Subscribe to our mailing list

X

Student Processing Center – Consumer Complaint – April 17, 2015

By on April 17, 2015

Consumer Statement:

Was sent a letter in the mail that said “Federal Student Loan Consolidation Notice”. I called the number (855)296-8133 on 03/16/15.

I spoke with a girl named “Kay Reang” of Student Processing Center. She mentioned that I would qualify for the Obama Student Loan Forgiveness Plan, and for my my full name and address. She also asked for my social security number. I gave pause and asked why it was necessary and she stated that it was to confirm my identity and for my forbearance request form. She then asked for my pin number to access my student loans. (I did not know it and she “guided” me through a process to retrieve it. I was clearly not aware that she must have been accessing my studentloans.gov account in a roundabout way.)

Upon reviewing whatever information she had at her disposal, she stated the exact amounts of my remaining student loans with their respective interest rates. She then asked for my Adjusted Gross Income in 2014, my marital status, if I claimed any dependents, and what type of consolidation I was interested in (faster repayment terms or reduction in monthly payments) and I replied the latter. She then proclaimed that Student Assist Plus could reduce my monthly payment to $220.76/month at 5.52% through the Department of Education’s Federal Programs via an ICR (Income Contingent Repayment) over 126 months.

I was so excited that my monthly payments were reduced by almost 40% so I said I was ready to consolidate. Kay mentioned that there was a “loan closing cost” of $699 that was broken up into a few payments, or that if I was willing to pay it all at once it would be reduced to $599. I chose the single payment option and charged it to my credit card.

She then transferred me to “Omar Salazar” of Student Processing Center, who asked me to agree by saying “YES” to numerous certain statements that he verbally read aloud to me. (basically stating that I agree with what Kay and Omar mentioned throughout the whole phone conversation. Unfortunately, I said yes to everything.

READ  Student Assist Plus / Student Loan Education Center - Consumer Complaint - May 28, 2015

Omar then said he would email me a forebearance document for me to hand sign and email back along with proof of income (pages 1 and 2 of my 1040 form). I sent these documents to them on 3/16/2015 . I also went to my bank on 03/16/2015 with the forebearance form to tell them to stop payment to my original loan servicer, Aspire Resources. Student Processing Center charged my credit card on 3/17/2015.

On Wed, 04/15/2015, I decided to activate my supposed “new” account with “Trans2pay LLC”. I received a letter from them a few weeks ago welcoming me with instructions on how to access my account. I logged on to their homepage, and immediately I had a gut feeling that I was scammed–their website was out of date (2012 watermark). I proceeded to try to email and call the contact info given on the site, and both are dummy accounts.

I then decided to google all the companies I had contact with and company information that they gave me: StudentProcessingCenter.com, StudentAssistPlus.com, trans2pay.com. All of the websites appear EXTREMELY fraudulent. I then looked up student loan scams and my experience matched 100% with several examples that were mentioned on sites.

I am currently in the process of working my original loan provided, Aspire Resources, to stop my forbearance request and reactivate my normal monthly scheduled payments.

I also called my bank and explained to them that the $599 payment was a fraudulent charge from a well-constructed scam and that I am strongly disputing it. They are currently investigating this bogus transaction.

Consumer Action Taken:

I have tried calling the parties from Student Processing Center to cancel their “alleged” services, but have received zero responses.

Date This Problem Happened: March 16, 2015

State You Live in: California

Race/Ethnicity: Alaska Native

Age Range: 21-35

Total Amount of Fee Paid: $599

Company Name: Student Processing Center

Company Address:

Company Telephone Number: 800-311-8569

Website of Company: studentprocessingcenter.com

READ  Student Assist Plus / TFSC - Consumer Complaint - February 12, 2015

If you feel you’ve been financially hurt by a debt relief company and deserve a refund, read these step-by-step instructions on how to proceed to attempt to get your money back.

If you do get your money back, come back and leave a comment about it. I’d love to praise companies that step-up and do the right thing for people.

Scam reports are submitted by consumers like you. If you would like to file a scam report, please click here.

If you are the company named in this report and you want to respond, please read How to Handle a Consumer Complaint Like a Pro And Come Out Smelling Like a Rose

About Consumer

This is information that was submitted by a third party and not generated by GetOutOfDebt.org or Steve Rhode.

3 Comments

  1. Jose Davila

    June 2, 2015 at 10:49 pm

    Same thing has happened to me. I just called my bank to dispute charges. I’ve been charged 599$ and two 29.99 payments. Unbelievable!!!! I will be in the bank first thing in the morning to close my bank account and open a new one. I called student assist plus and left a voice mail. Filled out a complaint in bbb website…. and will continue to post about it!!!!! I expect a phone call early in the morning from them and a full refund of the 5 transactions made!!

  2. Dean Ricafranca

    April 20, 2015 at 5:18 pm

    Student Processing Center called me back this morning and refunded my $599 in full.

  3. junglegene

    April 20, 2015 at 12:31 pm

    You can do everything that SPC was supposed to do for you at no charge. You can apply directly with the Department of Education to consolidate, choose a income-driven repayment program and new servicer. Or if you want to keep Aspire Resources as your service ask them which programs you qualify for that will make your monthly payment more affordable.

Share a Comment / Leave a Reply