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Sallie Mae / Private Loan Forbearance

1 United States Review updated:

Last month, I requested a forbearance for my 3 private loans through Sallie Mae, in addition to my Stafford loan forbearance. I was told the $150 ($50 per loan) fee would be bucketed to my account and that my payments would resume in January 2009. It was a 3 month forbearance. The only reason I was requesting this was because my job downsized to part-time, and I am not making enough money to afford my daily medication or gas for my vehicle (i walk to work to save gas). I have been seeking another part-time job, in addition to looking for a full-time job.

Anyways, I was told this would be no problem, that the fee would be bucketed and that my payments would resume in January. Fine. I'll take what I can get. However, today, I received a call stating that I did not make a "good faith" payment, thus my forbearance has been canceled. But they are still going to tack on the $150. The good faith payment was to be equal to my monthly payment, as it was explained today. If I am paying a monthly payment, why would I need the $150 forbearance fee?

In addition, if you are NOT giving me a forbearance, you CANNOT charge me the fee. I argued that point with them, only to be hung up on by the female representative named Mia. I called back, and the male representative I talked to stated that I only owed $50, that only one loan forbearance was removed. How can that be, I asked, but he couldn't answer me. I asked to speak to a supervisor, but was told the problem would be forwarded, but he couldn't tell me when that supervisor would call me back. I told him that wasn't good enough and that I would keep calling until I spoke with a supervisor. After sitting on hold for over 5 minutes, a supervisor answers, and instead of listening to me, he kept interrupting and would even talk over me. I doubt he heard a word I said. I was so frustrated at him for talking over me, then talking down to me about how I am irresponsible in not paying the good faith payment (remember, the one that I just found out about today), that I eventually hung up.

I am wondering if there isn't another (good and honest) company out there that would consolidate my loans for me, just so I could get away from Sallie Mae. I am considering speaking with a lawyer about this because I don't believe they can charge me for a service that they failed to provide. Maybe a class action lawsuit will set them straight.

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Comments

  • Ge
      5th of Jan, 2009
    0 Votes

    Ugh this really disgusts me. Sallie Mae did THE SAME THING TO ME this past summer.

    I was 8 months pregnant, did not have a job, and knew that I was not going to be able to make payments much longer so I called in August 2008 and requested a forbearance for my 2 private loans and was told if I paid the $100 payment ($50/per loan) that I would be covered up until December 27th.

    Well September rolls around and it shows that I still owe a payment. I called and asked why my loans were not put into forbearance when I had paid their $100 fee to do so. The lady told me that the payment only brought me current on my account and my loans WERE NOT put into forbearance like they had told me they would. Then she instructed me to pay ANOTHER $100 to put them into the so-called forbearance that would not happen. There was no way I was going to give them $100 for absolutely nothing. My regular payments were not even $100.

    I really wish I would have not paid them the extra money. I always thought Sallie Mae was a respectable loan company and that is why I did not have a problem paying the initial $100 if it could have saved me from making a few payments until I got back on my feet. Obviously I was very wrong. I had no idea they did this to other people too but now it certainly does not surprise me.

  • Fr
      14th of Mar, 2009
    0 Votes

    I too thought Sallie Mae was respectable. I have my federal loans consolidated through them and have not had any problems thus far with my deferment. However, it is a totally different story with the private side of the business. Today I just learned they have new people handling the private side. I don't know when this change took place.

    Well hear is my story. I am the co-signer on my husband's private loan, and today I got a phone call from Sallie Mae saying his account is delinquent. We had been trying to get a forbearance due to unemployment since January and in February we thought we finally got one. To my surprise the last person we spoke to never processed the forbearance.

    FLASHBACK
    Now let me take you back to January. In January we sent the necessary paperwork to Sallie Mae and when my husband called them to make the $50 fee payment, they refused to accept his money. They told him that his private loan could not be put in forbearance. He told them he had it in forbearance before. The representative should have been able to check his account to see that he had a forbearance once before. So he got off the phone with this unknowledgeable person. Weeks later he talked to a representative who told him to re-fax the forbearance application. We did this and later called (now it is Feb). Prior to calling, my husband made a payment online because he knew that with their incompetence they would end up reporting a 30-day late payment on his credit report.

