Consumer complaint received 2026-03-04 00:00:00
Product: Debt collection — I do not know
Issue: Took or threatened to take negative or legal action — Sued you in a state where you do not live or did not sign for the debt
Company: FirstKey Holdings, LLC
State: NY

Complaint narrative:
I am submitting this feedback in response to the companys explanation regarding the private student loan originally issued by XXXX and later sold to Towd Point Master Funding Trust XXXX and serviced by XXXX XXXX . After carefully reviewing the documents provided, including the promissory note and the sale/assignment letter dated XX/XX/year>, I do not agree that the company has fully addressed the concerns raised in my complaint. First, the company states that documentation has been provided showing that I was the student and primary borrower attending XXXX XXXX XXXX, and that the co-signer was XXXX XXXX. They reference the loan being sold by XXXX in XXXX and attach a copy of the sale letter. The sale letter confirms that the loan was transferred on XX/XX/year> to Towd Point Master Funding Trust XXXX and that XXXX XXXX remained the servicer XXXXXXXX XXXX XXXX . While the sale letter confirms transfer of servicing and ownership, it does not independently validate the origination of the loan or establish that all contractual, disclosure, and compliance requirements were properly met at origination. Regarding the promissory note provided, the document appears to be a XXXX XXXX and XXXX Loan application and Master Student Loan Promissory Note. It includes borrower and co-signer signature fields and standard language regarding repayment, arbitration, and variable interest rate terms XXXX, XXXX. However, several important issues remain unresolved : Proof of Disbursement The promissory note is a contractual document, but it does not independently prove that funds were actually disbursed in the amounts claimed. I am requesting proof of : Exact disbursement amounts Dates of each disbursement Method of disbursement ( EFT, check, etc. ) Confirmation that funds were applied to tuition or educational expenses School certification records confirming enrollment at time of each disbursement While the note references school certification language XXXX, XXXX, I have not received actual disbursement records or transaction-level documentation confirming the amounts funded. Chain of Custody and Ownership Although the sale letter confirms assignment to Towd Point Master Funding Trust XXXX XXXX XXXX XXXXXXXX, I am requesting : The complete chain of assignment from XXXX to the trust Documentation of transfer of rights under UCC Article 9 Confirmation that the trust legally holds enforceable rights to the instrument Documentation that the promissory note was properly endorsed and transferred A general notice of sale does not fully establish enforceability without documentation showing proper negotiation and transfer of the instrument. Interest Rate and Variable Rate Calculations The promissory note specifies a variable interest rate tied to the Prime Rate and a defined margin XXXX, XXXX. I am requesting : Historical rate adjustment records Documentation showing the index used at each adjustment Calculation worksheets for accrued interest Confirmation that rate changes complied with contractual terms Because variable rate loans can significantly increase balances over time, I need verification that all rate adjustments were calculated accurately and in compliance with the note. Payment History and Accounting I am requesting a complete payment ledger from loan inception through present, including : Date and amount of each payment received Application of payments ( principal vs. interest vs. fees ) Late fees assessed Any capitalized interest Date of any default declaration Internal collection notes The promissory note includes detailed default provisions and late payment consequences XXXX, XXXX, but I have not received documentation demonstrating how these provisions were applied to my account. Default Status and Reporting If the loan has been reported negatively, I request : Date of first delinquency Date of default Documentation showing compliance with notice requirements prior to acceleration Confirmation that credit reporting complies with the Fair Credit Reporting Act Arbitration and Enforcement Clauses The promissory note includes a mandatory arbitration provision XXXX, XXXX. If the company intends to rely on this clause, I request confirmation that : Proper disclosures were provided at origination Any right to opt out was disclosed and preserved The arbitration clause remains enforceable after assignment Co-Signer Obligations The document includes extensive co-signer liability disclosures XXXX, XXXX. I request confirmation that : All co-signer notices required by federal and state law were provided Any release provisions ( if applicable ) were evaluated No improper collection attempts were made outside contractual authority School Certification The application references school certification requirements XXXX, XXXX. I am requesting : The actual school certification forms submitted Verification that enrollment status matched the loan period Confirmation that loan amounts did not exceed cost of attendance Privacy and Data Sharing The sale letter includes a privacy notice describing information sharing by Towd Point Master Funding Trust XXXX XXXXXXXX XXXX XXXXXXXX. I request confirmation that : Data was transferred in compliance with GLBA No unauthorized third-party disclosures occurred All servicing transfers complied with RESPA and applicable federal servicing transfer rules Adequacy of the Companys Response The companys response largely reiterates that I was the student and primary borrower and that the loan was transferred. However, it does not provide : Detailed accounting records Evidence of proper origination compliance Full documentation supporting enforceability Evidence of proper servicing conduct A promissory note and a sale letter alone do not resolve concerns regarding calculation accuracy, compliance, or enforceability. My Position I am not refusing responsibility for legitimate obligations. However, I am requesting full transparency, documentation, and compliance verification. The burden rests with the lender and current holder to demonstrate : Proper origination Proper disbursement Proper calculation of interest Proper servicing Proper assignment Proper credit reporting Until complete documentation is provided, I can not conclude that the matter has been fully resolved. Requested Action I respectfully request that the CFPB require the company to provide : Complete disbursement records Full payment history ledger Detailed interest calculation history Chain-of-assignment documentation Proof of enforceable ownership rights Documentation of default notices ( if applicable ) Confirmation of FCRA compliance in credit reporting Conclusion The company has provided partial documentation, but the explanation does not fully address the concerns raised. I am requesting a more detailed and comprehensive response supported by transaction-level documentation and assignment records. Until such documentation is produced, I do not consider the matter fully resolved. I appreciate the CFPBs assistance in ensuring transparency, documentation, and compliance with federal consumer protection laws.

Company response to consumer: Closed with explanation