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American Education Servicesmisappropriation of funds

I have been paying on my daughter's Keybank loan through AES since April 2004 through online banking using the same account number and address from the beginning; I have never changed it. I paid $20 over the payment amount in hopes of getting the loan paid off early and then start paying on her Federal loans, which were under forbearance. In July 2012 my daughter received a letter stating that payment to the Keybank loan was late. It was understandable because I has having some financial difficulty and did not authorize payment until later in the month. Then in August she received another letter stating that she was in arrears. She called AES to find out how that could be when we were paying extra and discovered that AES has been crediting her loan payments meant to go toward her Keybank loan to her federal loans since January 2011! When asked how this could have happened the representative got very belligerent. We also discovered that there are now 2 different account numbers, the one given to my daughter originally in order to make payments and a different one now printed on the letters from Keybank. I wrote a letter with a report of payments from my bank and the result was a letter from Keybank demanding that the loan be paid in full. My mother, who co-signed the Keybank loan for my daughter has been receiving phone calls about this matter and when she brings up the fact that AES credited the payments to the wrong loans the representatives get very nasty and demanding but refuses to give any helpful information. She also wrote them a letter asking how this error could have been made and where we were to send the payments in order to ensure that they would go toward the correct account, but so far neither she nor my daughter has received any helpful information. I finally, on my own, figured out where to make the payments (I make them online now) but it angers me that over $1000 was accredited to the wrong loans and AES refuses to make it right.

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