Ok, short story.

Could not afford payments on everything a while back and was validly late up to december. in january my forebearance took place for six months or until june 10. SLM is reporting lates during my forebearance period. First it was march and now they have changed it to febuary. Now I made payments from january through april on my student loans to make up for the past late payments. In may SLM and i reached a new agreement and in june the new agreement started and the forbearance ended.

i have disputed with the CRA's. It of course came back verified. I wrote SLM a letter and recieved a crappy letter back saying it was correct. I have sent them a ltter back saying that there should be NO lates reported while in forbearance and when payments were clearly made to them each month.

I have not been late since.

what I need to know is what is the concrete evidence that no lates are supposed to show in forbearance?

they can not be reporting correctly especially since they are changing months and payments were made.

So what is it that I need to be citing? Laws, case law, what specific rule?

I have used the search function but I do not see where the specific rule is stated.

Thanks for your help!

Need more info, specifically:

1) date forbearance was granted/processed/approved.

2) effective date (or "start date", can be before or after date for #1)

3) forbearance type: "Hardship", "Mandatory", "Administrative", "Low Payment Accommodation", etc. The Internal SLM forbearance code would tell me if you can get it...

4) Loan type(s) covered by forbearance. "Student loan" "Sallie Mae loan" or "college loan" is not what I'm looking for.

5) End date of forbearance. If you were delinquent, and the forbearance was for 6 months, and it was granted, it would have been backdated to start the day your payment was due, and would cover that payment and the 5 after it... at least that's how it's been done on every SLM loan file I've ever reviewed. Ex:

Payments due 10/1/06, 11/1/06, 12/1/06, and 1/1/07 were not made, and 6-month forbearance was approved 1/15/07 it would have been effective 10/1/06, ended 3/1/07, and next payment due on 4/1/07.

Last time you posted about this you said you were charged a $50 fee in January. That makes me think at least some are private loans. Where's your confirmation notice and what are the terms it states? Last time I read a SLM private loan contract, it had a $50 fee for processing a forbearance whether granted or not. It also defined default as failure to make any installment the day it was due, covered acceleration if you defaulted, and that any forbearance, mercy, or other non-enforcement by them doesn't constitute a waiver of their rights.

"They are breaking the laws mainly FCRA in reporting lates during forbearance. I was going to send them the docs proving that payments were made during forbearance and telling them that they need to remove all lates or I will sue them. Based on the FCRA, every month they knowingly report inaccurate info is worth $1000 to me. enough of this and they can pay off my loan when I sue."

FCRA doesn't have any provision about forbearance whatsoever. Common law often defines forbearance as "the act of a creditor who refrains from enforcing a debt when it falls due." In the context of student loans, forbearance generally means "a temporary reduction or postponement of payments...wherein interest continues to accrue". Neither definition supports the above paragraph you posted, IMO.

If your argument is that you paid as agreed, forbearance isn't an issue. In that context, assuming you agreed to pay $100 the 1st of each month and didn't pay 10/1/06, 11/1/06, 12/1/06 and then paid $100 on 1/1/07, it's fine for them to report you 90 days late on 1/2/07...

1) They claim (on statments, account payment history, and letter recieved last month) that the forbearance was processed on 01/27/2006

2.) The effective date should be the same as they show January as being paid as agreed.

3.) this should have been a "hardship" wich is what I applied for but I have a feeling they did administrative.

4.) this was a private loan they list as career training

5.) The end date was June 10 on which they acessed the capitilized interest

Stupidly, most of this was done over the phone. At the time I was trying to take care of this but now I realize that I should have written letters.

I did write them a letter in Sept. of 2005 telling them that I was being laid off and would not be able to make my payments and asking for a way to compromise. I suggested that I could pay $50 a month until I found a job. I was current at that time. They did not care about it since I was current. So I missed Oct, Nov, and Dec of 2005. After I was 90 days late that is when they finally would talk about forbearance or reduced payments. In Jan of 2006 I found a good paying job that would allow me to pay the current every month. I told them that my first check would not come until the end of Jan so they accepted 2 post dated checks from me. The first check was post dated on Jan 31, 2006 and the second was feb 15, 2006. They processed the forbearance and cashed the check on jan 31, 2006

Sorry hit the enter button before i was ready.

I recieved conformation of the forbearance on Jan 27, 2006

it states that my next payment due date was 02/09/2006 for $178. 21. They recievd my payment of $158.65 on jan 31, 2006 BEFORE the due date and then a second payment on 2/15/06 for 158.65 (these amounts were the monthly payment before the 178 payments and is what i was told to pay by their rep)

So on Jan 31 I recive a statement from them stating that the amount owed is $595. 51 and it does not acknowledge that the previous letter was sent.

On 02/08/06 they send a statment stating that they recieved my payment on jan 31 but that I am no past due 158.65 (how they came up with this I do not know) and that i owe total amount $336.86

On 2/10/ 06 I recieve a statment stating past due amount is 336.86 and total is now 515.07.

On 2/24/06 they acknowledge payment of $158. 65 state that my past due amount is $178.21 and total amount is 376.42

So to me this is like their statements do not even acknowledge that the Forbearance was in effect. since the first statment I recieve after the forbearance states that only 178 is owed before 02/09/06.

