*new error in Sallie Mae reporting* WTH happened - why is FICO contradicting itself? Please help!

[Anonymous]

now don't some people on here look foolish for their paranoid claims of criminality...

[Anonymous]

This is ridiculous. We are getting penalized for taking loans to improve our education. This is a system that is created to keep the middle and lower class down in the US. If you are given an option to have graduated re-payment it is unethical to penalize people for taking that option. It is a known fact that the years out of college are the most difficult and the 6 month grace period is not nearly enough time. Please continue to complain to who ever will listen. yours credit score is all you have in America and this is will put you at a serious dis advantage.

[Anonymous]

If reporters are still interested with this story, and I believe that they should be, it would be interesting to note that Sallie Mae and Equifax both made more money from this fiasco. Sallie Mae will now receive more money from lenders who switched their plans, and Equifax made money from anyone who had already pulled their free credit report this year and had to pay for a new one in order to get the customer service telephone number. With 10% of its 10 million borrows affected and lets say the minimum increase in payment would be $30 - Sallie Mae stood to make 30 million dollars all from their own mistake. That would increase their earnings at the next quarter and make it appear as if they rebounded from their losses. Coincidence or not (and obviously I believe not) they made money from this. Especially with the growing concern of defaults it is certainly more advantageous for them to get everyone to pay more now instead of wait for the long term interest accrument which might not happen for many.

[Anonymous]

So no I don't feel foolish.. Sallie Mae made money...influenced people to change their payment plans. When I first called about this the only option I was offered was to increase my payment so this wouldn't happen to me again. They had the option of saying "we are looking into this and will get back to you ASAP." At the height of my fear the only solution offered by the corporation was pay more.

[Anonymous]

You may want to take into consideration that Sallie Mae is a business, and as such has to pay employees and business expenses and so forth.

Many companies try to avoid allowing you to call them because that one call alone will destroy their profit from whatever you purchased from them. In this case, not only has the Indian call center been flooded, there has surely been a relentless flood of calls to the Consumer Advocate Line, whose employees certainly cost a great deal more. Add to that the expense of cleaning up this mess, it's not as simple as pure profit from people changing payment plans.

As for them making money money from you switching to the level payment plan -- I'm not sure how you came to this conclusion. The level payment plan will pay off your loan FASTER, thus you will pay less interest. So now they're losing money, no?

[Anonymous]

Hello!

Please email us at   kdfw {at} kdfwfox4 {.com} or call   {214} {720} {3155}

I work the assignment desk for Fox 4 Dallas / Fort Worth. We are looking for someone who lives in this area to talk with on camera. These kind of mistakes can have serious affects on us former students!

thank you.

--scoop_dtx

[Anonymous]

With the current fear that student loans will be in as high a default as the home mortgages, it absolutely is beneficial for them to call in as much debt as they can fast. Better to get the money now then have a mass default situation on their hands. Even though I could argue that they benefit even in a default as one of their subsidiary companies is a collection agency. Also the customer service people are already there. I didn't hear that they hired extra people to handle all of our phone calls. And to my knowledge the call centers did not stay open past normal operating hours. So what expense did Sallie Mae have? Do some research of the many unscrupulous practices of this company, let's just say over the past seven years, - including their desire to disconnect themselves from the Federal Loan Consolidation act - which is strikes me that everyone affected here was on. Here's one of many articles http://chronicle.com/free/v50/i47/47a01601.htm. They were successful in discontinuing their participation in 2004. We are the dregs of that program.

[Anonymous]

My score still has not gone up...waiting...

...again, though, I agree SM should be held accountable for the incompetence that led to this issue and the complete lack of capacity for the India call center to handle this effectively. However I never agreed with the reactionary cries of malfeasance and I still do not agree that this was any sort of veiled attempt to increase payments in the near term.  I think it was a genuine guffaw on their part that should be looked at seriously so that it does not reoccur and that there should be restituation for anyone seriously affected during this 3-4 day period, but I don't think there should be any kind of criminal investigation...

[Ausfarm]

I'm still waiting as well...

[gary4872]

No update on myFico yet but TC shows my report as updated and my FAKO shot up.