Consumer complaint received 2024-05-01 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: NY

Complaint narrative:
Thousands of students were scammed by Navient into taking out predatory private loans to attend for profit online schools such as the one I attended, the now defunct XXXX XXXX XXXX XXXX XXXX. 

I know your office is being bombarded with claims against my and many other schools who were a part of the landmark XXXXXXXX XXXX XXXX XXXX XXXX XXXXXXXX. Indeed, I'm using a template provided by an organization trying to assist former students of these schools to help them file claims against Navient and others. 

I was able to file a Borrower Defense claim with the Dept. of Education against The XXXX XXXX XXXX XXXX XXXX My Borrower Defense Claim was also part of the XXXX XXXX XXXXXXXX settlement for which I was a full class member and received both loan discharge and a refund of a portion of what I repaid. 

I am aware that Navient was sued by 39 state AGs regarding their predatory loans to attend these online for-profit schools and that Sallie Mae/Navient were a " preferred '' lending company in a " deal '' with these schools during the early XXXX XXXX. These private loans with a high risk of default were part of a package deal offered to " for profit online schools ''. But loans made to students in states outside of the agreement, or those who were not in default for 7 months or more during a " specific '' time frame, were excluded. Unfortunately, I was not in default at the time of that lawsuit. Through the generosity of my spouse, family, and a small inheritance from a grandfather who passed, I was actually able to stay on top of my loan payments and eventually paid them off 13 years after graduating. Not in the field that I went to the school for, as those jobs we were made golden promises about did not exist. 

I am sure this was a big win for Navient, but what a sham of a settlement deal for the rest of borrowers scammed into taking loans to at least 150 for profit online schools. After the AG settlement, didn't Navient also get out of the Federal student loan business due to scrutiny from lawmakers and borrower advocates? Didn't Navient have to pay restitution to the Federal student loan borrowers for not informing students of IDR/IBR payments students could have enrolled in, but instead steered toward forbearance? Furthermore, hasn't Navient been sued at least a half dozen times for other predatory loan practices and illegal collection practices? 

I am also aware of a " pilot '' program by which Navient is sending out " applications '' to select students who may have filed Borrower Defense claims against their schools and were approved. This application is a sham. Why do we need to prove anything? Navient knows who we are. Under the FTC " Holder Rule '' Navient is liable for giving predatory loans in connection with online for-profit schools. 

Given the vast history of Navient 's malfeasance and given the outcomes of XXXX XXXX  XXXX, I think it is only right that Navient, in addition to discharging outstanding loans from predatory lending, should follow suit of the Department of Education and give refunds to those students who made payments.

Company response to consumer: Closed with explanation