WTF Goverment.......

2

Replies

  • TylerJ76
    TylerJ76 Posts: 4,375 Member
    Run a credit check on yourself to find out who you owe money to.

    Here I thought this was going to be something about "how great Canada is"
  • It is very common for large loans to be sold to different lenders. It is the norm for mortgages -- you may get a mortgage through one company and then they immediately sell it to another.

    Make your payments as scheduled and it will be fine. Lenders do this all the time. You will be notified shortly that your loan was sold, and the new servicer will send you new payment information.

    This. My mortgage has been sold 3 times in the last 10 years. When they want their money, they'll know how to get in touch.
  • bcf7683
    bcf7683 Posts: 1,653 Member
    It is very common for large loans to be sold to different lenders. It is the norm for mortgages -- you may get a mortgage through one company and then they immediately sell it to another.

    Make your payments as scheduled and it will be fine. Lenders do this all the time. You will be notified shortly that your loan was sold, and the new servicer will send you new payment information.


    Can't make any payments until they "locate" my loan. Irritating.


    But I'm glad (not "happy" glad, more "relieved" glad) to see that I'm not the only one who's getting the spiky end of the stick from the good 'ol US of A.
  • Rum_Runner
    Rum_Runner Posts: 617 Member
    Why are you freaking out.... keep records that you tried to notify someone and go on with your day. If/when this loan shows up - then pay it. If there are late fees promptly call and explain that you should not be charged said late fees b/c you tried to make a payment and was notfied your loan had been sold. Not your problem. If it hits your credit - fax a copy of your notes and efforts to pay the loan ontime and they will have to fix it.

    Take that money and go shopping!! Problem solved!!

    Not your problem? Go shopping? Are you freakin' kidding me?

    Don't listen to this. Stay on top of it because trying to clean up your credit after something like this is a nightmare.

    Damn people :grumble:

    Again - KEEP RECORDS OF EVERYTHING!!! Did no one read that part?? If its out in cyber space nothing can be done about it right this moment. It will eventually turn up and the clean kept records will ensure the loan provider and/or the credit bureau does not penalize for any potential late fees or incured interest.

    Welcome to the government.... don't freak out about something you have little control over. Do what you can to keep you're *kitten* straight.
  • bcf7683
    bcf7683 Posts: 1,653 Member
    Yup. They sold my loans off to Mohela who increased my monthly rates AND interest. And there's nothing I could do about it. And they didn't let me know they had moved my loans. So the account I had tied to the loans -- the money wasn't being taken out. Well it's not an account I normally use. I just throw some money in there every so often and never look at it otherwise. So when they bought out my loan to Mohela, I ended up not paying for two months before I caught it. Yeah, that sucked. I had to pay 2 months back loan stuff, late fees, etc to get caught up.

    F'n nightmare. I hate them.

    I actually asked about my interest rate going up and my payments changing... I was TOLD that nothing would change. So hopefully I don't end up going through the mess you encountered when someone decides to find my loan. Did you try maintaining the rates you had before the switch by calling customer service, etc.?

    Yup. Got told there was nothing that could be done. So they're getting more money out of me in the long run. 2$ per month in payment and .25% over the life of the loan.

    Wow. :noway:
  • fbmandy55
    fbmandy55 Posts: 5,263 Member
    Credit Bureaus are a sham also. We are trying to buy a house and the only thing I have stopping me is a $500 collection to a bank. I didn't even know this existed until I tried to open a bank account and they wouldn't let me. I called the bank and since it was from 2006, I was 18, it had been written off as a loss. They have no record of ME or anything I owed. They have no info the the $500 bill. I call the collection agency and they can't find me by SSN or DOB. No record of me. They did find me by name and explained that someone else's SSN number is tied to that collection. The only thing that I share with the other person on that collection is a former address of a place I lived for 3 months. Of course they ask ME to pay it.


    So now I am stuck, the credit company won't remove it, the bank has written it off and it is stuck on my report unless I pay it. In the meantime, can't open a checking account OR get our home loan. :explode:
  • Adw7677
    Adw7677 Posts: 201 Member
    Not only does the Government sell your loans, but Sallie Mae will probably sell it, and it'll probably get sold 2-3 more times before you pay it off. Lenders make more money off selling loans than they make off what you pay them.

