Consumer complaint received 2025-10-17 00:00:00
Product: Student loan — Private student loan
Issue: Dealing with your lender or servicer — Keep getting calls about your loan
Company: SLM CORPORATION
State: CT

Complaint narrative:
Please help. I have reached out to President Trump, Vice President Vance,XX/XX/XXXX FTC, Utah Attorney General XXXX and Utah Department of Financial Institutions against Sallie Mae PRIVATE student loans. We are residents of XX/XX/XXXX however, my XXXX children both attended XX/XX/XXXX I will continue to email until I get some help. I was told to reach out to Utah Department of Financial Institutions because they supervise Sallie Mae and they told me Sallie Mae would contact me? This is so unacceptable. This is my formal complaint that I filed with the CFPB against Sallie Mae PRIVATE student loans : * Sallie Mae customer service has not been truthful, knowledgeable, fair, easy to understand their language, and completely unprofessional. My personal experience has revealed aggressive and predatory practices that are not only detrimental to me and my physical and mental health but also my XXXX children whose all of these loans pertain to.These are my complaints : 1. Predatory Loan Terms : The terms and conditions of these loans are not only unfair but also designed in a way that significantly disadvantages borrowers. Sallie Mae 's exploitative terms include excessive finance charges that can exceed 200 % of the principal, targeting borrowers with no alternatives. These egregious terms, often impossible to repay, signify a systemic practice of predatory lending. 
2. Irresponsible Loan Approval Practices : Sallie Mae continues to sanction loan agreements with terms that are not feasible for the borrowers or their cosigners, fully aware that the financial burdens imposed are unsustainable. Sallie Mae is required to ensure the terms of their loans are within the ability of all borrowers to repay, yet they approve loans with egregious terms for repayment that do not seem to have been established on the basis of thorough income verification, as these terms are approved for borrowers and cosigners who have no or low income. A study byXX/XX/XXXX XXXX XXXX XXXX XXXX found that one in seven student loan borrowers default on their loans within XXXX years of beginning repayment ( XX/XX/XXXXXXXX, XXXX ). 
As they are required to obtain this information for loan approval, it is clear that Sallie Mae intentionally approves loan terms for vulnerable populations in a way to exploit the borrowers, whether they are students and cosigners with no or low income. 
3. Exploitation of Vulnerable Populations : Despite regulatory requirements for fair lending practices, Sallie Mae approves loans with terms that vulnerable co-signers, such as a low-income parent. This raises concerns about the intentional targeting of financially vulnerable groups. Sallie Mae often charge exorbitant interest rates, making it nearly impossible for us to pay off our loans in a reasonable timeframe. According to a report by the Consumer Financial Protection Bureau, private student loan borrowers are often faced with high interest rates, lack of flexible repayment options, and difficulty negotiating repayment plans ( Consumer Financial Protection Bureau, XXXX ). 
4. Sallie Mae 's engagement in aggressive collection practices that add further stress and negatively impact the quality of life of already struggling borrowers. Beyond the financial ramifications, Sallie Mae engages in communication tactics to harass, exhaust, and induce fear and anxiety to populations who are already known to be extremely vulnerable. These calls and messages insinuate a need for immediate financial resolution, exploiting the anxiety and lack of legal knowledge among vulnerable groups, particularly students and cosigners who are misled into believing they have immediate financial obligations. Sallie Mae 's strategy involves inducing fear and confusion to coerce them into providing direct debit information for payments on loans. These practices represent a deliberate attempt to entrap and extract funds from individuals who can not and likely could never be able to repay with the terms set by Sallie Mae. 
The harassing practices of Sallie Mae can have a significant impact on the mental and physical well-being of their vulnerable borrowers. Specifically, students burdened with overwhelming debt and subjected to aggressive collection tactics exhibit markedly higher levels of stress andXX/XX/XXXX which can lead to serious health consequences. Research continues to expose the profound impact of financial stress on the mental health and overall well-being of university and college students. A significant study by XXXXXX/XX/XXXX published in the XXXX XXXX XXXXXX/XX/XXXX XXXX XXXX, underscores this correlation. The research indicates that escalating student debt over recent decades correlates strongly with increased mental health issues and a higher incidence ofXX/XX/XXXX among higher education students ( XXXX XXXX XXXX ). 
We need urgent action against these predatory practices which are causing financial distress among students and are hindering their ability to contribute positively towards society after graduation. It's time to demand fairness and ethical business practices from Sallie Mae. We call upon regulatory bodies such as the Consumer Financial Protection Bureau and the United States of America government to take immediate action against these harmful business practices. Both myself and my XXXX children are now going to have to file bankruptcy because of this. Sallie Mae is now threatening us that they intend to file a lawsuit against us and Sallie Mae have completely ruined all of our credit. They are constantly reaching out to relatives using specific names when harassing them. Our mental and physical health is suffering greatly. Please help. 
XX/XX/XXXX

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation