Higher Education Act and FTC 623

[MJPEREZ77]

Just trying to confirm if this information is accurate (I found it in this forum). As I have read here, under the Higher Education Act and FTC 623, any Lates being reported that took place in a time frame covered by a retroactive forbearance should be corrected by the lender who reported that information? Also, is it better to do an online dispute or fax dispute with the CRA's for this? Or should I contact the office of the Ombudsman?

 

Thanks!

[hodap2001]

No, that is incorrect. All federal loan servicers follow the Fair Credit Reporting Act and not the Federal Trade Commission; therefore, if you are late, you are late - it is at the discretion of the federal loan servicers if they wish to remove the negative credit reporting - there is nothing that will force them to remove it - the law is on their side.

 

I have heard that if you are late and you brought your account current or cured by a backdated deferment, they 'may' retract the negative credit reporting, but not with a forbearance.

 

Why were you late in the first place?