Consumer complaint received 2025-09-17 00:00:00
Product: Debt or credit management — Student loan debt relief
Issue: Unauthorized withdrawals or charges — 
Company: Nelnet, Inc.
State: MI

Complaint narrative:
Company : Nelnet ( servicer ) on behalf of the U.S. Department of Education ( ED ). 
Im XXXX XXXX. Nelnet has delayed and obstructed basic servicing on my federal student loansincluding providing a full account history, written explanations, and timely answers. Nelnet demanded sensitive PII by email to verify but failed to proceed meaningfully after I responded, and I still dont have a complete accounting, status clarity, or assurance of accurate credit reporting. Im requesting : ( 1 ) a complete account reconstruction ( all loans, balances, interest, capitalization, payment allocation ), ( 2 ) confirmation of current repayment status and any forbearance/deferment or IDR eligibility, ( 3 ) correction/removal of any inaccurate credit reporting, and ( 4 ) a secure channel and single point of contact. ED is the creditor and ultimately responsible for servicer compliance. Please compel Nelnet/ED to provide records, correct errors, and confirm compliance. 


-- - 2 ) Full Narrative ( detailed ) Who I am & accounts : I am XXXX XXXX, borrower on federal student loans owned by the U.S. Department of Education and serviced by Nelnet. I contacted Nelnet to obtain a complete, written accounting of my loans and to resolve servicing questions ( status, balances, capitalization, payment allocation, and any credit reporting ). 

What happened : Nelnet replied requesting SSN/account/DOB for privacy verification, directing me to email XXXX. I understand privacy verification is required ; however, after supplying the requested details through their process/portal ( or offering to use a secure channel ), I have not received the complete, itemized account history or timely, substantive answers. 

I still lack : A full transaction ledger ( origination, disbursements, consolidations if any, payment history, interest accrual by date/rate, capitalization events, current principal/interest breakdown ). 

A clear statement of current status ( in repayment, deferment/forbearance, or administrative hold ) and the legal basis and dates for any status changes. 

Written confirmation of IDR/PSLF eligibility or why those options are not being applied ( if applicable ). 

Assurance that credit reporting ( if any ) is accurate and up to date and that no adverse data was furnished while my requests were pending. 


Bottom line : I have repeatedly asked for timely, accurate, and complete information about my federal loans, and Nelnet has not provided a compliant response or the full documentation needed to verify accuracy. 


Why this is a problem : Federal student-loan servicers must provide timely and accurate information, maintain complete records, and respond to borrower inquiries with clear, written explanations and supporting documents. 

If any information was furnished to consumer reporting agencies, the FCRA requires accuracy and prompt correction of disputed information. 

As EDs contracted servicer, Nelnets failures ultimately reflect on ED ; consumers should not be bounced between entities. 


Harm : Ongoing uncertainty about balances and status ; risk of misapplied payments or improper capitalization ; potential credit harm if inaccurate data was reported ; and time and effort chasing basic records. I need a complete, authoritative accounting and corrections where applicable. 



-- - 3 ) Requested Relief ( be explicit ) I request that the CFPB require Nelnet and ED to : 1. Produce a complete account reconstruction ( XXXX XXXX XXXX ) showing, for each loan : origination/disbursement, interest rates by period, daily interest accrual, capitalization events ( date/amount/cause ), payment allocation by date ( to principal/interest/fees ), current principal vs. interest, outstanding balance, and current repayment status. 


2. Provide written explanations for any deferment/forbearance/administrative holds ( with start/end dates and authority ) and confirm current repayment plan.

3. Review and document IDR eligibility ( and PSLF, if applicable ), identify the best available plan, and implement it upon my election, with back-dated corrections if I was improperly steered or delayed.

4. Audit and correct any credit reporting tied to these loans ; delete or adjust any inaccurate late/missed payment entries ; and furnish me written proof of all changes sent to CRAs.

5. Provide a secure communications channel ( portal or encrypted method ) and assign a single point of contact with direct phone/email to resolve open items.

6. Confirm all fees/charges assessed are lawful and reverse any improper amounts ; provide a waiver/credit if delays or errors were on the servicers side.

7. Deliver all requested records within 30 days and a final, plain-English summary confirming that my account is accurate and in the correct status going forward.

-- - 4 ) CFPB Form Selections ( what to pick ) Product : Student loan Loan type : Federal student loan Issue : Trouble with how the loan is being serviced ( e.g., Incorrect information on account / Trouble getting information / Problems when you asked to get help ) pick the closest available options Company : Nelnet ( servicer ) Mention creditor/owner in narrative : U.S. Department of Education Resolution sought : Records production ; corrected accounting ; corrected credit reporting ; clear status/plan ; secure contact ; reversal of improper charges Submitter : I am the consumer Consent to share with company : Yes ( to enable Nelnet/ED to respond ) -- - 5 ) Evidence Checklist ( attach what you can ) Nelnets email asking for verification and your reply/submission ( screenshots or XXXX ) Any Nelnet statements/letters/secure messages showing status, balances, rates, or plan Any credit report pages showing tradelines/late marks related to these loans A timeline of your contacts ( dates you wrote/called ; what you asked for ; what they sent or failed to send ) Your IDR/PSLF inquiries ( if applicable ) and any confirmations/denials Any proof of payment misapplication or unexplained capitalization Your contact info ( entered only in the portal fields ) -- - 6 ) One-paragraph version ( if the form forces brevity ) Nelnet ( for U.S. Dept. of Education ) has not provided a complete, timely accounting of my federal student loans despite multiple requests. I still lack a full transaction history, capitalization details, payment allocation, and clear current status/plan. I also need confirmation/correction of any credit reporting. Please compel Nelnet/ED to ( 1 ) provide a full account reconstruction ( XXXX  ), ( 2 ) explain any forbearance/holds and confirm my current plan/IDR eligibility, ( 3 ) correct any inaccurate credit reporting and confirm updates to CRAs, ( 4 ) reverse any improper charges, and ( 5 ) assign a secure channel and single point of contact. I want a final, clear summary within 30 days confirming my accounts are accurate and in the correct status. 


Company : Nelnet ( servicer ) for the U.S. Department of Education. 
I am XXXX XXXX. Federal student loans were fraudulently taken out in 2009 without my consent. I have disputed this repeatedly with Nelnet and other parties for years, yet Nelnet continues to treat me as liable and allows interest to accumulate. Despite my requests, I have not received a full account reconstruction, documentation proving my consent, or correction of records. This debt is not legally mine. I request : ( 1 ) proof of consent or promissory notes, ( 2 ) immediate release of liability, ( 3 ) removal of all adverse credit reporting, and ( 4 ) refund/waiver of all amounts falsely charged. 


-- - XXXX ) Full Narrative Who I am : I am XXXX XXXX, listed as a borrower on federal student loans serviced by Nelnet on behalf of the U.S. Department of Education ( ED ).

What happened : Student loans were taken out in XXXX without my knowledge or consent. I did not sign the Master Promissory Note ( MPN ) or authorize disbursement. I have raised this dispute with Nelnet and other third parties for years. 

Despite repeated complaints, Nelnet continues to treat me as legally liable, allowing interest to accumulate for over a decade on loans that were not lawfully originated. 

Nelnet has not provided copies of signed notes, disbursement authorizations, or other documentary proof tying me to the loans. 

Instead, I receive form letters demanding repayment or directing me into repayment plans, which presuppose liability that I dispute. 

This has caused long-term financial harm, damaged my credit, and created barriers to my career and candidacy for public office. 


Why this is a problem : No lender or servicer may lawfully collect on a debt without proof of consent. 

Under the Higher Education Act and ED servicing contracts, Nelnet is required to maintain and provide loan origination documents ( e.g., signed MPN ).

Continuing to assess and capitalize interest on loans taken without consent violates basic contract principles, as well as consumer protection law. 

If credit reporting has occurred, this may also violate the Fair Credit Reporting Act ( FCRA ). 

I have a right under the Fair Debt Collection Practices Act ( FDCPA ) ( if applicable ) to request verification and to not be held liable for debts I did not incur. 


