Alum Financial, LLC CFPB Complaints

2000 Latest Complaints

Date Received	Timely Response	Product	Issue	State / Zip	Submitted Via	Tags
07/26/2021	No	Debt collection Private student loan debt	Took or threatened to take negative or legal action Threatened or suggested your credit would be damaged	NJ 08527	Web
Victim Location XXXX Type of a scam Government Agency Imposter FRAUD NEVERRRR do business they will convince you in all these good long term benefits that arent true.. I received emails and phone calls from multiple people in this office stating that they are company through the Department of education and I may qualify for a Loan forgiveness program well long story short I received multiple emails from fed loan servicing stating that I have suspicious activity on my account that It looks like you are going through a 3rd party company that will over charge you fees when you can go on our website and do it free. I called XXXX XXXX XXXX where my student loans were through at the time i told them exactly what happened they told me that this company is not affiliated with the US department of Education the rep i spoke to told me to dispute all charges with this company that my bill with them is not due until XX/XX/2022 and that i should not be paying a 3rd party company I disputed all charges with my bank.. So when i called called Alum XXXX told me that fed loan is lying!! XXXX is trying to convince me that is I pay them {$150.00} a month for 5 months my interest rate with my student loan I wouldn't have to pay back at the end that i only have to pay the actual loan. I asked rep where is my money going are they going towards my shes states the money goes to the services what were rendered to you that it does not go towards my student loans. I told them I want to cancel my policy because the information your telling isn not making any sense to me after our phone call I received several emails stating if I cancel that i would have to pay {$1200.00} upfront and if I dont pay that they will damage my credit and garnish my wages. SO I called XXXX XXXX XXXX back telling this information they are investigating this i have case numbers and people who I spoke to. My concern is that these people have my personal information which I did not get any of that over the phone they had all my information before they emailed me. I have all proof also when you look up this company on XXXX it states that this site may be HACKED!! Everything about them is MISLEADING and trying to steal your money.. I dont want nothing to with them and I dont want them ruining my credit..
07/08/2021	No	Student loan Private student loan	Getting a loan Fraudulent loan	NJ 08527	Web
To whom it may concern, I was contacted by this company that they were affiliated with the department of the education the were stating how i was qualified for this loan forgiveness program that ill have a 0 interest rate if I join them. and they said I had to pay them {$150.00} for 5 months then all my student loans will be XXXX for 2 years well my student loans were already {$0.00} until XX/XX/XXXX before this company even contacted me and i told them that and thats when they were bribing me about the 0 interest rate as per XXXX the rep there. they got all my information from my student aid account they wrongfully changed my password and fed ID to Federal aid account. I got several emails from my Federal student Aid that there is suspicious activity on my account so I call them and asked they said did you change your password I said no I didn't then I asked the rep about this company that reached out to me they stated that Alum Financial is not affiliated with the department of education and they suggested to change any financial information they may have. There has been a lot of scamming with the federal loans and i know for a fact im a VICTIM. The rep told me from Federal student aid said its been alot of it going around. so after i called I immediately called them and asked them where my money is going if im supposed to be paying for loans through XXXX XXXX the lady XXXX told me it goes to there services they rendered my issue is with this is that you can consolidate your own loans for free on the DEPT OF EDU website I spoke to two different people from this Fraudulent company that i want to cancel whatever you have I want you to delete all my information from your data base they REFUSED to do any of that instead they were threatening me saying that they will take legal action that they will destroy my credit and garnish my wages so i called Dept of EDU to complain and they told me they cant send you to collections if were your loan server not them i canceled on XX/XX/XXXX with XXXX XXXX from Alum and they still harass me and threatening me demanding money till this day..
06/09/2021	No	Student loan Federal student loan servicing	Dealing with your lender or servicer Received bad information about your loan	CO 80304	Web
