Consumer complaint received 2025-03-13 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Improper use of your report — Reporting company used your report improperly
Company: EdFinancial Services
State: MD

Complaint narrative:
I am writing to formally file a complaint regarding a serious privacy breach involving my federal student loan information. It has been widely reported that XXXX XXXX, through a commission called the Department of Government Efficiency ( DOGE ), gained unauthorized access to the U.S. Department of Educations student loan database. This database contains the personal data of over XXXX XXXX borrowers, including highly sensitive details such as Social Security numbers, marital status, and income information. I never gave consent for my private information to be shared outside the normal operations of my loan servicing, and this infiltration of my data by an outside party constitutes a grave violation of my privacy rights. 

This incident appears to violate federal privacy laws and data protection standards. In fact, U.S. Senators have raised concerns that the Education Departments cooperation with DOGE may violate the Privacy Act, which generally prohibits disclosure of personal information without consent. The Privacy Act of 1974 ( 5 U.S.C. 552a ) requires federal agencies to safeguard personal data, a duty that seems to have been breached in this case. Additionally, the Family Educational Rights and Privacy Act ( FERPA ) protects student education records, and allowing an unaffiliated individual to access loan records likely runs afoul of FERPAs protections. A federal judge has already intervened in a related instance, blocking DOGEs access to other agencies data due to the risk of leaks or cyberattacks, and noted that the arrangement was likely illegal. These facts underscore that the handling of my student loan information was improper, unlawful, and done without my permission.

As a direct result of this breach, I am deeply concerned about the security and integrity of my student loan account and personal financial information. Knowing that unvetted individuals ( reportedly including very young engineers with ties to XXXX XXXX companies ) might have viewed and handled my data is extremely distressing. I am worried about the potential for identity theft, fraud, or misuse of my personal details now that my Social Security number and financial data may have been exposed. This situation has caused me significant anxiety and loss of trust in the Department of Education and its loan servicers ability to protect sensitive borrower information. 

Furthermore, this breach calls into question the validity and fairness of my student loan obligations moving forward. When I took out these loans, I did so under the expectation that my data would be safeguarded and used only for legitimate purposes related to my education financing. That understanding has been shattered in essence, the government failed to uphold its end of the agreement by not protecting my information. I fear that the mismanagement of my records could lead to errors in my loan account or negative marks on my credit report through no fault of my own. For example, any unauthorized access or alteration might affect the balance, status, or reporting of my loans, which could damage my creditworthiness. Even if no immediate errors are evident, the mere fact that my data was handled improperly has forced me to monitor my credit and accounts vigilantly, adding financial stress and burden on me. 

I am not alone in feeling harmed by this incident. Many fellow borrowers have already filed formal complaints or XXXX claims with the Department of Education, seeking remedies such as student loan discharge or forgiveness in light of this breach. The widespread reaction highlights how severe and far-reaching the impact of this privacy violation has been on those of us whose data was exposed. Like them, I feel that my personal information was mishandled in a way that undermines the legitimacy of my debt and our trust in the student loan system. 

In summary, my personal and financial information tied to my student loans was accessed without authorization, constituting a serious privacy infringement that has left me vulnerable and distressed. This data breach has directly impacted my confidence in the student loan system and raised legitimate concerns about the handling of my debt. I am seeking the CFPBs support to resolve this issue by holding the responsible parties accountable and providing appropriate relief for the damage caused.

Company response to consumer: Closed with explanation