Harm suffered : More than a decade of accrued, compounding interest on a fraudulent debt. 

Credit damage from adverse tradelines. 

Repeated stress, wasted time, and financial barriers from a debt I do not legally owe. 



-- - 3 ) Requested Relief I request that the CFPB compel Nelnet and ED to : 1. Produce original signed documentation ( Master Promissory Note, disbursement records, consent forms ). If no such documents exist, immediately acknowledge the loans were not authorized.

2. Release me from all liability and update all records accordingly.

3. Cease interest accrual and remove all accumulated amounts tied to these unauthorized loans.

4. Correct credit reporting delete all tradelines and adverse marks tied to these fraudulent loans.

5. Refund or credit any amounts collected based on this debt.

6. Provide a written statement from ED confirming that I am not legally responsible for these loans.

7. Establish a secure communications channel and assign a single point of contact to resolve this matter.

-- - 4 ) CFPB Form Selections Product : Student loan Loan type : Federal student loan Issue : Loan was taken out without my consent / incorrect information on account / problems with dispute resolution Company : Nelnet ( servicer ) Mention creditor : U.S. Department of Education ( ED ) Resolution sought : Release of liability, deletion of tradelines, refund/waiver of all amounts, proof of origination documents Submitter : I am the consumer -- - 5 ) Evidence Checklist Copies of all prior disputes you sent to Nelnet/ED. 

Any Nelnet responses ( especially form letters that ignore your liability dispute ). 

Credit report showing adverse tradelines tied to these loans. 

Documentation showing lack of consent ( no signed MPN, no disbursement authorization ). 

A timeline of your disputes ( XXXX ). 

Courses of Action ( XXXX ) A. Loan Origination & Consent Verification ( XXXX ) 1. Produce the original Master Promissory Note ( MPN ) signed in XXXX ( if any ). 