    And $30,000 isn't much. It seems like a lot to you, but most people I know have over $50k in loans and haven't even graduated yet. Just set aside the money for when your payment is due. The notice is probably in the mail. It was probably just bad timing, that it got sold right at the time your payment was due, so now you have to wait a few days for the transfer to complete.
  • corn63
    corn63 Posts: 1,580 Member
    Yup. They sold my loans off to Mohela who increased my monthly rates AND interest. And there's nothing I could do about it. And they didn't let me know they had moved my loans. So the account I had tied to the loans -- the money wasn't being taken out. Well it's not an account I normally use. I just throw some money in there every so often and never look at it otherwise. So when they bought out my loan to Mohela, I ended up not paying for two months before I caught it. Yeah, that sucked. I had to pay 2 months back loan stuff, late fees, etc to get caught up.

    F'n nightmare. I hate them.

    I actually asked about my interest rate going up and my payments changing... I was TOLD that nothing would change. So hopefully I don't end up going through the mess you encountered when someone decides to find my loan. Did you try maintaining the rates you had before the switch by calling customer service, etc.?

    Yup. Got told there was nothing that could be done. So they're getting more money out of me in the long run. 2$ per month in payment and .25% over the life of the loan.

    Wow. :noway:

    Yup. Woo student loan repayment!! :drinker:
  • bcf7683
    bcf7683 Posts: 1,653 Member


    Buy a house, under 3% interest, buy a car, under 1%, try and get your smarts on... 6.75%

    I know, right? :grumble:
  • sondrawolfe
    sondrawolfe Posts: 30 Member
    Mine has been sold twice. Both times took a month or two to get notice from new lender. Did not get late fee or penalty either time. As someone else already said, run a credit check. www.creditkarma.com and www.creditsesame.com are both great free sites to keep track of credit numbers and accounts. https://www.annualcreditreport.com/cra/index.jsp Is the free site to get all of your credit reports, but the new lender may not be listed yet.
  • professorRAT
    professorRAT Posts: 690 Member
    It is very common for large loans to be sold to different lenders. It is the norm for mortgages -- you may get a mortgage through one company and then they immediately sell it to another.

    Make your payments as scheduled and it will be fine. Lenders do this all the time. You will be notified shortly that your loan was sold, and the new servicer will send you new payment information.

    This. My mortgage has been sold 3 times in the last 10 years. When they want their money, they'll know how to get in touch.

    Yep. Get used to it, it happens all the time. It won't change the terms of your loan, just who you send the payment to. I think my mortgage has been sold 4-5 times in the last 10 years. It was sold the first time less than a month after I obtained it.
  • I can understand your concern about this. It probably will take Sallie Mae some time to create a new loan record and post the transfer. I would suggest checking back with them once a week until they can confirm the transfer and payment schedule.
  • Rivers2k
    Rivers2k Posts: 380 Member
    Sadly this is becoming old news to me. I pay my wife's loans and her loans have been "sold" 15 times in 3 years.

    They are not actually sold they are just being handled by a different vendor. The debt is still owned by the feds. Vendors bid on handling federal government loans. Every time my wife's loans go to a new vendor we are notified by mail before the next due date. i would check with salie mae make sure they have your correct mailing address if not notices are going to the wrong address. Also ask them who made the last payment that will tell you who is handling your loan now.
  • zyxst
    zyxst Posts: 9,149 Member
    Government loves to do that. Sell your loan to someone, never tell you, your payments keep getting taken (YOU don't know your loan got sold) and cashed, then months down the line you get a little notice demanding payment in full and/or go to prison.

    At least you can check on your payment/loan status. I can't since I don't live in the U.S. (hurray for Canadian zip codes).
  • melsmith612
    melsmith612 Posts: 727 Member
    Why are you freaking out.... keep records that you tried to notify someone and go on with your day. If/when this loan shows up - then pay it. If there are late fees promptly call and explain that you should not be charged said late fees b/c you tried to make a payment and was notfied your loan had been sold. Not your problem. If it hits your credit - fax a copy of your notes and efforts to pay the loan ontime and they will have to fix it.

