Consumer complaint received 2025-11-09 00:00:00
Product: Student loan — Federal student loan servicing
Issue: Problem with a company's investigation into an existing problem — Their investigation did not fix an error on your report
Company: Nelnet, Inc.
State: NY

Complaint narrative:
This is my formal response to Nelnets continued actions following CFPB Case # XXXX. Their reply failed to address the specific legal violations outlined in my original notice and misrepresents my rights under federal law. 

1. Misinterpretation of my opt-out rights Nelnets response incorrectly claims that I may not opt out of having my private information reported. This is a misstatement of 15 U.S.C. 6802 ( b ). The term may provides consumers the option to exercise their right to opt out at any time. Nelnet has no authority to deny this right or to continue disclosing my non-public personal information after I have exercised it. 

2. Absence of permissible purpose Nelnet continues to furnish my private information to XXXX XXXX XXXX XXXX without my express written consent or permissible purpose, in direct violation of the Fair Credit Reporting Act, 15 U.S.C. 1681b. The company has not provided proof of my authorization or a valid legal basis for this disclosure.

3. Authorization granted only to the U.S. Department of Education The promissory note Nelnet attached ( page 17, Section 16 ) authorizes only the Department of Education ( ED ) not Nelnetto investigate my credit and report information to entities permitted by law. Nelnet has not provided evidence that this authorization was legally delegated to them or that they possess independent authority to furnish my account to the credit bureaus. 

4. Failure to provide required disclosures under the GrammLeachBliley Act ( GLBA ) Under 15 U.S.C. 68016802, financial institutions must provide clear and conspicuous notice of a consumers right to opt out before sharing any non-public personal information. I did not receive such disclosures, nor was I given an opportunity to opt out before Nelnet began reporting. This is a direct violation of federal law. 

5. Unauthorized use of my identity 18 U.S.C. 1028A By continuing to furnish my identifying information without lawful authority, Nelnet is knowingly transferring and using my identity in violation of federal law. Such actions constitute aggravated identity theft under 18 U.S.C. 1028A and represent willful misuse of personal information.

6. Civil liability for willful non-compliance 15 U.S.C. 1681n Nelnets continued reporting, despite my certified opt-out notice, constitutes willful non-compliance with the FCRA. Under 1681n, this subjects the company to statutory damages of up to {$1000.00} per violation, plus punitive damages and attorney fees. My complaint should therefore be considered for potential enforcement and referral. 

I have already sent a certified letter exercising my opt-out rights, which was delivered to Nelnet prior XXXX this complaint. Their refusal to honor it constitutes ongoing non-compliance. 

I respectfully ask the CFPB to review these violations, require Nelnet to cease unlawful reporting, and provide full documentation of their authority. 

Attachments : Nelnet response letter ( XX/XX/XXXX ) Direct Consolidation Loan Promissory Note ( XXXX ) Privacy Notice Certified Opt-Out Letter CFPB Closure Notice for Case # XXXX

Company response to consumer: Closed with explanation