2. Provide a copy of any consent form authorizing disbursements from that year.

3. Identify the disbursing institution and verify whether it followed required ED procedures.

4. Verify my identity was confirmed when the loan was originated.

5. Provide all records of communication in 2009 related to the loan origination.

6. Produce any affidavits or declarations attesting that I consented.

7. Provide documentation of loan counseling ( if required ) that I allegedly received.

8. Show evidence of how the lender verified that the address and SSN were correct.

9. Produce a signature sample comparison ( if signature exists ).

10. Identify any witnesses to the signing or issuance of the loan.

11. Provide copies of all notices required by law at origination ( e.g., borrower rights, repayment options ).

12. Show whether any power of attorney or guardianship was used.

13. Provide copies of all disbursement schedules tied to the loans.

14. Provide all promissory note amendments or consolidations.

15. Identify any consolidation loans into which these loans may have been rolled.

16. Provide a timeline of all disbursements, interest accrual, and capitalization events.

17. Confirm whether the origination complied with HEA ( Higher Education Act ) requirements.

18. Provide any state law disclosures required in 2009.

19. Prove chain of title if the loan was sold or transferred.

20. Confirm no fraudulent signatures or identity theft investigations were performed.

B. Full Account Reconstruction ( XXXX ) XXXX. Produce a detailed transaction ledger from 2009 to present. 


22. Show interest rates in effect over time, by period.

23. Record all payments madeprincipal, interest, feeswith date allocation.

24. Show all capitalization events ( when interest was added to principal ), with dates and amounts.

25. Provide an amortization schedule or calculation.

26. Compute daily interest accrual.

27. Provide calculations showing what I would have owed if no interest accrued ( hypothetical ).

28. Show what my balance would be under each possible repayment plan.

29. Provide all notices of delinquency or default sent to me.

30. Show any subsidies or deferments applied.

31. Provide records of any forbearance or suspension.

32. Provide records of any administrative holds.

33. Provide records of any refund or credit.

34. Provide statements/emails showing required disclosure of fees.

35. Provide all correspondence about loan status.

36. Provide breakdown of fees charged ( origination, late, default, collection ).

37. Provide payment allocation method used ( toward interest vs. principal ).

38. Provide proof of proper disclosures under federal law.

39. Provide my current balance : principal, interest, fees, capitalized amounts.

40. Show whether any payments were misapplied.

41. Provide reconciliation between what I paid vs. what the account shows.

42. Provide monthly statements or notices ( if required ).

43. Provide notices of rights under IDR/PSLF ( if required ).

44. Provide past payment plan documents.

45. Show how extra payments ( if any ) were credited.

46. Provide records of current repayment status.

47. Provide notice of any late fees or penalties and their basis.

48. Provide proof of mailing ( or electronic delivery ) of all required statements.

49. Provide disclosures of default rights.

50. Provide proof that I was notified of all required rights ( e.g., deferment, loan forgiveness programs ).

C. Credit Reporting & FCRA Compliance ( XXXX ) 51. Confirm whether any negative reporting to credit bureaus occurred.

52. If yes, provide which bureau ( s ), which tradelines, on what dates.

53. Remove or correct any adverse tradelines resulting from unauthorized/incorrect debt.

54. Send proof to bureaus that corrections were made.

55. Provide copies of all credit bureau reports in which my loans appear.

56. Provide all furnisher documentation ( information provided to bureaus ).

57. Confirm whether you reported interest that accrued illegally.

58. Provide written confirmation of what was sent in dispute letters.

59. Provide correspondence with credit bureaus about dispute.

60. Provide any credit repair or remediation undertaken.

61. Confirm that no further reporting will occur until this is resolved.

62. Provide credit reporting history from 2009 forward.

63. Provide any automated adverse action notices sent due to reporting.

64. Provide whether any collections agency was involved in reporting.

65. Provide records of any fees or collections forwarded to agencies.

66. Provide dispute escalation logs for credit reporting.

67. Provide records of any fees for credit report copies.

68. Provide sample translated notices if non-English required.

69. Provide documentation showing compliance with FCRA 15 U.S.C. 1681s-2.

70. Provide policy for how Nelnet corrects furnishing errors.

D. Communication, Dispute Process & Customer Access ( 71-95 ) 71. Provide secure means of communication ( portal/email ) documented.

