Consumer complaint received 2026-02-25 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: CT

Complaint narrative:
I am submitting this statement to document a series of servicing and communication failures related to my federal student loans serviced by Aidvantage, and to support my request for the removal of improperly accrued interest totaling {$5700.00}. On XX/XX/XXXX, XXXX XXXX XXXX XXXX # XXXX was disbursed. On XX/XX/XXXX, Direct Stafford Unsubsidized Loan # XXXX was disbursed. After both disbursements, I did not receive any billing statements, account notices, payment reminders, emails, or other communications from Aidvantage. From XXXX through XXXX, Aidvantage failed to contact me regarding these loans. During this time, Aidvantage used outdated and incorrect contact information specifically, my mothers email address rather than my verified contact information that was properly listed on my Master Promissory Note and in my borrower records. As a result, I was unaware that the loans were active, accruing interest, or requiring action. On XX/XX/XXXX, I independently discovered the existence of the loans and the accrued interest through my own account research. At that point, the total accrued interest was {$5700.00}. On XX/XX/XXXX, I contacted Aidvantage by phone. During that call, the representative confirmed that outdated contact information had been used and acknowledged that this was the reason I had not received any communications or billing notices. Later that same day, Aidvantage issued a written letter summarizing the call. That letter, however, mischaracterized the substance of the discussion and failed to acknowledge or address the confirmed issue of incorrect contact information and lack of notice. On XX/XX/XXXX, I formally submitted a written dispute to Aidvantage requesting the full removal of the {$5700.00} in accrued interest on the basis that it resulted solely from servicer error, failure to provide notice, and failure to use correct borrower contact information. As of this date, I am awaiting Aidvantages written response. If this matter is not resolved within 30 days, I intend to escalate the dispute to the Federal Student Aid Ombudsman and the Consumer Financial Protection Bureau. Basis for Dispute Aidvantages failure to use correct borrower contact information and its failure to provide any billing or notice deprived me of the opportunity to manage, repay, or take action on my loans in a timely manner. The interest in question accrued exclusively as a result of this servicing failure. Accordingly, I am requesting the full removal of {$5700.00} in interest as a corrective measure for servicer error and lack of due process. Signed : XXXX XXXX I am submitting this consumer complaint regarding the servicing of my federal student loans by Aidvantage, the U.S. Department of Educations loan servicer. This complaint concerns the accrual of {$5700.00} in interest that resulted from the servicers failure to use my correct and updated contact information, which prevented me from receiving required loan communications. Aidvantage claims that proper notice was provided because emails were sent to XXXX. While messages may have been delivered to that address, it is not my personal email account and is not the email address I provided on my Promissory Note. That address belongs to my mother and was used many years ago during my undergraduate studies. I do not monitor or control this account and did not receive loan-related communications through it. My Master Promissory Note clearly lists my correct email address as XXXX and my mailing address as XXXX XXXX XXXX, XXXX, CT XXXX. This documentation provided Aidvantage with my accurate and updated contact information through official federal loan records. Despite this, Aidvantage continued sending critical loan servicing communications including notices related to loan status and interest accrual to the outdated third-party email address instead of the contact information I formally provided. As a result, I did not receive billing notices, account updates, or communications regarding loan status and interest accrual. I was unaware the loans were active and accruing interest until I independently discovered them through my own account research in XX/XX/XXXX. By that time, {$5700.00} in interest had accrued. Aidvantage has suggested that I was responsible for updating my contact information directly with the servicer. However, I did provide updated information through official federal loan documentation. A borrower should reasonably expect that contact details provided on a signed Promissory Note will be reflected in the servicing system and used for loan communications. Continuing to rely on an outdated email address not personally controlled by the borrower does not constitute proper or effective notice. During subsequent phone calls and written communications, Aidvantage representatives acknowledged that outdated contact information remained on file. However, rather than correcting the consequences of this servicing error, I was directed to dispute the matter with Federal Student Aid. When I contacted Federal Student Aid, I was told this issue must be addressed by my loan servicer. I have therefore been redirected back to Aidvantage without resolution. I was also incorrectly told by Aidvantage representatives that I had provided the wrong contact information, which is not accurate and is contradicted by my signed Promissory Note. This misinformation delayed resolution and shifted responsibility away from the servicers documented communication failure. Because I did not receive notice at my correct email address, I was deprived of the opportunity to manage my loans in a timely manner. The interest accrued solely because of Aidvantages failure to use updated borrower contact information already available in official loan documentation. I am requesting the Departments assistance in reviewing this matter and asking that Aidvantage be directed to correct this servicing error and remove the {$5700.00} in improperly accrued interest. Please let me know if any additional documentation is needed. I really do appreciate your time and assistance to this matter!!! Sincerely, XXXX XXXX XXXX XXXX XXXX XXXX, CT XXXX ( XXXX ) XXXX XXXX and this was their response which i wanst thrilled about, so what can i do next because i want my money back that was unfairly charge to me. Here is their response : XXXX XXXX, The Connecticut Department XXXX Banking is in receipt of your additional correspondence. After a review of your complaint and additional documentation we found no violation of Connecticut Banking Law within its jurisdiction ; as a result, we can not take action an enforcement action or require relief in connection with this matter. Although we understand that this may not be the outcome you would have preferred, the Departments ability to take action with respect to a particular complaint is limited to situations where there is an apparent violation of those laws subject to its jurisdiction. Unfortunately, we have found no violation of Connecticut Banking Law. While this Department can not act as your attorney or provide legal advice, recission, restitution, or damages may be available through a private lawsuit. Therefore, consumers may wish to Consult an attorney to explore what rights they may have under federal law and whether they have the basis for prevailing in private litigation. We regret that we can not be of further assistance in this matter. If you need any further clarification, please do not hesitate to contact me by email or phone. Regards, XXXX XXXX

Company response to consumer: Closed with explanation