    Take that money and go shopping!! Problem solved!!

    Not your problem? Go shopping? Are you freakin' kidding me?

    Don't listen to this. Stay on top of it because trying to clean up your credit after something like this is a nightmare.

    Damn people :grumble:

    Again - KEEP RECORDS OF EVERYTHING!!! Did no one read that part?? If its out in cyber space nothing can be done about it right this moment. It will eventually turn up and the clean kept records will ensure the loan provider and/or the credit bureau does not penalize for any potential late fees or incured interest.

    Welcome to the government.... don't freak out about something you have little control over. Do what you can to keep you're *kitten* straight.

    Just because it didn't hit your credit report in your situation does not mean that the same will be true for everyone. You're giving information based on 1 experience and that information could ruin someone's credit for YEARS. Credit is not something you can just keep records of your efforts to fix, it is your responsibility to make sure it is correct and that your payments are being made - regardless of who owns the loan, who sells it, etc.

    To the OP: Keep calling the government AND Sallie Mae until you talk to someone who does know what they're talking about. Always ask for supervisors as soon as you get a customer service rep on the phone, since you already know that they are not going to be able to help you. Do not assume that the information you receive from one person when you call is correct, keep calling, keep asking, until you get someone to send you all of the loan information (sold or otherwise) in writing. Then call again to make sure the information they sent you in writing is correct and recorded in their system. It's going to be a LOT of work but if you keep at it, you will get to the bottom of things and avoid ruining your credit with late payments.
  • fcp1234
    fcp1234 Posts: 1,098 Member
    having a bad day today?
  • The scariest ten words in the English language?

    "I'm from the government and I'm here to help you."
  • cwolfman13
    cwolfman13 Posts: 41,865 Member
    It's not just the government...banks do this all of the time as well...an originating bank will sell the servicing rights to another bank all of the time. We just did a re-fi a couple of months ago and the bank sold our loan to another bank. We had no idea until we got a call from the new bank telling us we were delinquent. We had not received anything from either bank.

    They were cool about it though...I explained what happened and they put two and two together and realized there must have been timing difference between when they bought the loan and it got entered into the system at the same time the billing cycle started but they hadn't yet sent out a notice. They waived all fees and took our online payment.
  • whierd
    whierd Posts: 14,025 Member
    Run a credit check on yourself to find out who you owe money to.

    don't you get docked points for that though?

    Nope. It is considered a soft check as opposed to the hard check that a lender would perform.

    Also, you can check your credit score from each Bureau for free once per year at www.annualcreditreport.com. If you stagger them, you can check on it every four months.




    OP, just relax for now and hold on to your payment. If your loan isn't found by next month, open an escrow account and start putting the monthly payments in there. Keep records of your your conversations trying to track it down so that worst case scenario you will be able to provide proof of due diligence.
  • bcf7683
    bcf7683 Posts: 1,653 Member
    The scariest ten words in the English language?

    "I'm from the government and I'm here to help you."

    :laugh:
  • juliec33
    juliec33 Posts: 238 Member
    I work in the finance industry (mortgage, not student loans) and we buy and sell loans all of the time. It's not uncommon that any type of loan is sold or transferred to another servicer. They are supposed to notify you of any change in servicer but it doesn't always happen in a timely fashion. And sometimes the notice looks pretty generic so you'd be amazed how many people don't pay attention to what it says and just throw it away without really reading it (not saying you did that but it's an easy mistake to make).

    My advice: Document the calls you make (time and date, name and title of the person you spoke with, phone number called etc). Send a few written requests (return receipt requested) to the company that sold the loan requesting information regarding the sale and who you should make the payment too. If you know it was sold to SallieMae you can also send them a letter asking them to research and respond. Put the payments away in a savings account and don't spend it. When the loan does finally show back up on someone's system (and never fear, it will), you will be able to make all of the payments due and have back up documentation to suppport why the late fees and charges should be waived. You will have a much better chance of getting the fees waived if you can make the payment than you will if you have to play catch up or have the loan modified someway to bring it current. It will also help you refute any derogatory reporting to the credit bureaus. I know this sounds like a lot of extra work but these large companies (or government) can bully you into paying extra fees, etc if you don't have the appropriate back up. Remember you have rights as a consumer but it never hurts to cover your assets..........