Alum Financial XXXX XXXX XXXX XXXX XXXX XXXX XXXX CA XXXX Email : XXXX \| Phone : ( XXXX ) XXXX Contacted me about loan forgiveness through the XXXX XXXX XXXX loan forgiveness program. They accurately told me my loan information unprompted and represented themselves as a company representing the United states department of education. They told me that after 8-9 months of payments ( {$150.00} ) under their loan forgiveness program in coordination with the department of education that nearly all or all of my federal loans would be forgiven. Because they had my information it seemed as though it was legitimate and they said it is first come first serve so it must be done promptly. They rushed me through the sign up process and began a consolidation on my loan ( XX/XX/XXXX ). After I got off the phone, it began to seem it was too good to be true. I looked at the contract and indeed there was no mention of loan forgiveness after 8-9 months. They are a company not affiliated with the Dept. of Education. The information was very deceiving and designed to rush me through the process. I found others online sharing the same story who ended up saddled with fees associated with the company that ended in no loan forgiveness as far back as XXXX. So it was not a time-sensitive matter that needed to be addressed immediately. I promptly contacted my loan provider and Dept. of education. It seems it is basically a scam to rope you into services. The next day ( XX/XX/XXXX ) I contacted XXXX XXXX XXXX and cancelled the consolidation that Alum Financial had already submitted. I then contacted Alum Financial who tried to convince me that I still should use their services. I declined and said I want to cancel my contract that rushed me through the process. They threatened that I would still be obligated to make the payments I agreed to and if I did not they would send me to collections. No money has been exchanged, no services were provided. Their practices are predatory and not at all clear and apparent.
06/17/2021	No	Student loan Private student loan	Getting a loan Fraudulent loan	AR 726XX	Web	Older American
On XX/XX/2021, I opened an e-mail from an unsolicited source named Alum Financial XXXX XXXX XXXX XXXX XXXX, XXXX XXXX, CA XXXX - ( XXXX ) XXXX. The representative gained access to my FSA ID without my knowledge or consent. The FSA ID was altered without my consent. I received subsequent notifications to that effect. I was informed by said representative that by submitting application fees to process my account for student loan forgiveness in the amount of {$120.00} for a period of 10 months, after successfully completing the period, my loan would then possibly be discharged upon review. In fact, Alum Financial is not on the official list of authorized institutions that are, in fact, authorized to act in accordance with the Federal Department of Education. Alum Financial is further not authorized to act as a legal agent to discharge a debt on their behalf. I was encouraged to use 'XXXX ' to complete the application. Everything about the transaction was timestamped. Only after having signed the contract, did I begin the review of the details. A cursory review of the company revealed the likelihood that a scam was undertaken. As it happens, it is illegal to charge for filing application fees for student loan debt relief. It is illegal to gain access to anyone 's FSA ID without their knowledge. I contacted my bank to alert the fraudulent activity and requested a chargeback for the initial fee in the amount of {$120.00}. I then contacted Alum Financial earlier this day ( XXXX XX/XX/2021 ) to inform the company of my actions and to request the cancelation of services forthwith. It is my understanding that legal contracts can be voided within three business days with little or no adverse consequence. In summary, Alum Financial is not unique as a predatory market entity. They abound across the Nation. Alum Financial needs to be placed on the extant list of companies that are banned from their engagement in the Student Loan Servicing industry.
05/27/2021	No	Student loan Federal student loan servicing	Dealing with your lender or servicer Received bad information about your loan	NJ 08527	Web
To whom is may concern I was scammed through this company called Alum Financial they contacted me via email and phone stated they are a 3rd party company through the department of education they were telling me information that I would be eligible for a loan forgiveness program well long story short after speaking with this company, I received several emails from my service lender Federal Student Aid stating that i have suspicious activity on my student loan account. That my FED ID and password was changed without my consent. I called them immediately what happened they stated that this said company is not associated with the Department of Education that its a 3rd party company that trying to steal my money. I have been seeing it all over the internet with these companies. So i called Alum Financial telling them that I want to cancel all services with you they demanded money upfront for there services they rendered I stated what service did you render instead of misleading information. They have been harassing me nonstop threatening me that they will