worse is that the documents that I signed for the consolidation were for the SAVE PLAN and to have the interest not grow and I am not getting this and now the interest is much higher and unfair to me. This is like a bait and switch to put me on a higher interest and payment plan and it wrong and should be illegal! 

During XXXX XXXX XXXX was the loan lender. This was before the loans were issued through the Department of Education. XXXX XXXX issued Federal Student Loans ( Federally Guaranteed Loans for the education program ) and then Private Student Loans to cover other expenses such as living expenses. It is the Private Student loans with XXXX XXXX XXXX XXXX XXXX that I had paid on for 15 years until the COVID 19 pandemic. I lost 75 % of my income and could not pay the loans and XXXX XXXX increased the rate to almost double when I had no way to pay and was on XXXX XXXX pandemic aid and then forced me into default then sued me with XXXX different lawsuits. That too was extremely financially damaging to me. I can not survive provider discrimination, the COVID 19 pandemic and also then to be sued 4 times for student loan debt while also having crushingly high interest rates on all the loans that I had to take out to try to survive the pandemic with then also skyrocketing costs for everything and no type of increase in pay for healthcare providers. This is why I have filed bankruptcy. I should have filed it when I was first sued with the 4 lawsuits.

All of my Federal Student Loans were in an IBR repayment plan for many years with low repayment because of low income. The IBR was renewed in XXXX and was confirmed. XXXX and XXXX also confirmed that the loans were in the SAVE Plan and IBR Plan. After the Loan Consolidation on XX/XX/XXXX, XXXX sent the loans to Ed Financial and Ed Financial did not place the loans in the SAVE Plan as was indicated in the loan consolidation and placed the loans in a 10 year plan at {$2500.00} a month which was not the contracted loan agreement. The loan consolidation agreement increased the interest rate of many of the loans but was not supposed to grow with interest and that is not what is currently occurring. The loans have had {$10000.00} of interest added since XX/XX/XXXX. This is not right and not what I agreed to. I am really extremely angry about what has happened to my student loans and the fact that I can not get anyone to help me with them. This is very unfair and I can never repay this. 

Currently Ed Financial has recognized my bankruptcy.

This is what Ed Financial has on the account : If the bankruptcy case is active As required by the United States Bankruptcy Code, we are honoring the automatic stay of the Bankruptcy Court. In order to provide relief while the bankruptcy petition is pending, we are temporarily suspending certain outgoing correspondence on this account.

We continue to offer you access to customer service, including your online account. Please note that information displayed in your online account may continue to reflect the account status as it stood prior to notification regarding the bankruptcy petition.

For loans included in the bankruptcy petition, no payment is required during the automatic stayeven if certain information on this site may appear to indicate otherwise. We continue to accept voluntary payments and credit them according to the terms of the promissory note in the event that the petitioner does not anticipate receiving a discharge of the student loan.

If the bankruptcy case has ended If the bankruptcy case has ended and you continue to see this message, you may have one or more loans which were paid off or transferred while the bankruptcy was pending and may continue to reflect the pending bankruptcy as part of the final status of the loans. We apologize for any confusion. You can view the current status of each loan by proceeding to your account.

By clicking Proceed to Account, you acknowledge that you have read and understand the above.

A chart can be seen in the provided documents.

Total Current Balance : {$410000.00} These loans were named in my Bankruptcy. However, prior to the bankruptcy there was never anything derogatory reported about these loans. I never defaulted on these loans. Ed Financial has damaged my credit and has reported that all of these loans as derogatory to all three Credit Bureaus XXXX XXXX, XXXX and XXXX ). Ed Financial has also reported to the credit bureaus that the loans are being XXXX with bankruptcy. I want these loans to be XXXX in bankruptcy and I want this confirmed. Please confirm that these loans are being XXXX in bankruptcy. 