    Sadly, not all borrowers are as responsible as you and would just go shopping with the extra cash.
  • whierd
    whierd Posts: 14,025 Member
    Credit Bureaus are a sham also. We are trying to buy a house and the only thing I have stopping me is a $500 collection to a bank. I didn't even know this existed until I tried to open a bank account and they wouldn't let me. I called the bank and since it was from 2006, I was 18, it had been written off as a loss. They have no record of ME or anything I owed. They have no info the the $500 bill. I call the collection agency and they can't find me by SSN or DOB. No record of me. They did find me by name and explained that someone else's SSN number is tied to that collection. The only thing that I share with the other person on that collection is a former address of a place I lived for 3 months. Of course they ask ME to pay it.


    So now I am stuck, the credit company won't remove it, the bank has written it off and it is stuck on my report unless I pay it. In the meantime, can't open a checking account OR get our home loan. :explode:

    Find a lender that does manual underwriting. You are welcome.
  • patrickblo13
    patrickblo13 Posts: 831 Member
    I actually know someone this happened too. He graduated 5 years ago and to date has not had to pay a penny. He had the lender and school put in writing that he is not responsible for an interest if the loan amount appears one day. So he went to a very good school for FREE!!! I wish someone to make my student loans disappear!!!
  • whierd
    whierd Posts: 14,025 Member
    Take the money and go shopping!! Problem solved!!

    Do not do this.
  • bcf7683
    bcf7683 Posts: 1,653 Member
    Take the money and go shopping!! Problem solved!!

    Do not do this.

    Wasn't gonna :drinker:
  • Rivers2k
    Rivers2k Posts: 380 Member
    The scariest ten words in the English language?

    "I'm from the government and I'm here to help you."

    :laugh:

    Interestingly enough that is a quote from one of our greatest Presidents, Ronald Reagan. He new big government was bad and look where we are today.
  • whierd
    whierd Posts: 14,025 Member
    The scariest ten words in the English language?

    "I'm from the government and I'm here to help you."

    :laugh:

    Interestingly enough that is a quote from one of our greatest Presidents, Ronald Reagan. He new big government was bad and look where we are today.

    He also did not do much to shrink government. He also ran a budget deficit.
  • melsmith612
    melsmith612 Posts: 727 Member
    The scariest ten words in the English language?

    "I'm from the government and I'm here to help you."

    :laugh:

    Interestingly enough that is a quote from one of our greatest Presidents, Ronald Reagan. He new big government was bad and look where we are today.

    He also did not do much to shrink government. He also ran a budget deficit.

    C'mon guys, respect the OP and take your political views elsewhere. All you're going to do is get her thread locked.
  • MyChocolateDiet
    MyChocolateDiet Posts: 22,281 Member
    To the OP. This is what happens to loans when you graduate. They get sold right in the middle of whatever status the loan is at and you are the last one to know. It behooves you to keep accurate records but some loan companies are way worse than others and these records are no guarantee you won't be beating your head against a brick wall trying to understand the logic of what's going on with your loan.

    Just take a deep breath and start learning how to roll with the punches, as you'll have to deal with lot's of other illogical & out of control things in life. [read: marriage, kids, in-laws]. It might help to take classes on anger management and control issues, if you don't need them yet, you soon will, lol.:flowerforyou:

    tumblr_mclyywvwG61rhsn1eo1_500.gif
  • MyChocolateDiet
    MyChocolateDiet Posts: 22,281 Member
    The scariest ten words in the English language?

    "I'm from the government and I'm here to help you."

    :laugh:

    Interestingly enough that is a quote from one of our greatest Presidents, Ronald Reagan. He new big government was bad and look where we are today.

    He also did not do much to shrink government. He also ran a budget deficit.

    C'mon guys, respect the OP and take your political views elsewhere. All you're going to do is get her thread locked.

    That's okay if her thread gets locked b/c she already got her answer. And maybe if Government hadn't been in the title that wouldn't have been such a danger? Just sayin'