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Regular Contributor
vabound
Posts: 147
Registered: ‎03-21-2012
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HELP...need advice

We are scheduled to close this week and LO called today about a recent inquiry on my husbands cr.  It was from a CA and when my husband called they said that they are trying to collect a debt from 2002.  It is a sallie mae private student loan which now has a balance of $8k.  They are not reporting the acct on his cr and he was in active duty at that time so he knows it'snot his.  I am sick to my stomach that this will be a deal breaker.  Our LO said that they pulled credit recently to make sure there were no NEW accts opened.  Will an explanation from my husband stating that he has no idea what this is suffice?

Starting Scores:TU/513 EQ/484 EXP/513 3/2012 (lender pull)
Current Scores:TU/681 EQ/637 EXP/613 11/2012 (lender pull)
Goal:700 across the board
Valued Contributor
JM-AM
Posts: 3,303
Registered: ‎06-09-2010
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Re: HELP...need advice

Yes it should just be a LOE.

Good Luck
May all your dreams and wishes become a reality!
Valued Contributor
p-
Posts: 2,633
Registered: ‎06-05-2008
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Re: HELP...need advice


vabound wrote:

We are scheduled to close this week and LO called today about a recent inquiry on my husbands cr.  It was from a CA and when my husband called they said that they are trying to collect a debt from 2002.  It is a sallie mae private student loan which now has a balance of $8k.  They are not reporting the acct on his cr and he was in active duty at that time so he knows it's not his.  I am sick to my stomach that this will be a deal breaker.  Our LO said that they pulled credit recently to make sure there were no NEW accts opened.  Will an explanation from my husband stating that he has no idea what this is suffice?


Wow, that sucks.  I would dispute the inquiry if I were you.  I would also write an explanation letter saying that you have not applied for credit with this company.  

 

After you get through the loan process, you need to run this down.  If you are in contact with this company, demand that they send you a statement.  Then, follow the DV process, and if it looks like identity theft file a police report and freeze the credit file.

 

Also, if you haven't done it already, you need to OPT OUT of prescreened offers.

  8-12-14: FICO EXP: 797 - EQU: 734 - TRAN: 739 - AVG: 757 - +207 points from JUN 2008 - MY CREDIT JOURNAL

Valued Contributor
MovingForward_2012
Posts: 3,406
Registered: ‎12-19-2012
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Re: HELP...need advice

This happened to me several years back. I was getting called for someone else's student loans because they had my name attached to the debt but it wasn't my social security number on the loan. When they called, I told them it wasn't my debt because I am still in school and my loans are deferred until I graduate. She asked for my SS# and I told her and she said, "Whoops!" And they stopped calling me.

So if you are sure it isn't his debt, call them and get them to remove it. You can include in your LOE that you have also called them and they verified it isn't your husband's debt and they agreed to remove it.

I don't think this is a deal breaker if it isn't your husband's debt. Did they just tell you to write an LOE?
Cards: Orchard Bank ($1100) | Cap1 Cash Rewards ($2500) | Chase Freedom ($1000) | Best Buy ($2500) | Discover It ($1000) | Barclay Rewards ($2500) | Current scores: EX FAKO: 684, CK TU: 649, FICO EQ: 680, FICO TU: 698, FICO EX: 658 Happy Homeowner Since 2/6/13! :smileyhappy: Last App: 4/5/13 Gardening until July 2014
Valued Contributor
JM-AM
Posts: 3,303
Registered: ‎06-09-2010
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Re: HELP...need advice

If you dispute it. You can cause yourself more delays.

I do agree you should dispute, but as close as you are to closing i am not sure if you want to delay your process
Good Luck
May all your dreams and wishes become a reality!
Valued Contributor
p-
Posts: 2,633
Registered: ‎06-05-2008
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Re: HELP...need advice


MovingForward_2012 wrote:
This happened to me several years back. I was getting called for someone else's student loans because they had my name attached to the debt but it wasn't my social security number on the loan. When they called, I told them it wasn't my debt because I am still in school and my loans are deferred until I graduate. She asked for my SS# and I told her and she said, "Whoops!" And they stopped calling me.