My income history : XXXX XXXX Adjusted Gross Income - {$6100.00} / Owed IRS {$22.00} XXXX XXXX Adjusted Gross Income - {$7900.00} XXXX XXXX Adjusted Gross Income - {$1200.00} / Owed IRS {$710.00} XXXX XXXX Adjusted Gross Income {$610.00} / Owed IRS {$1000.00} XXXX XXXX Adjusted Gross Income - {$9100.00} / Owed IRS {$99.00} XXXX XXXX Adjusted Gross Income - {$8800.00} XXXX XXXX Adjusted Gross Income - {$13000.00} XXXX Cant locate this tax teturn XXXX XXXX Adjusted Gross Income - {$13000.00} / Owed IRS {$350.00} XXXX XXXX Adjusted Gross Income - {$11000.00} / Owed IRS {$160.00} XXXX XXXX Adjusted Gross Income - {$10000.00} / Owed {$750.00} XXXX XXXX Adjusted Gross Income {$4700.00} / Owed IRS {$2700.00} and most of this year was pandemic Aid and SBA Loan and I still owed IRS {$2700.00} ( This is the year that lost 75 % of my income but was finally able to credential on some insurance plans. During XXXX XXXX pandemic XXXX XXXX private student loans were defaulted. 
XXXX XXXX Adjusted Gross Income {$22000.00} / Owed IRS {$4400.00} ( This year I was injured by the COVID XXXX vaccine. It has caused a lot of health issues that have been ongoing and were exacerbated through to present. XXXX XXXX XXXX XXXX XXXXXXXX, caused many health issues and these XXXX XXXX XXXX XXXX XXXX XXXX  ). There was a brutal freeze that occurred in XXXX this year that damaged my home property and caused me to lose a week of work. 
XXXX XXXX Adjusted Gross Income {$39000.00} / Owed IRS {$10000.00} XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX ) This year I was sued with XXXX separate lawsuits for the private student loans. It was very costly. 
Lawsuits : XXXX, XXXX, XXXX, XXXX. The lawsuits lasted through XXXX. 
XXXX XXXX Adjusted Gross Income {$29000.00} / Owed IRS {$7000.00} XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX Currently have an $ XXXX Lien XXXX XXXX for IRS XXXX that I cant pay. 
This year I had XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX 
XXXX XXXX in the XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX 

I have continued to be discriminated against in the field as a provider by insurance plans. I have had to get licensed in multiple states to try to get on plans in other states so that I can earn a living. It has been very expensive. I recently lost an insurance contract that I had been a provider on for 3 years. They terminated my contract for no reason and said that they had a narrow network. I was the only XXXX  and private practice nutritionist on the plan. All other nutritionists were RDs that work for the plans medical centers. 

I am currently XXXX  but my income is insufficient to pay my loans and unlikely to increase to an amount necessary to make substantial payments on the student loans I am seeking to discharge. This is because I am paid by insurance plans and they have not increased pay to compensate for the significate increase in the cost of living. I was never told in school that with masters and doctor degree that I would be paid the same as someone with a bachelor level degree. Insurance plans pay per CPT service code for the specialization of Dietitian-Nutritionist and dont recognize doctors in the field and pay accordingly with the advanced degree. Insurance plans also regularly wrongly deny claims and I have to go many months without payment for the healthcare services that I provide. It is really wrong. Worse is that patients who then also benefited from the services provided will skip out on any kind of responsibility or payment as soon as claims are denied. It is really very difficult being a provider and trying to get paid fairly for the care that is provided.

I have continued to experience provider discrimination in which I am unable to contract on many insurance plans because the State of Texas refuses to update their occupation code that has been law since 1980. The State has no practice act license for Dietitians -Nutritionists and so it is legal for all to practice nutrition in the state but the state provides a title license to bachelor level RDs and does not recognize XXXX  with masters and doctorate level degrees in nutrition and is unwilling to make changes. It causes a provider discrimination as insurance plans will readily credential RDs but not XXXX. It is the same with job opportunities. The current Texas legislators believe less regulation is best but I cant imagine that they would want to see a health care provider who is not licensed. The decisions by XXXX XXXX and the legislators of Texas such as Representative XXXX XXXX and XXXX XXXX XXXX ( my legislators ) to not update the occupation code causes harm to me and my many XXXX  colleagues who have spent many years going through expensive university nutrition programs that are funded by the XXXX Department of Education. It is very unfair and unjust. I have personally tried since XXXX to change this and have written many letters, called and had meetings with Texas Legislators. I have filed complaints with The FTC and met with their attorney. I have sought help with the US and Texas Attorney Generals, and even with Centers for Medicare Services. I have also sought the help if the Institute for Justice and other legal help. No one has cared that I can not earn a fair and decent living. They absolutely do not care if I can pay my student loans back or if I lost my family home because I cant earn a living or pay the taxes. In recent years I have experienced terrible inflated costs of home and car insurance, property taxes, electricity, and all the many other increased costs for everything and I am still being paid the same. XXXX XXXX makes up half of my income. I contracted with the plan in XXXX and they have never increased my pay one time. When I was going through recredentialing this year I almost lost the contract because they wanted a Texas license that I cant provide them. I asked them to renegotiate the rate since I had my XXXX but they ignored this request and clearly I am afraid to lose the contract as it would be financially devastating. 