    Of course when we called in Feb we were put through the ringer once again, but this representative finally saw that he can get a forbearance. My husband asked if he needed to pay the $50 fee but the representative told him there was no need since he made a payment.

    PRESENT DAY
    Of course we learn today that the representative from Feb was not correct in telling us not to make the $50 payment. The supervisor I spoke to today told me to re-fax the forbearance forms (this will be the 3rd time). I went ahead and paid the $50 fee. Hopefully they apply the fee to the forbearance and not to the monthly payment. This could still not be over.

  • An
      24th of Mar, 2009
    0 Votes

    UPDATE:
    At the end of January, stuff finally gets sorted out (sort of), and apparently Sallie Mae mis-applied my payments for forbearance fees and instead of them paying the forbearance fees, they were credited as a payment, thus showing that I still owed a forbearance fee from 2006. Thus the reason my current forbearance could not be processed.

    So this is what happened. I set up a payment for my current forbearance with Mark from the Pennsylvania office. This is scheduled to come out of my checking account on Feb. 23, 2009. Instead it is processed on Jan. 23 & Jan. 26, 2009, neither clearing my checking account since I did not have that much money in there. On Jan 29, 2009, it was sent through again, clearing my account that day since I just got paid. However, it took money away from my rent, which put me in a bind. However, my landlord was cool about it, and told me to pay him with Sallie Mae's money that was suppose to be paid on Feb 23. I had also made my regular monthly payment this month on January 15, as the forbearance I requested in November was suppose to end in January.

    On Feb. 4, 2009, I receive a phone call from Heather in the Pennsylvania office, and she is Mark's supervisor. Apparently, I owed $91.66 from that "past forbearance" on which my payment was misapplied. She said that my current forbearance (which was "only bring my account current") would be canceled if I did not pay the $91.66. So I set up a payment with her for Feb. 15, 2009, to pay that fee in full. I was also going to have to pay my monthly payment that month.

    Feb. 15 comes, payment is made, go online to pay my regular monthly payment, and lo and behold, it says my payment is not due until Mar 22, 2009! So I call Sallie Mae. Again, my $91.66 was misapplied, so instead of paying the forbearance off, it was credited to my account. Explained to them what happened, they said they would research it. A week later, I noticed that the forbearance fee has been lowered to $83 and some change. Again, I call back, explaining what happened. Again, "we will research this." Another week goes by- online now says I only owe $50. Again, call back, same answer.

    March monthly payment rolls around, and I make it, but again, nothing has been applied to that $50. I figured they would cover their fees first before applying any payment to the balance, but I am pretty sure they purposely do not apply it towards forbearance fees just to prevent you from ever taking out another forbearance.

  • As
      1st of Apr, 2009
    0 Votes

    Get over it sallie mae has most the government in its pocket and not enough people in high up positions care.

    Under Bush they took away consumer basic protection rights and Obama isn't going to fix it.

    Sallie Mae is nothing but lying crooks who get away with predatory lending with a slap on their wrists and guess what NO ONE CARES...and nothings going to change.

