When a payment can't be made to your employee's verified loan, your employee will receive up to 3 system-generated emails over the course of a week asking them to update their loan info (this can be done in about 3 minutes online).
If they don't take action after a week, then our Peanut Butter Support will call the employee (leave a voicemail if there is no pickup), and email them a final notice. If we still don't hear back after a few days, we suspend the employee and return your company's money.
Practically speaking, this happens because we simply couldn't send your company's student loan contribution to a qualified loan, so we wanted to return it to you.
Technically speaking, your employee has violated the Terms of Use that they agreed to when they elected participation in the plan. Among other things, the Terms of Use require the employee keep their student loan information up-to-date in Peanut Butter. This stipulation in place to protect your company -- so that employees can't drag their feet and effectively hold your company's contributions in limbo. Can you imagine if an employee failed to respond to request for updated loan information for months...what if that was 1,000 employees?! If an employee choses not to update their loan information after a reasonable amount of notifications and time, they are suspended and Peanut Butter returns your company's contributions to you.
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