Consumer complaint received 2025-02-22 00:00:00
Product: Student loan — Federal student loan servicing
Issue: Dealing with your lender or servicer — Received bad information about your loan
Company: Nelnet, Inc.
State: GA

Complaint narrative:
I am filing this formal complaint regarding a serious breach of my personal and financial information related to my federal student loans and the failure of the Department of Education ( DOE ) and Nelnet to protect my data adequately. I request an immediate investigation into the mishandling of my personal information and corrective action to ensure the security of my student loan records. 

XXXX. Details of the Data Breach & Exposure of My Information On XX/XX/year>, I became aware that my personal and financial information, including my student loan records, was compromised due to unauthorized access within the Department of Educations system. This breach exposed my personally identifiable information ( PII ), financial data, and loan details, violating my rights under : The Family Educational Rights and Privacy Act ( FERPA ) ( 20 U.S.C. 1232g, 34 CFR Part 99 ) Other applicable federal privacy laws This unauthorized access raises serious concerns regarding : 1. The security and integrity of the Department of Educations systems 2. Nelnets handling of borrower data The exposure of my data without my consent is a direct violation of federal regulations that require the safeguarding of student loan borrower information.

2. Insufficiencies & Failed Attempts to Resolve the Issue Following my discovery of the breach, I took the following steps to dispute my student loan and seek resolution : Filed a FERPA Complaint : I formally submitted a FERPA complaint to the U.S. Department of Educations Student Privacy Policy Office, requesting an investigation into the unauthorized access of my student loan records.

Submitted a Dispute via StudentAid.gov : I filed a student loan dispute with StudentAid.gov, citing the data breach as grounds for loan discharge. No resolution has been provided. 
Contacted Nelnet ( Loan Servicer ) : I submitted a formal dispute to Nelnet, requesting corrective action for the mishandling of my personal data. Nelnet has failed to provide an adequate response or address security concerns.

Requested Confirmation of Corrective Actions : I asked both DOE and Nelnet to confirm what steps have been taken to prevent further exposure of my data. Neither entity has provided a sufficient response or resolution.

Despite repeated attempts to resolve this issue, no corrective action has been taken, and my student loan remains active despite its compromised integrity due to the breach.

3. Request for Specific Action Given the severity of this data breach and its impact on my privacy and financial security, I formally request that the CFPB investigate this matter and take the following actions : 1. Conduct a full investigation into the Department of Education and Nelnets failure to protect my personal data and the unauthorized access to my student loan records.

2. Require the Department of Education and Nelnet to implement stronger data security measures to prevent future breaches and ensure the proper handling of borrower information. 
XXXX. Compel the Department of Education to disclose the full scope of the breach, including : How my information was accessed Who had access to my records What steps were taken to mitigate harm XXXX. Mandate corrective action for affected borrowers, including the cancellation and discharge of my student loan debt due to the unauthorized access, which has rendered my loan agreement invalid. 
XXXX. Ensure transparency and accountability, requiring DOE and Nelnet to provide clear notifications and remedies for all borrowers impacted by this data breach. 

This breach has compromised the integrity of my student loan agreement, and I should not be held financially responsible for a loan that was mishandled due to the negligence of the DOE and Nelnet in protecting borrower data. 

I trust that CFPB will take this matter seriously and ensure the necessary steps are taken to protect my personal information and prevent further violations. 

Please confirm receipt of this complaint and provide updates on the investigation and any corrective actions taken.

Company response to consumer: Closed with explanation