Consumer complaint received 2025-09-23 00:00:00
Product: Student loan — Federal student loan servicing
Issue: Dealing with your lender or servicer — Don't agree with the fees charged
Company: Maximus Federal Services, Inc.
State: WA

Complaint narrative:
To whom it may concern, I am filing a formal complaint regarding improper interest accrual on my student loan account, serviced by Aidvantage, while I was enrolled in the Saving on a Valuable Education ( SAVE ) Plan. This complaint concerns unjust interest accrual in XXXXXXXX XXXX XXXX, which was applied to my account despite the SAVE Plan 's provisions that guarantee no interest accrual during {$0.00} payment periods. 

Summary of the Complaint : 1. Improper Interest Accrual Despite Eligibility for {$0.00} Payments I discovered in XXXXXXXX XXXX XXXX  that interest had accrued on my account, in the amount of {$2600.00}. Under the SAVE Plan, borrowers eligible for {$0.00} payments should not accrue interest. This interest charge violates the program 's terms, which were implemented to protect borrowers from unnecessary debt accumulation. 

2. Inadequate Response from Loan Servicer Shortly after discovering the interest charge, I contacted Aidvantage. A representative in XXXXXXXX XXXX XXXX assured me that the interest would be removed. However, the charge remains on my account. Additionally, when I spoke with a supervisor again in XXXXXXXX XXXX XXXXXXXX, they could not explain the origin of the interest charge and promised a follow-up, which never occurred. I proceeded to submit a complaint and have since received inconsistent and ever changing reasoning as to why the interest accrued. I was told in XXXX XXXX XXXX  that it was due to intereste accrual prior to the entering the SAVE plan in XXXX After further inspection, Aidvantage stated that was incorrect. In XXXXXXXX XXXX XXXXXXXX XXXX XXXX Aidvantage holds the stance that I was forced into a recalculation for my payments in XXXXXXXX XXXX XXXX. However, I was not due for caclualtion until XXXXXXXX XXXX XXXX. This calculation is unjust and incorrect. 

3. Press Release by Education Secretary XXXX XXXX In response to the XXXX XXXX XXXX XXXX XXXX siding in favor of a lawsuit challenging the SAVE program, Education Secretary XXXX XXXX stated on XX/XX/XXXX, that borrowers enrolled in the SAVE plan will be placed in an interest-free forbearance. Despite this guarantee, interest had continued to accrue on my account. 

4.Violation of Federal Protections These actions may violate federal laws and regulations, including : -The Higher Education Act of 1965, which governs student loans and protects borrowers rights. 
-The Fair Debt Collection Practices Act ( FDCPA ), which prohibits unfair debt practices.

-The Truth in Lending Act ( TILA ), which ensures accurate loan terms disclosure. 

5. Lack of Transparency Aidvantage has not provided adequate documentation or a clear explanation for the improper interest charges, leaving me without a resolution. 

Requested Resolution : I respectfully request the following : 1. Immediate Refund of Improperly Charged Interest : Refund {$2600.00} charged to my account, as well as the interest accumulated as result from this incorrect interest initially applied to my account.

2. Review of Loan Account : Conduct a full review of my account to ensure no additional improper charges. 

3. Preventative Measures : Ensure corrective actions to prevent similar issues for other borrowers.

Conclusion : I believe Aidvantage 's actions violate federal regulations and borrower protections. If this matter is not resolved promptly, I will pursue legal action and explore other avenues to ensure compliance with the SAVE Plan and federal guidelines. 

Thank you for your attention to this matter. Please contact me if further information is needed. 

Sincerely, A concerned and overwhelmed student loan borrower.

Company response to consumer: Closed with explanation