Consumer complaint received 2024-01-04 00:00:00
Product: Student loan — Federal student loan servicing
Issue: Dealing with your lender or servicer — Trouble with how payments are being handled
Company: EdFinancial Services
State: DE

Complaint narrative:
On XX/XX/XXXX, I made a large overpayment of {$40000.00} on my ~ {$130000.00} student loan to EdFinancial. My remaining balance was ~ {$90000.00}. I called the Edfinancial on XX/XX/XXXX and requested that the payment of {$40000.00} be refunded to me. They honored my request and my Edfinancial account reflected this payment reversal within a few days. My loan amount went back up to {$130000.00}. However, I was not told when I would receive this refund back into my bank account. they did say it would come back to me in my original payment method ( in this case directly into my bank account ). I have periodically checked my account on Studentaid.gov and the loan amount there has remained at {$90000.00} despite that I am making payments on a {$130000.00} loan through Edfinancial. I waited patiently and contacted Edfinancial again on XX/XX/XXXX to let them know I had still not received my refund. I was then told that I should have received a check in the mail and was asked if I wanted to be issued another check. I said sure and told them that I was not aware that it was a live check and thought it was going to be put directly into my bank account. She said she would work on having them issue me another check. She said she would call me to tell me when they issued it again. I never received a call. I contacted them again on XX/XX/XXXX and was told again that the refund process was long and I just need to be patient. I contacted Edfinancial again on XX/XX/XXXX and was told that the refund would actually go into my bank account as this was my original form of payment and that I would not be receiving a check in the mail. this representative seemed helpful and stated that she would put an emergency request for my refund as it has been over XXXX months now. She said I should hear from them before the new year and will hopefully have my money back in the XXXX business days. I called again on XX/XX/XXXX asking if there was any update about my refund to which I was told that I needed to contact my schools financial aid department, even though I have been out of school for XXXX years and my loan is in repayment. this representative then told me I should wait to hear about my refund and that it is a very long process and I need to be patient. I spoke with someone again on XX/XX/XXXX and was also told that the emergency request was placed and I should hear something soon. I requested that Edfinancial update my loan information in the XXXX XXXX XXXX XXXX XXXX because the amount on their website is different than what is on StudentAid.gov. I explained that I need these amounts to match to submit to my employer. they submitted a request to have this information updated. I already spoke to StudentAid.gov and was told that this info can only be updated by my loan servicer, EdFinancial. I am very frustrated. I want my {$40000.00} refunded to me ASAP and I want the amount updated so that studentaid.gov has the correct loan data!! Please HELP!!!!

Company response to consumer: Closed with explanation