Consumer complaint received 2026-04-28 00:00:00
Product: Student loan — Federal student loan servicing
Issue: Struggling to repay your loan — Problem with forgiveness, cancellation, or discharge
Company: EdFinancial Services
State: CA

Complaint narrative:
Servicer : Edfinancial Borrower Defense Application # : XXXX Approval Letter Date : XX/XX/XXXX Class Member : Confirmed Sweet v. McMahon ( formerly Sweet v. Cardona ) Summary of the Issue I am a confirmed class member in the Sweet v. McMahon settlement. My Borrower Defense application was approved under the settlements special review process. My federal student loans associated with XXXX were fully discharged. However, I have not received the refund that the settlement requires, including the Treasury Offset that seized my entire tax refund for multiple years, and Edfinancial has repeatedly provided contradictory and false information. I am now past the settlement deadline for receiving full relief. What the Department of Education Promised Me ( From My Approval Letter ) My official approval letter dated XX/XX/XXXX states that the Department of Education : will provide a refund for any payments made to the Department of Education on your Relevant Federal Student Loans including Relevant Federal Student Loan debt that you previously paid off. This includes Treasury offsets. My loans were discharged, and I was told you do not have to take any further action to receive your discharge. The letter states that my servicer will notify me and issue the refund. Despite this, Edfinancial has not issued any refund and has repeatedly denied receiving documents or instructions that the Department clearly states were already sent. Payments That Must Be Refunded The Sweet settlement requires refunding all payments made on the discharged loans, including : Monthly payments Lumpsum payments Payments made before consolidation Payments made after consolidation Treasury Offset Program seizures My tax refunds were taken for over four years, including a full refund taken in XXXX. These offsets were for the same loans that were discharged under Sweet and must be refunded. Servicer Misconduct Edfinancial has : Provided contradictory explanations about my refund status Claimed they never received discharge or refund documents Told me my refund does not exist Ignored the Departments written instructions Failed to notify me of refund eligibility as required Failed to issue the refund despite the settlements mandatory deadlines This behavior violates the Sweet settlement, federal servicing standards, and the Departments explicit instructions. Harm Suffered I am past the settlement deadline for receiving my refund. I have been forced to spend months trying to correct Edfinancials misinformation. I have suffered financial harm because the Treasury Offset Program seized my tax refunds for multiple years. I have suffered emotional distress due to the servicers false statements and refusal to follow federal instructions. What I Am Requesting I am requesting that the CFPB : Compel Edfinancial to issue the full Sweet settlement refund, including all Treasury offsets and all payments made on the discharged loans. Require Edfinancial to correct their records to reflect my approved Sweet settlement status. Investigate Edfinancials contradictory and false statements, which have delayed my relief and violated the settlement terms. Ensure that the Department of Educations obligations under the Sweet settlement are fully carried out. Attachments I Can Provide Upon Request My official Sweet approval letter ( XX/XX/XXXX ) Chat transcripts showing Edfinancials contradictory statements Proof of Treasury Offset Program seizures Proof of loan discharge

Company response to consumer: Closed with explanation