This website is a testimony to the problems Canadian Student Loan borrowers experienced from approximately 1996 to 2008 and until their loans were paid off.

The privatization of the Student Loans system by the Chretien and Martin Liberal governments broke the system and defaulted thousands of borrowers who were trying to pay their loans. There were even stories of suicide due to the harassment of borrowers.

Read the report that I prepared back in 2007 here. Canada Student Loans-The Need for Change Fortunately the new Conservative government at the time revamped the program and fixed the system for new borrowers, but borrowers under the previous program were left with ruined credit and continued harassment from debt collectors.

I call on the Canadian Government to apologize to the borrowers affected by this fiasco and make amends.

Unfortunately the Liberal government is again clobbering the Education system with their upcoming changes to International Student Visas. Yes, there's a problem, but instead of a well thought out plan, they have pulled the emergency brake on the train causing a derailment. This has introduced unprecedented instability for both private and public education institutions who serve both international and local students.

Universities can't plan. I've heard of courses being cut because the government has no process in place for universities to send the newly required acceptance letters to the government.

This means that students who have been accepted can not attend courses that start in the summer 2024 semester. With cut sections, current Canadian students will have trouble getting courses, and may have to switch to part-time which changes their enrollment status and might trigger repayment of their loans or ineligibility for funding. I've seen this before. It wreaks havoc on the student loan borrowers.

Again, the Liberal government has messed up the education environment. Will the new system needed in a rush for the acceptance letters be the new Arrivecan scandal?

I call on the government to implement a slower phased in approach and delay the requirement of the acceptance letters until a process is in place to submit these letters.


  New Posts New Posts RSS Feed - CIBC & Interest Relief for Grad Students
  FAQ FAQ  Forum Search   Register Register  Login Login


Forum LockedCIBC & Interest Relief for Grad Students

 Post Reply Post Reply
Author
acdawson View Drop Down
Newbie
Newbie
Avatar

Joined: 27/July/2005
Location: Canada
Points: 2
Post Options Post Options   Thanks (0) Thanks(0)   Quote acdawson Quote  Post ReplyReply Direct Link To This Post Topic: CIBC & Interest Relief for Grad Students
    Posted: 27/July/2005 at 1:04pm
I have read with interest a number of other individuals trials and tribulations with CIBC.  Many of the stories do offer some interesting insights and sadly many simply force me to despair at finding a suitable resolution to the problem I face.

I will reprint a letter I sent here to D. Emerson to outline the essentials of my case.  Any comments or ideas would be welcome.
------
Dear Mr. Emerson,

I am a doctoral student at McGill University entering my final year of studies.  I have loans with the NSLSC, CIBC and Edulinx, both Alberta and Federal.

Last September, I submitted my confirmation of enrolment documentation to all three agencies, the NSLSC, CIBC, and Edulinx, for both my Federal loans and Alberta loans.  One month later, the NSLSC and CIBC returned my documents for the Federal loans saying that I had exceeded 520 weeks in school and can no longer submit confirmation of enrolment documentation and must enter re-payment at the end of my six-month grace period.  They did note however that at the end of that period, I did have the option of applying for interest relief.

I decided, in March, to apply for interest relief.  As a newly married graduate student trying to start a life, finish my dissertation and fund my research I am in no condition, financially speaking, to begin attacking the principal on my substantial federal loan.  However, applying for interest relief, in retrospect, proved to be a mistake.  The process is drawn out, convoluted and difficult to get right the first time. Further, the NSLSC lost documentation and  I had to fax in supporting documents numerous times, sometimes twice in one day which significantly extended process time.  Throughout this period I continued to receive strongly worded letters from CIBC saying that I was in arrears.  Every time I received one of these letters I called CIBC, and on each occasion I was told to disregard the letter as my application for interest relief was in process and that I need not be concerned about the letter as it was computer generated.  Three months later, the NSLSC has reached a decision about my interest relief; I have been denied as my wife’s income puts us over the limit by about $70.00.

I have now discovered on my Equifax credit bureau report that both the CIBC and National Student Centres sent derogatory credit information regarding my arrears over April/May/June that has substantially reduced my beacon score.

