Fixed Student Loan Payment changed by new servicer

[cory1848]

My wife's student loan was transferred to a new servicer on March 1, 2013. The account was set up without issues and proceeded to make the first payment to the new servicer on time for the same amount that we had been paying since 2006. This is a fixed student loan so I am under the impression that the payment should not change for the life of the loan. She did file a couple of forbearance's years ago, cant remember when, but we were told that money would just be tacked onto the end of the loan. We were ok with that.

Today I log into her account to make the monthly payment and notice the payment has increased by $1.28. She called to find out why and was told that they reviewed the loan and in order to meet the time line of the loan, the increase was needed. I am scratching my head with this as I have never had a fixed loan that was agreed to by a contract changed mid point through the term.

Is this something that is standard in the industry? Can they do this? I would have assumed they would have to honor the terms of the loan they took over. The rep said they can do this since the loan was transferred and not sold. I am not really worried about $1.28 but this is more or a matter of principle and having terms of an agreement changed without any recourse.

Thoughts?

Thanks

[gml120]

This also happened to me. The new servicer claimed that the previous one "didn't calculate a forbearance right" Which means they didn't make the proper calculation when the loan was capitalized. I never got anywhere with fighting it though and the principal did increase, seems like private student loan transfer can follow the same rules as a refinance except the borrower is not the one taking the action - it just randomly gets transferred somewhere.