Consumer complaint received 2018-09-11
Company: SLM CORPORATION
State: NY
Product: Credit reporting, credit repair services, or other personal consumer reports
Sub-product: Credit reporting
Issue: Incorrect information on your report
Sub-issue: Account information incorrect

Complaint:
Dear Sir or Madam : I am writing to you because I am having a problem with XXXX XXXX in that they have violated my rights within the Fair Credit Reporting Act. 

XXXX XXXX XXXX XXXX XXXX XXXX, Delaware XXXX This correspondence is a request to have late payments removed from my credit score report. Since both of my loans were granted retroactive forbearance on XX/XX/2017 covering the periods of XX/XX/2017- XX/XX/2017, XXXX XXXX is obligated by the FTC to update previously reported information, therefore both of my loans should not be listed as 90 days late, failure to update these records is in violation of Section 623 ( a ) ( 2 ) of the FCRA . 
I have attached an FTC advisory opinion which interprets Section 623 ( a ) ( 2 ) of the FCRA. The issue posed in the advisory opinion is how a lender is to handle a situation when subsequent information updates a report that was allegedly accurate when it was made but no longer is accurate in the present time ( i.e., the identical situation I am currently in ).

The advisory opinion states that the Section 623 ( a ) ( 2 ) of the FCRA addresses the duty to correct and update information by furnishers, or persons who furnish information to consumer reporting agencies ( CRA ) such as credit bureaus. In particular, this section requires a person that has furnished to a consumer reporting agency information that the person determines is not complete or accurate to promptly notify the consumer reporting agency of that determination and provide any information needed to make it complete and accurate. Thus, on its face, this provision requires a furnisher to provide corrected or updated information to the consumer reporting agency that it had reported to originally. This duty extends to all student loan accounts reported to CRAs, regardless of whether they were accurate at one point, because the section requires the furnisher both to update accounts as well as to correct. 
After filing a dispute with all three credit bureaus, XXXX XXXXrepresentatives said that because the delinquent payments were accurately reported in those months that any subsequently initiated deferments would not allow for XXXX XXXX to update reports to CRAs to show that the payments were not late and actually in deferment.However, Section 623 ( a ) ( 2 ) clearly shows that the reports must be updated/corrected regardless of whether they were accurate at one point. * Again both of my XXXX XXXX accounts that were reported as 90 days late are now under deferment effective beginning XX/XX/2017 to XX/XX/2017 when I started making payments again so failing do update these records is a direct violation of the Fair Credit Reporting Act. 

I am thus requesting that in compliance with Section 623 ( a ) ( 2 ) of the FCRA that my two loans XXXX XXXX XXXX XXXX XXXX XXXX - XXXX and XXXX XXXX XXXX XXXX XXXX XXXX - XXXX be updated and corrected to remove the 90 day late marks on my credit report. 

I spoke with someone named XXXX in the Customer Advocate Office of XXXX who told me that they will not do anything further therefore disregarding my rights as outlined in Section 623 ( a ) ( 2 ) where furnishers i.e. XXXX, must UPDATE AND CORRECT information. 

Thank you.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation