AES AMERICAN EDUCATION SERVICES FRAUDELENT BEHAVIOR HARRISBURG Pennsylvania

My complaint is against American Education Services (AES), who is a private student loan company. I first encountered AES when I was forced to get a loan through them in 2009 because this was the only loan company my medical school accepted. 

When I signed up for the AES loan, I was required to use my mother as co-signer.  At that time they did not clearly state that the loan would have a "variable interest rate", which is clearly a deceptive loan practices that prey on students.   

I am still appalled how the American government is allowing AES to use variable interest rates and pray on students who are trying to improve themselves educationally.  After going through all my forbearance options, I was forced to pay the extremely high monthly payments of 200$, which of course I paid with help of my mom.  In late 2014, I could not make any more payments, my mom had been diagnosed with breast cancer, it was a trying time for my family, both emotionally and economically.  I did not have the financial means to make any payments, my mom who was helping me before to make the monthly payments was now preparing to go through her breast cancer and treatments. 

I had to go back home to take care of my mom and family, but the AES did not care that my mom was sick, in their eyes, I had run out of forbearance options, so I was responsible.   I thought maybe if I can contact them and explain the situation, they can log it in their system, that I wasnot avoiding my responsibilities, I was just not able to make the payments.  But that of course, did not help.  Days of delinquency climbed from 60days to 90 days and now more than 120 days.  Now that I have a part-time job, I wanted to help reduce my monthly payments because, I dont think any human being can afford paying $535 monthly payments!! Furthermore, when I tried to remedy my past due amount, I explained I'm only working part-time but I want help in reducing my monthly payments so I can make payments, and they stated sure, we will remove your delinquent record if you pay $11,627 dollars.  WHAT?!?!?!  Thats just plain insanity, how is it possible that a company can demand that EXTREMELY high amount, knowing that you have no income, its EXTORTION!!!  

As for my mom, with all of her medical bills she accrued during her treatments and radiation, she could not help me financially.  I forgot to mention, that when they informed me of this payoff amount of $11,000+ to return my account to "up to date"  status, the company was calling every day, harassing me for payment at my house, even after I said to them several times that I did not have the income or money.  In the past year, they have even harassed my mom, who is the co-signer, by negatively affecting her credit, all of her creditworthyness is being removed.  What does that mean?  Well, that all of her credit cards are pulling out, removing her credit cards!!! Thats plain illegal practice and harrassment....its an injustice.  When I tried to figure out the interest rate, its quite unstable, I have no idea how AES comes with their extrement variable rates because my loan interest keeps accruingd.  How can a balance in 2014 climb from $1,528 to now $11,627.....do we, as consumers, have no rights to appeal this extortion!!!!!