DOE Student Loan claims I am 120 days late Billpay proves otherwise

[fixitmister]

I was looking into a consolidation loan at my CU and the guy told me I show 120 days late on my CR which is ironic since my monthly payments are automatically drawn from my CU checking account and he was staring right at the trail of on-time payments. I'd actually, in December, gotten a demand letter from Direct Loans (the education loan folks at Department of Education) saying I'd continually failed to make payments -- I contacted them via secure message to their web site on 1/8 and got a reply three days later saying they had high volume and would get back to me as soon as possible which they never did. I figured it was a fluke since when I log in my balance shows as not late. So now I am getting ready to dispute but wondering if my consolidation loan gets turned down can I sue for damage to my CR and denial of loan?

Edited February 8, 2013 by fixitmister

[stroked89coupe]

Ehhh..... You might want to have deep pockets for a move like that.

 

 

First, If you were never late, I would contact someone at the loan dept to find out what is going on. It may be something they can take care of right away, and possibly get it fixed. If thats the case you can always re apply for the loan or ask for special reconsideration since your credit report has changed so close to the application.

 

 

I would give them a call so they have a chance to correct before talking legal.

Edited February 8, 2013 by stroked89coupe

[SomeGuyInCA]

You need to call them. Your credit rating is worth a lot more than a misguided attempt to dislodge some money from them. Are you sure you don't have more than one loan out there? i ask because student loans are often convoluted and goofy, and sometimes you can have more than one that is in repayment at the same time. You may unknowingly be paying less than the amount due, not paying on a loan that is due, etc.

 

Again, call them. You are getting close to being declared in default, and you will find yourself at the end of an administrative wage garnishment or worse if that happens.

[stroked89coupe]

You need to call them. Your credit rating is worth a lot more than a misguided attempt to dislodge some money from them. Are you sure you don't have more than one loan out there? i ask because student loans are often convoluted and goofy, and sometimes you can have more than one that is in repayment at the same time. You may unknowingly be paying less than the amount due, not paying on a loan that is due, etc.

 

Again, call them. You are getting close to being declared in default, and you will find yourself at the end of an administrative wage garnishment or worse if that happens.

 

 

+100 120 days late is the largest past due the CRA have the ability to report and like mentioned above, It's probably getting close to moving on to the next step.

[ICANHASMUNY?]

print out copies of your bill pay and bank account ,

 

or ask the bank manager for a tranactional history account with the lender.

 

send it attached to a dispute letter to the CRA's and the lender.

 

ask the lender " who's account are you crediting with my payments, as I have provided proof from my bank that you have been accepting my payments"

 

file a complaint with the CFPB over student loans and against the CRA's also if this doesn't clear it up.

[fixitmister]

Thanks for all the advice: The DOE reports that they had a system "glitch" -- when they transferred the loan obligations to another debt company called ed financial services the system sent my money to the new creditor but did not notify the DOE system to stop billing me. As a result, the DOE system was showing my account as being unpaid.

 

No apologies and they say it will take 60 days to do "clearance" and correct what they admit was their error. Excuse me - a "system error." In the meantime, my CU loan was declined because of this "glitch." I had asked the supervisor at the DOE to send me a letter indicating error immediately and he said they do not do that.

 

Anyone else affected by this "glitch?"

[ICANHASMUNY?]

file a complaint with the CFPB. under the student loan complaint form.....

 

http://www.consumerfinance.gov/complaint/

 

 

what's so interesting is that the CFPB just issued a new rule to all the mortgage lenders telling them to make sure there are no " glitches" when transferring the mortgage to servicers......

 

maybe they need to send one off to the DOE?