I do not see that my situation would improve unless costs significantly decrease and that is not going to occur if more tariffs are installed. I am really very scared about my future as a single woman. 

Also I never defaulted on these Federal Student loans but now Ed Financial has reported all of these loans as derogatory on all three credit bureaus which is damaging to my credit which seems really unfair.

Additionally, I am also dealing with these health issues that were caused but the XXXX XXXX vaccine and it is unknown what will happen but it could progress. The stress of everything that I have been going through financially and the difficulty of trying to practice after working so hard to earn the credentialing and then facing such unfair and severe provider discrimination that has been so financially damaging for years has also made me angry, XXXX, ill and feel hopeless. It has been unfair and is unjust and I deserve some type of restitution such as bankruptcy and including my student loans in discharge. 

I have helped thousands of people with their health which has benefited my government by improving the health of people and yet all the work that I have done for 17 years is not even recognized for any eligibility for discharging loans which doesnt seem right. 

I have contacted Ed Financial and the US Department of Education many times and have sought help and have filed many complaints regarding my student loan. I have tried to get help from the XXXX XXXX Ombudsman since XXXX and they never respond to anything including certified mail sent to them. 

Here are the recent complaints regarding my student loans : Financial Student Aid Complaints : XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX 

I have also called Ed Financial about this many times. 
They are not helpful. 
XX/XX/XXXX XXXX with XXXX - she said to call Ed Financial XX/XX/XXXX Called XXXX XXXX XX/XX/XXXX Spoke with XXXX XXXX XXXX, she said she was going to research and then never got back to me. I uploaded all of my documents into the Ed Financial Website. She said that she would let me know something by XX/XX/XXXX. 

XX/XX/XXXX Spoke with XXXX who said it was still in process. 
XX/XX/XXXX Spoke with XXXX XXXX with XXXX XX/XX/XXXX Called XXXX XXXX XXXX XXXX who said they had sent the complaint XX/XX/XXXX Called Ed Financial and spoke with XXXX with customer service. I asked to speak with a Team Lead. I was sent to XXXX who said she was a Team Lead. She was extremely rude. 
XX/XX/XXXX Called Ed Financial because I saw the Derogatory information regarding my student loans on my credit report. I spoke with XXXX and also XXXX a Team Lead. XXXX said again that Ed Financial says that I never selected a plan for my loans which is false. 

I have been enrolled in an XXXX plan since around XXXX. Recently with the loan consolidation in XX/XX/XXXX, Ed Financial has refused to implement the XXXX plan that I was offered and agreed to. It seems illegal to have me sign contracts for loans and then increase the interest rates and not provide the plan that was offered to me. Instead Ed Financial keeps claiming that I did not select a plan which is false. It shows that I was in the SAVE Plan and IDR plan in all the communications that I received from XXXX and also on the Federal Student Aid Website. I was also in the SAVE Plan prior to the loan consolidation for all the XXXX loans and an XXXX plan for the XXXX loans. It was not right for Ed Financial to put my loans in some 10 year plan for {$2500.00} a month. I never agreed to a plan like that. It is wrong that now I am having to pay higher interest rates and I am racking up even more debt with the interest when that is not what I was promised would occur with the loans. Now I am not able to get the SAVE PLAN that I was offered or any IDR Plan and the loans are spiraling me very quickly deeper into debt. 

I am XXXX XXXX XXXX and have little financial savings. Currently I have had to file bankruptcy and have a $ XXXX XXXX against XXXX for XXXX XXXX and have not paid any taxes for the current year FY XXXX. Many of the student loans I have paid on for more than 10 years but income was so low due to many financial hardships and provider discrimination and the interest has made the loans grow to even much higher amount that can never be repaid. I have also experienced severe health issues due to the COVID XXXX vaccine which has impacted my ability to work the hours that I was able to do before the injury and also manage my life. In XXXX I saw more than XXXX doctors regarding my health issues from the vaccine. 

I am requesting that these student loans be discharged with my bankruptcy. 
It has already been reported with all three Credit Bureaus that these student loans are being discharged and are included in bankruptcy. I would like this confirmed. 

I have paid my attorney XXXX XXXX with XXXX XXXX XXXX to file a student loan adversary. I am not sure why there has been a delay in filing the document. Perhaps they are waiting to see if the student loans are included in the bankruptcy as that is what has been reported to the credit bureaus.

It is extremely unfair what has happened to my student loans. I did not consolidate the loans to further cause higher interest and higher payments that I can not afford. It is not what I agreed to and should be illegal what has occurred. I want help with this matter and for my loans to be discharged in my bankruptcy.

Company response to consumer: Closed with explanation