Consumer complaint received 2025-02-11 00:00:00
Product: Student loan — Federal student loan servicing
Issue: Dealing with your lender or servicer — Problem with customer service
Company: EdFinancial Services
State: FL

Complaint narrative:
I am submitting this formal complaint against EdFinancial Services, the servicer of my federal student loans, for the unauthorized disclosure of my personal and financial data to XXXX XXXX and/or his affiliated entities. 

This disclosure occurred without my consent and constitutes a clear violation of multiple federal privacy laws, including The Privacy Act of 1974, The Family Educational Rights and Privacy Act ( FERPA ), The Gramm-Leach-Bliley Act ( GLBA ), and The Fair Credit Reporting Act ( FCRA ). I seek an investigation into this matter and corrective actions to be taken by EdFinancial Services. 
XXXX. FACTUAL BACKGROUND I am a borrower with EdFinancial Services, which is responsible for servicing my federal student loan account. 
I recently became aware, through [ news reports, public statements, or other sources ], that XXXX XXXX or his affiliated companies gained access to my personal student loan data. This access occurred without my knowledge or consent and without any prior notification or request from EdFinancial Services for my authorization. 
At no point did EdFinancial Services inform me of any agreement or authorization allowing XXXX XXXX or his entities to access or utilize my sensitive financial records. 

III. LEGAL VIOLATIONS The unauthorized disclosure of my personal financial data by EdFinancial Services to third parties violates several key federal laws, including : 1. The Privacy Act of 1974 ( 5 U.S.C. 552a ) This law restricts federal agencies and contractors from disclosing personal information without the individual 's consent. The release of my loan data to XXXX XXXX and his affiliates without my authorization is a direct violation of this statute. 

2. The Gramm-Leach-Bliley Act ( GLBA ) ( 15 U.S.C. 6801-6827 ) The GLBA mandates that financial institutions, including loan servicers like EdFinancial Services , protect borrowers private financial information. Disclosing my student loan records to unauthorized third parties is a clear violation of this law. 

3. The Family Educational Rights and Privacy Act ( FERPA ) ( 20 U.S.C. 1232g ) As my student loan data is considered an educational record, it is protected under FERPA. EdFinancial Services violated my rights under FERPA by disclosing my data without my consent. 

4. The Fair Credit Reporting Act ( FCRA ) ( 15 U.S.C. 1681 et seq. ) If my loan information was accessed by unauthorized parties and has led to changes in my credit or loan terms, this constitutes a violation of the FCRA. Loan servicers are obligated to protect consumers credit information from unauthorized access. 

IV. DAMAGES AND HARM CAUSED As a result of EdFinancial Services unlawful disclosure, I have suffered the following damages : Loss of privacy due to the unauthorized release of my sensitive student loan data. 
Risk of identity theft as my personal and financial information may have been misused by unauthorized third parties. 
Emotional distress and anxiety from the violation of my personal privacy and the uncertainty about what happened to my data. 
Potential financial harm if this disclosure resulted in altered loan terms or a negative impact on my credit report. 

V. DEMAND FOR RELIEF To address this matter, I request the following from EdFinancial Services and related parties : Immediate disclosure of the specific data that was disclosed, the timeline of access, and the identities of all third parties ( including XXXX XXXX and affiliated entities ) who gained access to my information. 
A formal revocation of access granted to XXXX XXXX and his affiliated entities, and a cessation of any further unauthorized access to my personal loan data. 
A thorough investigation by the Consumer Financial Protection Bureau ( CFPB ) into this unauthorized disclosure by EdFinancial Services. 
Monetary compensation for damages incurred, including emotional distress, loss of privacy, and potential financial harm. 
Corrective action, including a review of EdFinancial Services ' security protocols and their adherence to federal privacy laws, to ensure no further unauthorized disclosures occur. 

VI. CONCLUSION Failure to act upon this claim will result in my pursuing further legal action, including joining any class-action lawsuits or seeking additional remedies through the Federal Trade Commission ( FTC ) , the Department of Justice ( DOJ ) , and the Department of Education . 

I respectfully request a response to this complaint within 30 days of its receipt and an immediate investigation into this matter.

Company response to consumer: Closed with explanation