Consumer complaint received 2017-01-30 00:00:00
Product: Student loan — Federal student loan servicing
Issue: Can't repay my loan — Can't decrease my monthly payments
Company: AES/PHEAA
State: NJ

Complaint narrative:
Once I completed XXXX in XX/XX/2015, I understood I would have to begin paying my student loans to FedLoan Servicing after 6 months. Though I was employed, I was n't able to pay what they were asking of me, which was over $ 1,000/month. Not to mention that I am a single homeowner with a mortgage and other financial obligations. There was no way I could afford this payment or even what was asked of me on an income-based repayment plan. For a while I decided to take a forbearance for a financial hardship, as explained to me as an option. This was honored, but as I 'm sure you are aware the interest that accrued on a daily basis was insane and added almost an additional {$10000.00} to the loan which was already over $ 100k ( this includes remaining loans from XXXX and my XXXX loans ). I always called the servicer and informed them of my issue, but each time there was nothing they could do. I suggested being able to pay at least {$100.00} to go towards the loan, but that was always unacceptable. I asked if they could consider if you have another major loan like a mortgage to help bring down the cost. The answer was always no. For any loan that I 've had ( car, mortgage, credit card, etc.. ) I 've always made my payments in full and on time and as proof my credit has remained in great standing. In the XXXX ( XX/XX/2016 ) I decided, after being advised to discontinue the forbearance, to go with the income-based repayment plan, which resulted in a monthly payment of over {$400.00}. I told them I still could n't afford this, but according to the representative I could pay what I could to avoid the continuous interest charges on a daily from the forbearance and they would n't report anything to the credit bureaus for 90 days. Well that was a lie because just recently I received a notice, better yet a threat, that they would either contact the credit bureaus, garnish my paycheck, or take my tax return if I did n't pay over {$600.00}. I would pay at least {$100.00} to ensure something was paid, but that apparently was n't good enough. I believed this was better than continuing a forbearance that would only lead me into further debt. I could see if I did n't pay anything, but my efforts went unrecognized. I feel like I was misled and now I 'm paying the price yet again for taking them up on their advice. My financial situation has n't changed and I refuse to lose my good creditworthiness, my home, or any other thing for a loan that I already advised time and time again I could n't pay. Unfortunately, I have n't received the big paying graduate level job yet, so until then I just want them to work with me because I take responsibility and ownership for my debts. I think it 's unfair that they wo n't let individuals pay what they can based on their individual situations without penalizing them for deciding to further their education. Something has got to give with these student loans. Please help me. I look forward to your response.

Company response to consumer: Closed with explanation