Help! Lender(s) trying to screw me by selling loans

[SimpleDentist]

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Folks,

Mighty grateful if anybody has any advise for me! Any ideas which goverment agency monitors the lenders and how to complain against them.

I consolidated my loan via theloanster.com. They sent my loan to ISM loans. The deal I got was that if I made 36 on time payments, I'd get a 2% interest rate reduction.

Now ISM sold my loan to AES, and in the process did NOT take out the July payment from my checking account (I had signed up for automatic debit). They also did not send me a monthly statement, so I did not realize this. I realized this 1 day after the due date (July 10th) and immediately sent in the check. Check was cashed on July 21st (within the 14days grace period I was told by ISM that I had).

However, AES (new lender) shows they July payment as not received and my account as Past Due / Delinquent.

This makes me very mad. Looks like they did this to specifically screw me from the 2% interest rate reduction!

Appreciate any advice.

 

[UserNameNeeded]

I don't know how to handle this, since I'm not in repayment, but I'm definitely in solidarity with you and hopefully someone will give you some helpful advice because I have a feeling these lenders are out to scam us as much as they can get away with-- and this is just another instance of that.

 

[Laker]

no advise other than to call and see if they can take care of you...

 

[AMDFAO]

www.ombudsman.ed.gov

The Department of Education has just such an entity which was put in place to help borrowers. I would do everything possible to get it straightened out yourself (call, letter to lender etc) and then give them a call. They will require all the info you have and an idea of what steps you have taken on your own to resolve the situation. You may wind up having to track it from the beginning and get information about the repayment incentive as well to provide to the Ombuds office since it would not be contained in the actual loan note.
I'm not totally positive that a new lender would have the same right as the old lender to draft a payment from your account. I would think they would require a new EFT agreement be signed.
Your lender would have been required to send you a notice that your loan had been sold and what you needed to do according to the terms of the loan note you signed (or contract). Please keep in mind that a lender is not legally required to send you a bill but you are legally required to make the payments and know when that is and act accordingly. Think of it like your rent: the contract says it's due on the first and your landlord never sends a bill but you are contractually obligated to pay by the "x" of the month. A mortgage works the same way, so does a car note.
I have a feeling you will not be the last borower facing this. Good luck.

 

[dragonfly99]

I recommend you make nice first. Send a letter to your new lender detailing what happened, and ask them if they will honor the deal you were supposed to get. Send a certified letter, and keep your own copy. Then call them/follow up. If they don't want to play ball, then I recommend the ombudsman, as recommended above.

Also, you could try the Better Business Bureau...if you report the company or ask about them, you might find out if they have a patter of shady behavior.

 

[MeBuckeye]

Yep, try to work with the new lender before you decide to contact the DOE.

 

[gal]

I am having problems with ISM selling my loans to AES too. AES is trying to say my interest rate is higher than it is suppose to be. I called and they said they would investigate it, but it had to be a problem with ISM records when they transferred them. I get the same story when I call ISM- it must be a problem with AES records. So frustrating... I am not sure who to contact to get this corrected if AES fails to do so. Any suggestions?

 

[DanaG]

I have the same problem. I called and was told ISM sent my payment information to AES late but my account was reinstated at the lower interest rate.

 

[masterofmonkeys]

try to make nice. And as soon as they start demurring, mention that you will get the govt involved. They will almost always back down.