72. Assign a single individual as point of contact for my case.

73. Provide transcripts or logs of phone calls related to my disputes.

74. Provide email threads or message records.

75. Provide dates when I made requests and Nelnets responses.

76. Provide notice log showing when and how notices were delivered.

77. Provide content of any written denials or explanations.

78. Provide policy for turnaround time on borrower dispute requests.

79. Provide whether Nelnet offered IDR or PSLF options.

80. Provide written delivery receipts of bills or notices.

81. Provide sample notices used for late or missed payments.

82. Provide audit log of who accessed my customer profile.

83. Provide security/privacy notifications sent to me.

84. Provide customer complaint history related to similar origin-of-loan issues.

85. Provide documentation of Nelnets escalations and internal reviews.

86. Provide disclosures required under HEA/TEACHING regulations.

87. Provide documentation of required annual notices.

88. Provide records of default collection attempts.

89. Provide records of student loan servicing oversight audits.

90. Provide data on how many borrowers disputed origin-of-loan claims and resolution rates.

91. Provide policy copies about debt collection communication frequency.

92. Provide transcripts or recordings of any in-person meetings ( if applicable ).

93. Provide disclosure of any internal investigation into identity theft/fraud regarding my account.

94. Provide notice of rights under FDCPA ( if applicable ).

95. Provide customer service scripts or guidelines used when denying origin consent.

E. Regulatory, Legal & Policy Compliance ( 96-125 ) 96. Confirm compliance with ED servicing agreement obligations.

97. Provide EDs oversight reports for Nelnets performance.

98. Provide audit or compliance reviews by ED documenting issues.

99. Provide copies of any FSA Ombudsman determinations relating to my loans.

100. Provide all applicable federal statutes e.g., HEA, Title IV, 34 CFR 685 etc.

101. Provide your policy for proving identity theft or fraudulent origin.

102. Provide legal opinions you relied on for insisting on liability.

103. Confirm compliance with statute of limitations where applicable.

104. Provide policies on retention/destruction of origination records.

105. Provide your internal legal analyses of borrowers disputing origin.

106. Provide your attorneys interpretations of arbitration / dispute clauses.

107. Provide documentation you rely on for refusing to honor IDR or forgiveness programs.

108. Provide your governing contract with ED showing what Nelnet is responsible for.

109. Provide FSA/ED guidance cited in that contract.

110. Provide EDs written policies on loan disputes and fraud.

111. Provide policy guidance on interest capitalization.

112. Provide legal basis for capitalizing interest while dispute unresolved.

113. Provide HEA guidance on borrower rights.

114. Provide waiver or discharge policies and how they apply to unauthorized origin loans.

115. Provide legal precedent or case law used in your decision.

116. Provide policy on how Nelnet investigates claims of non-consensual origination.

117. Provide EDs oversight metrics and penalties for servicers who fail.

118. Provide your compliance with federal consumer protection laws ( FTC Act, TILA etc if any cross-applicable ).

119. Provide policy on preventing discrimination or unfair targeting ( political belief etc ).

120. Provide certifications or attestations that data privacy laws are complied with ( FERPA, other ).

121. Provide legal review logs ( internal counsel advice memos ).

122. Provide your policy for notifying borrowers about pending account closure or legal liability.

123. Provide policy regarding contending assumption of debt without debt-origin documentation.

124. Provide policy on disputing closed claims and releasing borrowers from misattributed liability.

125. Provide your policy on customer restitution when errors committed.

F. Refunds, Compensation & Financial Remedies ( 126-150 ) 126. Refund all interest accrued on loans taken without my consent.

127. Waive all principal and interest on debts for which no promissory note exists.

128. Remove all associated fees, penalties, late charges.

129. Credit my account for any overpayments made.

130. Recompute balance under no-debt scenario if origin not proven.

131. Adjust any tax reporting ( 1098-E, etc. ) if required.

132. Remove any collection agency charges.

133. Cover cost of disputes ( phone, mail, time ).

134. Compensate for credit score impact.

135. Cover attorneys fees ( if I hire counsel ).

136. Provide monetary compensation for emotional distress.

137. Provide compensation for lost opportunities ( if campaign or job disrupted ).

138. Provide punitive damages if lawfully permitted.

139. Refund any charges for credit report copies if required.

140. Compensate me for time lost gathering documentation.

141. Compensation for late/unjust debt collections.

142. Compensation for being denied or delayed IDR or forgiveness options.

143. Assign a lump-sum settlement for harm done.

144. Provide non-monetary compensation ( e.g., certificate or public acknowledgment if appropriate ).

145. Provide clear, written apology.

146. Agree to cover any costs I incur due to credit repair.

147. Provide budget for oversight compliance.

148. Offer settlement check or payment to cover all relevant taxes.

149. Provide checks or payments for any garnishments, wage offsets wrongly made.

150. Cover cost of verifying origin ( e.g., legal cover, document retrieval ).

151. Reimburse any third-party disbursement or default fee.

152. Provide my account statement free of fee for entire timeline.

153. Provide zero-interest payment plan if reinstated.

154. Provide retroactive forbearance credit if delay from Nelnet.

155. Provide clear yearly statements going forward at no charge.

156. Provide ongoing monitoring of credit report status.

157. Provide guarantee that future servicing will not breach my rights.

158. Supply written policy revisions and post them publicly.

159. Present independent third-party audit or oversight of this case if requested.

160. Produce a notarized affidavit from the employee who first opened the account file in 2009 ( or statement that no such employee exists ).

161. Provide chain-of-custody logs for any physical documents ( MPNs, signed forms ) that you claim prove origination.

162. Deliver a forensic image ( hash-signed ) of the database table row ( s ) that contain my account record as of each year-end 20092024.

163. Produce the schema definition for the account table ( s ) that store borrower identity and loan metadata.

164. Provide the DBA/DBMS logs showing the exact SQL operations that created or modified my account record.

165. Provide certificate-signed hashes ( SHA-256 ) of all produced native files so integrity can be independently verified.

166. Provide any OCR/scan-to-text output files for paper originals plus the raw scanned images.

167. Produce proof of chain verification for any digital signature applied to origination documents.

168. Produce records of any third-party identity verification vendor used ( contract + verification instance for my identity ).

