Consumer complaint received 2023-03-31 00:00:00
Product: Student loan — Private student loan
Issue: Dealing with your lender or servicer — Trouble with how payments are being handled
Company: Navient Solutions, LLC.
State: PA

Complaint narrative:
My complaint is in regards to the way Navient handles cosigner release. Their system is highly unfair and places unrealistic expectations onto borrowers, only to potentially be rejected anyway because application decisions are made at Navient 's discretion ( which I am certain means they have every right to reject any application simply because they feel like it and not for a legitimate reason ).

I applied for cosigner release once in the past, only to be told that I was ineligible for it due to my enrollment in an income-based repayment program ( which Navient itself does not offer ). I believed at the time this was due to my federal loans being enrolled in Income-Based Repayment ( IBR ) prior to my federal loans being serviced by XXXX. 

However, upon taking a closer look at the terms and conditions of cosigner release, I am also ineligible for this service currently because of the fact I am enrolled in an Extended repayment plan rather than the XXXX repayment plan. On top of this, I would also be expected to make twelve consecutive on-time payments, which is the only reasonable stipulation they have.

This is very unfair to borrowers. They and their cosigners should not be punished with ineligibility for cosigner release just because of the plan the borrower is enrolled in. Navient places too many obstacles in the way because they want to ensure that their borrowers never have the opportunity to release their cosigners. I can not speak for anyone else, but my cosigner is in their XXXX and they should not have to worry about having this hanging over their heads. 

In addition, it is my understanding that cosigner release, once the application is received, can take up to two years to go through and for the cosigner to actually be released from the borrower 's account. This is a wholly arbitrary and unnecessary period of time with no basis whatsoever in logic. There is no reason at all that simply removing a name from an account should take 24 months on top of everything else.

Furthermore, Navient requires a copy of the borrower 's credit report, college diploma, transcript. Again, more unnecessary documentation. It should not matter what my credit score is or whether or not I graduated college. Neither of these has any bearing at all on the debt someone holds with Navient.

I fully believe this is yet another attempt by Navient to discourage borrowers from trying to free their cosigners. This decision-making process should take no more than 6-8 weeks maximum. I have never once heard of anyone successfully having their cosigner released, either from Navient or any other student loan lender, so why is it even offered when no one can make use of it?

It also seems highly unnecessary for Navient to need to know things such as my employer, my income, my rent and my other monthly payments, as well as requiring proof of income and tax forms. Their only concern should be whether or not I make my payments to them every month. They have no need for this additional information, yet they require borrowers to fill out a form including all of this before they will even consider releasing the borrower 's cosigner.

Company response to consumer: Closed with explanation