Further more my promissory note states that "If I request such forbearance and you grant it, I agree to pay a forbearance fee not to exceed $50.00" so the only way they could have charged the fee was to grant the forbearance. It also says that late payments will not be assesed a late charge or reported to the credit agency's until 15 days after the due date. None of these payments were made more than 15 days after the due date.

Plus I find that they claim I paid 147.34 in April but my bank statemtn says $157.34 so they did not even credit me the correct payment.

here is the forbearance doc that I signed, sent to me on jan 4, 2006 personal info removed


P.O. BOX 9500
WILKES BARRE, PA 18773-9500 (800) 559-3220 ext 8597

317-594-1069 Fax
856-642-5366 Fax
ANTHONY PROCTOR



E-mail Address:
Name:
City/State/Zip
Telephone – Home ____________________________

Telephone – Other _____________________________
Request for Forbearance Account Number:


If financial problems make repaying your education loans a financial hardship, we may be able to grant you temporary relief through forbearance. Your co-borrower(s) must also sign the agreement below.
Forbearance allows you to temporarily postpone your loan payments. Interest that accrues during the forbearance remains your responsibility. Unpaid interest may be capitalized (added to your loan principal).

A processing fee will be assessed on each loan for which the forbearance is granted. The fee is based on the length of the forbearance: $20.00 per loan for a 1-2 month forbearance or $50.00 per loan for 3-6 month forbearance. You can mail this fee along with your forbearance request form. If you do not pay this fee, it will be capitalized (added to your principal balance). Capitalizing the processing fee and interest increases the amount you will pay back, and may result in a higher payment amount after the forbearance.

In addition to the processing fee, you may have to submit a good faith payment. The good faith payment is also based on the length of the forbearance. A payment equaling one (1) regular monthly payment may be required for 1-3 month forbearance. A payment equaling two (2) regular monthly payments may be required for 4-6 month forbearance. The forbearance may not be processed until the payment is received.

IF YOU ARE PAST DUE ON YOUR PAYMENTS, IT IS ESPECIALLY IMPORTANT THAT YOU RETURN THIS FORM TO US IMMEDIATELY. Collection activities will continue against you until we have received and approved this form. Late notices will be sent and phone calls will be made.

Fax it to us at (317-594-1069). Call us at the number listed above if you have any questions. You can obtain information on the status of your account by calling our automated voice system or accessing our web site at www.salliemae.com. In checking your account status, allow time for us to receive and process your forbearance request form.
AGREEMENT
Although I intend to repay my loan(s), I am temporarily experiencing financial hardship and am unable to make the monthly payments due under my repayment schedule.

I request a forbearance of amounts due on my account for a ____ month period. In addition, I request that this forbearance cover any amount past due when my forbearance request is processed. My forbearance period may not exceed 6 months, or my remaining eligibility, whichever is less. I understand that my request is subject to approval. I understand that you may request a copy of my or my co-borrower’s credit bureau report to verify my or my co-borrower’s financial need for this forbearance.

I agree to the terms of this forbearance and to the capitalization of any unpaid processing fee and accrued interest. Except where provided in this agreement, all the terms of my promissory note will remain in effect.
List the detailed reason for requesting forbearance:
________________________________________________________________________________
____________
________________________________________________________________________________
____________
________________________________________________________________________________
____________

__________________________ _____________________________________________
Borrower Signature Date Social Security

__________________________ _______________________________
Co-borrower Signature Date



So by this I read that any past due amount should have been covered by the processing of this forbearance and my due date as according to them would have been 02/09/06.

they recieved a payment on jan 31 and on 2/15 so by them stating that all provisions on the promissory note are in effect, I should not have been noted as late and no late fees should have been assesed until after 2/24/06 therefore I was not late at any point with them nor should they be reporting me as late.

Oops....forgot the actual comment.

Assuming you and SLM are both right (been practicing this kind of question for the LSAT) my guess is:

The effective date was 10/9/05.

The retroactive end date was 1/9/06; you were granted 4 months of forbearance. You needed to make TWO (2) good-faith payments of 158.65 each, in JANUARY. The 2/8 notice correctly stated you were delinquent for 158.65 as of that date.

You also needed to pay 178.21 on 2/9/07.

You failed to pay the 178.21 on 2/9/06, and didn't really make the 2nd 158.65 until 2/15. Therefore, the notice dated 2/10 correctly stated you were past due for 336.86

The 2/24 notice reflects the 158.65 due in January that you paid on 2/15. It correctly reflected your failure to pay the $178.21 that was due on 2/9/07...

The cap of interest and fees in June was a result of your repayment plan change request submitted in May.

But it does not look like a forbearance at all. It looks like they just changed the terms of my loan and did not put it in forbearance. By their definition forbearance is supposed to suspend all payments, why on earth would they make my payments more, knowing I could not afford a bigger payment??? That was why I was applying for the forbearance. I think they just charged me a bunch of money and changed the terms but did not actually do a "forbearance".

Well, you had 158.65 due on all of the following dates: 10/9/05, 11/9/05, 12/9/05, and 1/9/06. That's 634.60 total. You paid them $317.30, late. Had they not granted you the forbearance, you would have had to pay ALL the payments that were due in that 4-month period to get current, not half of them.

I repeat: forbearance generally means "a temporary reduction or postponement of payments". That's exactly what you got.