Consumer complaint received 2026-03-30 00:00:00
Product: Student loan — Federal student loan servicing
Issue: Struggling to repay your loan — Problem with forgiveness, cancellation, or discharge
Company: Central Research Inc
State: FL

Complaint narrative:
To Whom It May Concern, XXXX XXXX dollars. I am writing to formally dispute the student loan account listed above and request its immediate removal from my credit report. This debt is associated with XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX, an institution that permanently closed on XX/XX/XXXX, following documented systemic financial fraud and a total loss of federal Title IV eligibility. The inclusion of this debt on my credit profile is inaccurate and predatory based on the following federal findings and institutional failures : 1. Proven Misappropriation of Federal Funds In XX/XX/XXXX, the U.S. Department of Education ( ED ) fined XXXX & XXXX {$4.00} XXXX and cut off all Title IV aid. The EDs investigation found that the university " illegally took more financial aid than it was due '' and " misused Title IV funds to the detriment of its students. '' Specifically, the school failed to refund over {$750000.00} in aid directly owed to students, choosing instead to use those funds to cover unauthorized operational expenses. XXXX. Breach of Fiduciary Duty and Institutional Collapse According to ED Enforcement records ( Case XXXX ), XXXX & XXXX committed " severe breaches of its fiduciary duty. '' The school failed to pay employee salaries, was evicted from its headquarters for non-payment of rent, and ultimately filed for XXXX XXXX Bankruptcy in early XXXX. As a student, I was a victim of an institution that was operationally insolvent and legally barred from providing the education for which these loans were originated. 3. Eligibility for Closed School Discharge Under 34 CFR 685.214, borrowers are entitled to a 100 % discharge of their federal student loans if the school closes while they are enrolled or within 180 days of their withdrawal. Given that XXXX & XXXX officially closed on XX/XX/XXXX, and its accreditation was resigned on XX/XX/XXXX, this debt should have been automatically discharged by the Department of Education. Requested Action : I request that you investigate these facts and immediately delete this trade line from my credit report. Keeping this " zombie debt '' on my profile from a fraudulent, bankrupt, and closed institution is a violation of the Fair Credit Reporting Act ( FCRA ), as the information is neither accurate nor verifiable. Attached, please find the Department of Educations XXXX enforcement letters regarding XXXX XXXX XXXX XXXX XXXX financial collapse as evidence of these claims. Sincerely, at Central Research , Inc. ( CRI ) is doing to me : Despite being notified of the school 's closure and the federal findings of fraud, CRI has failed to : Acknowledge my eligibility for a Closed School Discharge : Per 34 CFR 685.214, I am entitled to a full discharge of these loans because the school closed while I was enrolled or shortly after my withdrawal. Cease Inaccurate Credit Reporting : CRI continues to report this debt to the major credit bureaus. Under the Fair Credit Reporting Act ( FCRA ), they are reporting information that is neither accurate nor verifiable, as the underlying educational contract was breached by the institution 's criminal financial mismanagement. Halt Collection Efforts : CRI is continuing to demand payment on a loan for an education that was interrupted and ultimately devalued by the schools loss of accreditation and subsequent bankruptcy. Actions Taken : I have attempted to resolve this with CRI directly, but they have not updated my account status or initiated the mandatory discharge process. This " zombie debt '' is causing severe damage to my credit score and financial well-being

Company response to consumer: Closed with explanation