Student loan -- Dealing with your lender or servicer -- Complaint #5157970
Complaint Overview
Complaint ID: 5157970
Company: Aes/Pheaa
Product: Student loan
Sub-Product: Federal student loan servicing
Issue: Dealing with your lender or servicer
Sub-Issue: Received bad information about your loan
State: South Carolina
ZIP Code: 29501
Date Received: 2022-01-27T12:00:00-05:00
Date Sent to Company: 2022-01-27T12:00:00-05:00
Company Response: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Submitted Via: Web
Consumer Narrative
About XXXX, my spouse and I were encouraged by our lenders to consolidate our Direct Loans into one large Joint Spousal Consolidation Loan. We were advised that our payments would go down as would our interest rate. We quickly found our payment increased and the interest rate went to 7.8 %. Our Loans then became XXXX Loans. As both of us are public servants, the MOMENT the Public Student Loan Forgiveness program began XXXX, we enrolled. At no time were we ever told we were not eligible for the program! We would faithfully resend out application every year because we were so afraid something would go wrong. we rarely received a response to our application and usually it was only a 'thank you we received you paperwork ' type of letter. Then in about XXXX, after faithfully paying for almost SIX YEARS, we were told we did not qualify for PSFL, as our loans are XXXXXXXX Loans and make us ineligible. At NO time were we ever told that we would not qualify for the program until then. We were crushed but continued to make timely payments to the exclusion of helping to pay for our childrens education ; forcing them to take out student loans of their own. We've prayed that something would change, and because we believed in the PSLF program, we both choose to stay in Public Service, forgoing other potentially more lucrative positions. In the last few years, we were advised by FedLoan to consolidate our XXXX Loan into a Direct Loan thereby making it PSLF eligible, but of course, our clock would reset to zero. Then we were told we could not do that because our Spousal Consolidation XXXX Loan makes us ineligible for Direct Loan consolidation so " Don't bother ''. Our loan debt is currently a crushing {$160000.00} with a monthly payment of about {$1500.00} ; which we over pay every month. We have always felt paying the loan principle was fair, but we can not ever rise above the capitalizing interest! In XXXX we owed {$150000.00} and today, in XXXX we owe {$160000.00}!!! We have trusted FedLoan and our many servicers to guide us but we have been given 22 YEARS of miss information every time we call. We trusted the Department of Education and FedLoan to honor the PSLF for EVERYONE who faithfully followed the rules, but we have been left behind yet again, unable to have our XXXX SPOUSAL Consolidation Loan forgiven even after 16 years of faithful payments and decades of public service. The XXXXL SPOUSAL Consolidation Loans must be PSLF eligible but we do understand this will take a bill to be passed. FedLoan has given us, and many, many other people wrong advice and we have all suffered for it. We would NEVER have considered Joint consolidation if it hadn't been suggested to us as a smart move by The Fedloan persons we spoke to.
Frequently Asked Questions
What is Complaint #5157970 about?
Complaint #5157970 was filed against Aes/Pheaa regarding Student loan specifically about Dealing with your lender or servicer. It was received by the CFPB on 2022-01-27T12:00:00-05:00.
How did Aes/Pheaa respond to this complaint?
The company responded with: "Closed with explanation". The response was timely.
What is the risk level of this complaint?
See the risk assessment section for details on this complaint's risk profile.
How do I file a similar complaint?
You can file a complaint with the CFPB at consumerfinance.gov/complaint. Select the appropriate product category (Student loan) and describe your issue in detail.
Can I see other complaints against Aes/Pheaa?
Yes, visit the Aes/Pheaa company profile at readthecomplaint.com/company/aes-pheaa to see all complaints, risk scores, and analysis.
Disclaimer
This analysis is AI-generated based on publicly available CFPB complaint data. It does not constitute financial or legal advice.