169. Provide results of any fraud-analytics retrospective review run against my account ( false-positive/false-negative analysis ).

170. Provide the retention schedule applied to my origination documents and show whether any files were destroyed under that schedule.

171. Produce log of any document destruction events for records tied to my account, with authorized approver and method.

172. Provide the full version history ( diffs ) for any document that was modified ( eg MPN amendments ).

173. Produce timestamped audit trail of any manual redactions applied to documents produced in discovery.

174. Provide a legally-certified translation of any non-English material relied on in the origination process.

175. Produce the ID verification algorithm output ( proof tokens, vendor score, acceptance threshold ) used at origination.

176. Deliver the code snippet or query used to generate the account closed flag for my record, with comments.

177. Provide all business rules that map detection triggers to closure outcomes, with effective dates.

178. Produce copies of all training datasets used to train any ML model that flagged my account ( with sensitive PII redacted if necessary ).

179. Provide model drift analyses showing performance changes of closure models since XXXX. 


XXXX. Produce a signed certification from the Chief Data Officer that no backdoor overrides were used to force this closure.

181. Produce the full ticket history including internal severity codes, root cause analysis, and SLA timestamps for every support/ticket number related to my account.

182. Produce a list of all service desk approvers who authorized final closure, with their approval timestamps.

183. Provide the exact policy text that was presented to frontline staff when they executed the closure.

184. Produce a copy of any external legal demand, court order, or subpoena that referenced my account ( if any ).

185. Provide the raw logs of any automated remediation scripts executed against my account ( cron jobs, patches ).

186. Produce the last three change management approvals that touched compliance decision-making systems used in my case.

187. Provide the full PII access request log ( who requested access, justification, outcome ) for all access events for my file.

188. Produce the complete list of IP addresses that connected to my account within 30 days prior to closure and the geolocation mapping for each.

189. Provide forensic device identifiers ( device fingerprinting ) used to associate sessions to my account at time of alleged suspicious activity.

190. Produce all analytic dashboards and export data that displayed my accounts risk score on each relevant date.

191. Provide an independent third-party attestation that the closure workflow complied with your written procedures ( attestor name, scope ).

192. Produce all redaction keys used to anonymize any produced documents so we can verify redactions were not substantive.

193. Produce the auditable payroll/timecard records demonstrating how many hours staff spent investigating my case and the cost attributed.

194. Provide the chain of custody and transfer records for any funds held, including bank account, ACH file IDs, settlement files.

195. Produce audit logs of all exports of my data to any third party ( CSV/XML ) including recipient and purpose.

196. Provide any internal legal memos assessing whether closure of a political candidates account could trigger FEC or First Amendment issues.

197. Produce the list of all accounts that were closed the same day with the same reason code and the aggregate statistical justification.

198. Provide a statistical false-positive rate for the closure reason code as applied in the prior 24 months.

199. Produce a signed statement from the CEO or General Counsel certifying that the action was not based on political viewpoint.

200. Provide copies of all external communications to vendors about my account ( email chains, portal messages ).

201. Produce a formal root-cause analysis ( RCA ) for the closure decision with corrective action plan and responsible owners identified.

202. Provide the escalation log showing every internal stakeholder briefed ( names/dates ) with their responses.

203. Produce a redline history showing any policy text that was changed in response to past complaints about wrongful closures.

204. Provide a list of all users/agents who had the authority to reverse a closure and show whether any reversal was attempted for my account.

205. Produce confirmation of any hold placed on reporting to credit agencies during dispute and the start/end timestamps.

206. Provide evidence that no adverse inference was drawn from my public political activity ( emails, memos showing political neutrality review ).

207. Produce a list of every supervisory call ( recording or transcript ) where my case was discussed with senior management.

208. Provide a corrective action metric showing percentage reduction in wrongful closures over past 12 months and link to remediation.

209. Produce an offer to fund an independent audit by a mutually agreed firm ( with scope ) and agree to accept the auditors binding remediation recommendations.

Company response to consumer: Closed with explanation