Consumer complaint received 2025-06-12 00:00:00
Product: Student loan — Private student loan
Issue: Struggling to repay your loan — Can't temporarily delay making payments
Company: AES/PHEAA
State: CA

Complaint narrative:
VIA ELECTRONIC MAIL ONLY & Time-Urgent XX/XX/year> XXXX XXXX XXXX XXXX XXXX XXXX XXXX American Education Services ( PHEAA ) XXXX XXXX XXXX XXXX XXXX, PA XXXX XXXX : Immediate Application of Natural Disaster Forbearance NCT and XXXX Private XXXX Loans Dear XXXX XXXX : I am writing to formally request immediate application of a Natural Disaster Forbearance on my private student loans currently serviced by American Education Services , specifically under lenders National Collegiate Trust XXXX XXXX ) and XXXX. 

Due to the recently declared state of emergency & recent disasters in California, which includes a significant XXXX and declared Extreme Drought, both my residence and my employment has been directly and materially impacted. The nature of my current position requires consistent water access, which has been disrupted due to conservation mandates and infrastructure instability following the earthquake. As a result, I am temporarily unable to earn income and meet my loan obligations. Furthermore, a prior Natural Disaster Forbearance ( XXXX  Wildfires & Straight Line Winds and XXXX XXXX, respectively ) was only applied to my loans for a period of XXXX  days, when it should have been applied for 90 days through XX/XX/year>. Further, this most recent request was improperly denied as it was processed as an extension of a previous forbearance -- not a NEW disaster, ( beginning and affected XX/XX/XXXX & XX/XX/year>, respectively ) which this request must be re-processed for immediately. 

Regrettably, due to the ongoing and severe nature of multiple natural disasters and related disaster activity in California, I have required assistance and continue to require assistance ensuring both my solvency and personal safety during these ongoing and exceedingly difficult & dangerous times. While I understand that these are private student loans, I am asserting my right to XXXX XXXX Forbearance relief as provided under the terms of lender and servicer policy guidelines. PHEAA has historically recognized natural disaster forbearance even on private loan products when borrowers are affected by declared disasters, and such relief is consistent with industry standards and borrower protections. I hereby request that the XXXX Natural Disaster Forbearance be applied immediately, without penalty or interest capitalization during this period. 

As this new, separate request was now made and promised to be honored via telephone with AES representatives ( XXXX, Employee ID XXXX ) over XXXX ( XXXX ) business days ago to date ( and re-processed today verbally via phone, XX/XX/year> ), if this request is not promptly honored, I will proceed with filing formal grievances with the following entities : XXXX. Consumer Financial Protection Bureau ( CFPB ) My assigned XXXX XXXX is XXXX XXXX XXXX, with whom I will further engage should this matter not be resolved no later than Friday, XX/XX/year>. 

XXXX. Federal Trade Commission ( FTC ) For deceptive or unfair servicing practices and refusal to offer contractually available relief. 

XXXX. California  Attorney Generals Public Inquiry Unit Under XXXX  consumer protection laws ( including Cal. Civ. Code 1788 et seq. ), which apply to loan servicing and forbearance conduct. 

XXXX. XXXX Department of Education Office of Federal Student Aid ( FSA ) For servicer conduct violations involving borrower communication and hardship forbearance administration, even where private loans intersect with federal oversight under past programs. 

I sincerely hope further formal escalation is unnecessary and that your office will exercise due discretion in extending this critical relief. Please confirm application of the Natural Disaster Forbearance to my student loans within XXXX ( XXXX ) business days of receipt of this letter. 

Thank you for your time and anticipated cooperation in resolving this time-urgent matter today -- XX/XX/year>. 

Sincerely, XXXX XXXX XXXX XXXX XXXX | M.

Company response to consumer: Closed with non-monetary relief