Please be aware that I am not a graduate who had finished his education and was looking, through interest relief, to find a way of postponing or dodging my financial commitments to my creditors.  I am still a student looking to complete my final year of doctoral studies.  I am no longer able to apply for student loans, my scholarship runs out in August 2005, and I had been hoping to look for a credit product, most likely a student line of credit, to complete my education.  However, with this information on my credit bureau record, the likelihood of being approved for such a product seems unlikely.

I feel that both the continued recommendations on the part of CIBC to “ignore” the arrears letters, my commitment to maintaining continued contact with CIBC and with the NSLSC (I believe that not ten days passed over the three months without a phone call from me to both agencies) and my prompt updating, payment of arrears and revision of terms as soon as I received the refusal of interest relief should all justify the expunging of the derogatory information from my credit bureau record.

I am one year away.  I have no desire to default on my loans or shirk my financial responsibility.  I simply want and need the opportunity to apply for the funding I desperately require to finish my education and unless I am able to do so, all of the money I have borrowed up to now, all of the work I have put in, will ultimately be for nothing.  Ultimately, I will prove to be a far more profitable customer with the ability to quickly repay my loans if my credit record is intact and my education complete.

Unfortunately, the agent I spoke with today (an individual named XXXX) at the CIBC student loan customer service line (1-800-563-2422) was less than helpful.  She refused to listen to me attentively and I was required to repeat myself continually.  I attempted to outline the details of my case on a number of occasions only to be interrupted to be given unhelpful, irrelevant or information contradictory to what I had received previously.  I understand that we all have bad days.  Sometimes customer service representatives can, like everyone else, get tired or lose track of a conversation.  However, none of these can excuse the level of service I received today from this individual who represents CIBC.  In addition to my student loans with CIBC, I have a savings account with the bank and a CIBC Visa that I have held since my first year of university in XXXX.  To this point, my relationship with the bank has been positive and I would sincerely like this to continue, as I look forward to completing (finally) my education and entering the workforce fulltime

I would like to, therefore, request for some assistance in helping me to resolve this situation with respect to my credit rating and my federal loan with CIBC.

Kind Regards,

acdawson

--
Allan Dawson
PhD Canadidate
McGill University
Back to Top
Sponsored Links


Back to Top
HamishG4 View Drop Down
Newbie
Newbie


Joined: 25/November/2004
Location: Canada
Points: 13
Post Options Post Options   Thanks (0) Thanks(0)   Quote HamishG4 Quote  Post ReplyReply Direct Link To This Post Posted: 27/July/2005 at 2:49pm
It seems that the present system is unfair in that it only allows a
maximum period of 520 weeks before repayment must begin. From the
first year of the bachelor's degree to the final year of the Ph.D. can often
span longer than that. I guess I was lucky I completed all three degrees
in nine years.

My only advice is to keep in constant contact with CIBC. I had problems
with them too, and only just got it resolved. One thing you might do is
speak to a bank about the circumstances of this problem. They may be
willing to overlook it, if it is only negative mark on your credit report.
Back to Top
acdawson View Drop Down
Newbie
Newbie
Avatar

Joined: 27/July/2005
Location: Canada
Points: 2
Post Options Post Options   Thanks (0) Thanks(0)   Quote acdawson Quote  Post ReplyReply Direct Link To This Post Posted: 28/July/2005 at 9:08am

GOOD NEWS!...Persistence can pay off.  1 day after sending my letter in I received a call from CIBC: 1) apologising for the treatment I received from the CSR and 2) an assurance that all derogatory info sent to the credit bureaus will be removed.  They faxed me a letter as proof that the rectification was sent to Equifax and TransUnion.

I am very pleased that CIBC took my case seriously.  I do recognize that my situation differs quite a bit from some of the others listed here but I think that it is important to recognize that CSR's must follow protocol, procedure and standard practice...They have very little room to manoeuvre...If you want something done, you need to speak to someone with the power to make decisions and effect change.

I hope that my positive outcome can give some people a little hope that credit remarks can be dealt with by speaking to the right people.

Regards,
acdawson

--
Allan Dawson
PhD Canadidate
McGill University
Back to Top
 Post Reply Post Reply

Forum Jump Forum Permissions View Drop Down

Forum Software by Web Wiz Forums® version 12.07
Copyright ©2001-2024 Web Wiz Ltd.