    GG ruin the future government^^

  • Os
      26th of Apr, 2009
    0 Votes

    FIRST OF ALL, NEVER COMPARED STUDEN FEDERAL LOANS WITH STUDENT PRIVATE LOANS BECAUSE STUDENT PRIVATE LOANS ARE NOT BACKED UP BY THE TAWPAYER'S MONEY OR BY THE GOVERNMENT OR EVEN B Y THE DEPT OF EDUCATION. I ALREADY CALLED THE DEPT OF EDUCATION AND ONE CUSTOMER REP INFORMED ME THAT THE DEPT OF EDUCATION DOES NOT HANDLE ANY TYPE OF STUDENT PRIVATE LOANS OR EVEN PARTICIPATED IN THE DEBT COLLECTIONG TACTICS. REMEMBER, A STUDENT PRIVATE LOAN IS TERMINED BY YOUR CREDIT SCORE OR BY SOME CASES A CO-SIGNER IF NEEDED IF YOUR CREDIT SCORE IS NOT SO GOOD. SO IN OTHER WORDS, THESE PRIVATE LOANS ARE JUST LIKE ANY OTHER CONSUMER LOANS BECAUSE IT REQUIRES A CREDIT CHECK AND ADDITION TO THESE PRIVATE LOANS, THEY ARE DISGUISED TO BE LIKE THE STUDENT FEDERAL LOANS TO TRICK PEOPLE THAT THERE IS NO WAY OUT. BUT THE ONLY THING THESE PRIVATE LOANS HAVE IN COMMON WITH THE FEDERAL LOANS THAT BOTH ARE HARD TO FILE IN BANKRUPTY UNLESS YOU CAN PROVE TO THE COURT THAT IT WOULD CREAT A ECONOMIC HARDSHIP BY VARIOUS REASONS WHETHER BY ILLNESS, DISABILITY, NO WAY YOUR INCOME WILL INCREASE BY THE NEXT YEARS, ETC. BUT HERE IS THE BEST PART THAT MANY PEOPLE DON'T KNOW. STUDENT PRIVATE LOANS HAVE STATUE OF LIMITATIONS AND DEPENDING ON THE STATE YOU LIVE IN, THEY CAN SUE YOU DEPENDING THE LAWS OF YOUR STATE, THAT WHY SALLIEMAE KNOW THIS AND CONSTANTLY HARRASSES YOU WITH LETTER AND PHONE CALLS AND INTIMIDATING COMMENTS AND THE FRAUD THEY COMMIT. GO TO THIS SITE, I RECOMMEND IT. ALSO VISIT TO THE FEDERAL TRADE COMISSION WEBSITE, GO VISIT YOUR LOCAL COURT HOUSE AND GET WELL INFORMED, AND FINE A LAWYER WHO DEALS CONSUMERS LOANS ON YOUR STATE • Calling toll free 888-FDCPA-LAW (888-332-7252) ALSO VISIT THIS WEBSITE http://www.studentloanborrowerassistance.org/collections/lawsuits/
    AND THE BEST PART CONTACT THE DEPT OF EDUCATION. SALLIEMAE DOES NOT WANT THE PUBLIC TO KNOW THAT WE HAVE RIGHTS AND THAT WHY THEY GET SO DESPERATE TO FIND US. ALSO REMEMBER SOCIAL SECURITY CANNOT E GARNISHED BECUASE BECAUSE YOU OWE A PRIVATE STUDENT LOAN, UNLESS IF IT IS A FEDERAL STUDEN LOANS, SOCIAL SECURITY BENEFITS CAN BE GARNNISHED WITH THE NEED TO SUE YOU, HELLO THE GOVERNMENT HAS THE TOOLS TO DO SO OR UNLESS YOU CAN PROVE TO THE COURT THAT YOUR SITUATION AND HAVING YOUR SOCIAL SECURITY CHECK GARNISHED WOULD CREAT AN ORDEAL. ALSO ANOTHER FACTOR, IS YOU DON'T ANY ASSETS LIKE LOTS OF MONEY IN THE BANK, CARS, LOTS OF VALUALBE PROPERTIES, GUESS WHAT, DEBT COLLECTORS IS GONNA HAVE A HARD TIME COLLECTING FROM YOU. REMEMBER THERE IS A STATUE OF LIMITATIONS FOR THEM TO COLLECT AND DEBT COLLECTORS WILL DO ANYTHING TO COLLECT BY GOING THROUH YOUR CREDIT REPORT AND RUIN IT, CALL YOU LIKE 10 TIMES PER DAY AND EVEN AT YOUR WORKPLACE TO EMBARRASS YOU, SEND YOU FRIGHTENED DUNNING LETTERS, AND OF COURSE MOST OF THE TIME LIE TO YOU.

  • Ew
      14th of Feb, 2011
    0 Votes

    I was told on the phone I have to pay $266.00/ monthly at 9% interest that never can change. I asked for a lower monthly payment because I only have a part-time job and looking for a full time. I have a car note and insurance. I also have a federal loan payment of 200/ monthly. Sallie Mae told me to go get another part time job and they can't make any modifications. I only make 8 dollars/ hour, 3 times a week. I need help!!!

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