Consumer complaint received 2025-03-16 00:00:00
Product: Student loan — Private student loan
Issue: Dealing with your lender or servicer — Trouble with how payments are being handled
Company: EdFinancial Services
State: NV

Complaint narrative:
Dear EdFinancial Services Customer Resolutions Unit, & receivers, Thisemail serves as my **formal demand** for the **immediate discharge, termination & closure** of the loan agreement associated with **account number XXXX, as well as a **full refund** of all payments made toward this account. I may also report this matter to the **Federal Student Aid Ombudsman, CFPB XXXX and the IRS for potential tax evasion and fraudulent debt servicing practices and other relevant agencies. ** # # # **Legal Basis for Discharge, Refund, and Fraud Investigation** 1. **Your own financial records confirm that no interest has been collected or applied to this account**, as evidenced by the **2024 IRS Form 1098-E , which reports " {$0.00} '' in interest received**. This establishes that this debt was **never actively serviced, improperly maintained, and thus unenforceable. ** 2. **Under the Fair Debt Collection Practices Act ( FDCPA ) 15 U.S.C. 1692g, any attempt to collect a debt must be legally validated**. The absence of **interest accrual and proper servicing records** indicates that this debt has **not been legally maintained** and must be **voided immediately**.

3. **Federal student loan regulations ( 34 CFR 682.410 and 682.414 ) require complete and accurate servicing records. ** Your inability to validate proper servicing means that my payments were collected under **misrepresentation, error, or noncompliance**, entitling me to a **full refund**.

4. **Tax Evasion and False IRS Reporting** : The fact that EdFinancial **collected payments from me but reported {$0.00} in interest on IRS Form 1098-E** raises **serious tax fraud concerns**, potentially violating **26 U.S.C. 7201 ( Tax Evasion ) and 7206 ( False Statements to the IRS ) **. This warrants **immediate IRS investigation** into EdFinancial Services ' tax reporting and loan servicing practices.

5. **All funds collected on an unenforceable or improperly serviced loan must be returned under the Federal Trade Commission Act ( 15 U.S.C . 45 ) **, as the collection of payments without proper validation constitutes an **unfair and deceptive practice**. 

# # # **Immediate Actions Required** I hereby demand that the following actions be completed within XXXX days of receipt of this email** : 1. **Immediate Discharge and Closure : ** - You must mark this loan as **paid in full** and **immediately terminate the agreement**.

- The loan must be removed from any active collection status and reflect a zero balance.

2. **Refund of All Payments : ** - I demand a **full refund** of all payments I have made toward this loan.

- Please provide a detailed statement of the amounts paid and the method of refund.

3. **Official Confirmation : ** - You must provide written confirmation that this loan has been discharged, closed, and that my refund is being processed.

- This confirmation must include specific dates of actions taken.

# # # **Failure to Comply** If EdFinancial fails to comply within **15 days**, I will escalate this matter by : - Filing a **formal complaint** with the **Consumer Financial Protection Bureau ( CFPB ) ** for deceptive practices.

- Filing a **formal complaint** with the **Federal Student Aid ( FSA ) Ombudsman** for regulatory noncompliance.

- Filing an **IRS fraud investigation request** for **tax evasion and false reporting of student loan interest** by EdFinancial. 
- Exploring **legal action** to recover my payments and seek damages for unlawful collection practices. 

This email serves as a **final notice** before escalation. I expect **written confirmation** that my requests have been fulfilled. 

**Sincerely, ** XXXX XXXX XXXX XXXX XXXX XXXX  XXXX XXXX XX/XX/XXXX Disbursement {$3000.00} Show more information XX/XX/XXXX Disbursement {$1700.00} Show more information XX/XX/XXXX Disbursement {$3000.00} Show more information XX/XX/XXXX Disbursement {$1700.00} Yet I never received a dime from anything meaning somehow I funded this promissory note and the company made probably XXXX  per fractional reserve banking and never gave me closure at all.

Company response to consumer: Closed with explanation