Student Loan Nightmare

Why does interest relief have to be such a nightmare? You call and they "pre-qualify" you for interest relief. I gave them the same information that I filled out on the forms. They approved it then but when I apply I get denied because I make too much money. I know how much money I am allowed to make and was below that amount. When I called I wasn't allowed to discuss it with them and was told I had to appeal the decision. The last time I appealed it took five months and I didn't get the $1200 back. But I appealed the decision and over a month later have not heard anything.

Here's the problem... My loan is now behind. I was hoping they would be able to rectify the situation quickly but I guess that was asking for a bit much. So they are now destroying my credit rating. I just got a notice today that I owe them $1200 and am 3 months behind. Now in January I was on interest relief. Since the payments come out at the end of the month I should only be 2 months behind. Even being 2 months behind stresses me out.

Obviously since I am unemployed I can't afford to bring it up to date. Once again I am caught in a catch-22 situation. Right now I would qualify for interest relief but I would need to bring the loan up to date. If it goes to collections then I really won't qualify for interest relief. It's extremely frustrating because I know I should qualify for interest relief. So I am being penalized for their mistakes.

Why does it have to be such a nightmare to get the interest relief? I go through the same fight every single time I apply. And when I first apply it takes a month for them to make a decision. Last time it only took a week (maybe two) before the denial was reversed because when I called in they contacted the appeals department on my behalf. Too bad the interest relief only went through for a month since, for some reason, the bank is ahead of the national student loan center and I had used up my interest relief there. I was told the next time I applied I would be on extended interest relief with the bank. So I reapplied with basically the exact same information as was approved the month before and was denied again. This time it has been over a month and still no word at all, just 2 notices that I am behind. We're now halfway through the third month that I should be on interest relief so at this rate by the time they have it sorted out the interest relief will have run out and I'll be back to fighting them all over again.

I have no idea what to do at this point... I can't afford to pay it, and even if I could would not get the money back. I just want it resolved. Is that really so much to ask? Anyone got any recommendations?