ruin my credit and garnish my wages if I dont pay them. I called XXXX XXXX services I asked them again why am i paying this company the lady on the phone stated that I Pay fed loan not them my loan is through them not this company XXXX XXXX stated that these companies have been reaching out to people to file paper work to get them In these programs but you can do this for free through there website. The money I would have been paying these people will not be going to my student loans that they take my money for there such business. I have proof of every person I have spoken to from all parties case numbers emails phone calls ECT. So I asked fed loan what to do they stated to reach out to file a complaint change all my banking info that they may have to take money. Also when you look up them on XXXX they have all terrible review how there fraud and also states the site may be hacked.
06/24/2021	No	Debt collection Federal student loan debt	Took or threatened to take negative or legal action Threatened or suggested your credit would be damaged	NV 89119	Web
I was called by Alum Financial a loan consolidation company that acts as a servicer for student loans as well. They told me I was approved for loan forgiveness of {$6000.00} on my consolidated loans from XXXX down to XXXX if I started making monthly payments of {$150.00}. I made a total of four payments to them none of which were reported to the Federal Student Aid or my appointed servicer XXXX ( whom of which I just found out is my official servicer appointed to my by the FSA ). It still showed my total amount owed before I started making payments as still the same. I asked them where my money is going and they sent me a receipt for my payments while avoiding two of my questions. I contacted the Federal Student Aid as well as XXXX both whom which told me they had never heard of Alum Financial. I was also told by both companies to contact my bank and stop all payments to them. So I stopped making payments. I recently received an email from Alum Financial that stated this could damage my credit and and garnish my wages if I did not update my bank information. After contacting them about this matter they said my loan would be paid off after completing the XXXX payments I owe them. They threaten late fees and fines for missed payment and was told by the FSA that no official servicer would ever charge fees of fines. I don't feel comfortable sending them anymore money and I would prefer to work with my servicer that works with the Federal Student Aid office.
07/14/2022	No	Student loan Federal student loan servicing	Dealing with your lender or servicer Don't agree with the fees charged	OR 97203	Web	Servicemember
Alum Financial scams people with student loans by representing they provide services that will result in either loan forgiveness or forbearance. I have a loan with XXXX that was suspended during the Covid pandemic. Somehow Alum Financial started charging me a monthly without my knowledge. The company either fraudulently obtained my loan information or misrepresented who they were. In no case did I hire them knowing who they were or what they did. The company was the subject of federal class action suit for these practices. I plan to participate in the class action suit or undertake a small claims court case here in Oregon. The company scammed me out of {$1300.00} over a 9 month period. All one has to do is XXXX their name to find numerous complaints similar to mine. I found no one who believed this company acted in good faith. My XXXX is in XXXX XXXX and I can attest to the fact that this company exists for the sole purpose of preying on students with loans they either can't afford to pay or simply want financial relief. In my case the company did not pay XXXX cent toward my loan and did absolutely nothing to earn the money they extracted from me. - XXXX XXXX XXXX, XXXX XXXXXXXX
01/18/2022	No	Student loan Private student loan	Dealing with your lender or servicer Trouble with how payments are being handled	MS 39047	Postal mail

09/23/2021	No	Student loan Federal student loan servicing	Dealing with your lender or servicer Trouble with how payments are being handled	TX 77489	Phone	Older American

09/01/2021	No	Student loan Federal student loan servicing	Dealing with your lender or servicer Don't agree with the fees charged	GA 30189	Phone

08/25/2021	No	Student loan Federal student loan servicing	Dealing with your lender or servicer Received bad information about your loan	FL 32780	Phone

08/12/2021	No	Student loan Federal student loan servicing	Dealing with your lender or servicer Received bad information about your loan	CO 80203	Web

07/12/2021	No	Student loan Federal student loan servicing	Dealing with your lender or servicer Trouble with how payments are being handled	NJ 08854	Phone

05/12/2021	No	Student loan Federal student loan servicing	Dealing with your lender or servicer Trouble with how payments are being handled	PA 19123	Phone

05/03/2021	No	Student loan Federal student loan servicing	Dealing with your lender or servicer Received bad information about your loan	NY 11104	Phone