So if you are sure it isn't his debt, call them and get them to remove it. You can include in your LOE that you have also called them and they verified it isn't your husband's debt and they agreed to remove it.

I don't think this is a deal breaker if it isn't your husband's debt. Did they just tell you to write an LOE?

+1

  8-12-14: FICO EXP: 797 - EQU: 734 - TRAN: 739 - AVG: 757 - +207 points from JUN 2008 - MY CREDIT JOURNAL

Regular Contributor
vabound
Posts: 147
Registered: ‎03-21-2012
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Re: HELP...need advice

We opted out back in November..some good that did.  No time to dispute since we are supposed to settle tomorrow (probably not happening until friday) my husband and the credit company working with our LO called the ca on 3way and the representative told them what they debt was.  He kept putting them on hold and the credit company rep felt like something fishy was going on.  She asked the ca how long did they have the acct and he said since June 2012.  Her follow up question was "why did you wait until now to contact him?" He said because they purposefully wait until the person is applying for credit and then they strike!!!! She got mad and told him how unfair that is and he could care less.  So basically she said she would have to report the purpose of the inquiry to the underwriters but she would also call the underwriter and tell them her opinion of the entire situation.  Our LO says if the UW wants it paid then we would have to pay at settlement either by cash or increasing our loan amount......uuugh when will this torturous process end?????

Starting Scores:TU/513 EQ/484 EXP/513 3/2012 (lender pull)
Current Scores:TU/681 EQ/637 EXP/613 11/2012 (lender pull)
Goal:700 across the board
Valued Contributor
MovingForward_2012
Posts: 3,406
Registered: ‎12-19-2012
0

Re: HELP...need advice

Why would you pay a debt that is not yours? They should have been able to tell the lender on 3-way that it isn't your husband's debt and they got him mixed up with another person, right?
Cards: Orchard Bank ($1100) | Cap1 Cash Rewards ($2500) | Chase Freedom ($1000) | Best Buy ($2500) | Discover It ($1000) | Barclay Rewards ($2500) | Current scores: EX FAKO: 684, CK TU: 649, FICO EQ: 680, FICO TU: 698, FICO EX: 658 Happy Homeowner Since 2/6/13! :smileyhappy: Last App: 4/5/13 Gardening until July 2014
Regular Contributor
vabound
Posts: 147
Registered: ‎03-21-2012
0

Re: HELP...need advice


MovingForward_2012 wrote:
Why would you pay a debt that is not yours? They should have been able to tell the lender on 3-way that it isn't your husband's debt and they got him mixed up with another person, right?

They say it is his and they have his ss#.  He and his father have the same name so it could be a mix up...I think my LO is just covering all bases.  Trust me we in no way shape or form want to pay this mess.

Starting Scores:TU/513 EQ/484 EXP/513 3/2012 (lender pull)
Current Scores:TU/681 EQ/637 EXP/613 11/2012 (lender pull)
Goal:700 across the board
Valued Contributor
MovingForward_2012
Posts: 3,406
Registered: ‎12-19-2012
0

Re: HELP...need advice

I would absolutely not pay $8000 that isn't my debt just to close on a house. I would call the CA right now to start working on clearing his name. Student loan debt never goes away...they are like taxes. You need to clear his name otherwise they will bug you forever.
Cards: Orchard Bank ($1100) | Cap1 Cash Rewards ($2500) | Chase Freedom ($1000) | Best Buy ($2500) | Discover It ($1000) | Barclay Rewards ($2500) | Current scores: EX FAKO: 684, CK TU: 649, FICO EQ: 680, FICO TU: 698, FICO EX: 658 Happy Homeowner Since 2/6/13! :smileyhappy: Last App: 4/5/13 Gardening until July 2014

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