Consumer complaint received 2025-11-15 00:00:00
Product: Student loan — Federal student loan servicing
Issue: Incorrect information on your report — Account information incorrect
Company: Central Research Inc
State: NY

Complaint narrative:
Subject : Formal Complaint Regarding Inaccurate Credit Reporting by XXXX Student Loan Servicing and Improper Servicer Transfer Procedures To Whom It May Concern, I am submitting this complaint regarding inaccurate, duplicative, and harmful credit reporting by * XXXX Student Loan Servicing * following a servicer transfer from * XXXX *. The information being furnished is * * incorrect * *, does * * not reflect my actual payment history * *, and appears to be in violation of the * * Fair Credit Reporting Act ( FCRA ) * *, the * * CARES Act credit reporting rules * *, and federal * * student loan servicer transfer requirements * *.

1. Summary of the Issue My federal student loan was originally serviced by * XXXX *. I made consistent payments before the COVID forbearance and resumed payments once the forbearance ended. 
However, during the transfer from XXXX to * XXXX *, the following occurred : A. I was not properly notified of the loan transfer in advance. 
I only learned about the transfer when I proactively called XXXX to confirm a payment I had scheduled. 

B. XXXX instructed me to cancel my scheduled payment. 
I had scheduled a payment in XXXX for XXXX, intended to fully cover my due amount. 
Upon calling XXXX to verify the payment, I was told the loan was being sold/transferred and that I needed to * cancel the scheduled payment * so it would not be misapplied. 

C. XXXX is reporting delinquencies that occurred BEFORE they serviced my loan. 
XXXX has reported * * 90-day and 120-day late payments * * with dates that : * do not reflect my true payment behavior, * do not align with the payment I scheduled, * occurred before they began servicing my account, * and were never properly communicated to me.

This constitutes * * inaccurate data furnishing * * under FCRA 623.

D. The late marks appear twice across different tradelines, causing double reporting.

This has caused substantial and unnecessary credit damage.

2. Why the Reporting Is Inaccurate The reporting is not accurate for the following reasons : * My loan was in COVID administrative forbearance and I resumed paying after forbearance ended.

* I did schedule a payment to remain in good standing. 
* The payment failed solely because XXXX instructed me to cancel it due to the transfer. 
* I received no prior notice of transfer dates or required payments. 
* XXXX can not legally report delinquent periods before they serviced the loan. 
* The transfer process itself resulted in delays and confusion outside of my control. 
Under federal law, borrowers * * can not * * be penalized for servicer error, transfer delay, or miscommunication. 

3. Harm Experienced Because of XXXX  inaccurate reporting : * My credit score dropped by more than * * XXXX points in a single day * *, * I am wrongly being shown as severely delinquent despite acting in good faith, * The negative marks are interfering with my ability to access fair credit terms.

This drop does not reflect my actual payment behavior or financial responsibility.

4. Requested Action I am requesting that the CFPB : 1. * * Investigate XXXX  reporting of my account * *, especially the dates and status of the alleged delinquencies.

2. Require XXXX to * * remove the inaccurate late payment reporting * * entirely. 
XXXX. Require XXXX to provide documentation proving : * The accuracy of the delinquency dates they furnished * That proper transfer notices were sent * That I was not instructed by XXXX to cancel my payment * That delinquencies occurred under their servicing period 4. Direct Nelnet to confirm : * Their instruction for me to cancel the scheduled payment * The exact timeline of the transfer * My standing at the time of transfer If XXXX can not validate the reporting with proper documentation, the late marks must be * * deleted * *, not updated.

5. Supporting Documentation Available * * I am prepared to provide : * Proof of payments before COVID * Proof of resumed payments post-forbearance * Evidence of the scheduled payment * Evidence that XXXX instructed me to cancel the payment * Proof of when I was notified of the transfer * Credit report screenshots showing duplicate late marks * Any additional documentation needed for your review Conclusion The negative reporting is the result of * * servicer error * *, not borrower delinquency. I respectfully request that the CFPB intervene and ensure that the inaccurate information is removed from my credit reports.

Thank you for your assistance. 
Sincerely, XXXX XXXX XXXX

Company response to consumer: Closed with explanation