1 / 8

The Consolidation Process Time Table

The Consolidation Process Time Table. SOMA Sponsored Program Doctors Debt Management. Borrowers Application. Once Application is Received: DDMs process. Review your application- same day Submit to processing-same day

adele
Download Presentation

The Consolidation Process Time Table

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. The Consolidation ProcessTime Table SOMA Sponsored Program Doctors Debt Management

  2. Borrowers Application

  3. Once Application is Received:DDMs process • Review your application- same day • Submit to processing-same day • Request Loan Verifications with current lenders-same day or next day, the lenders have 14 days to respond • If they don’t release payoff, processing must resubmit- This is a stall tactic by many lenders so they can defend the loan • You should receive an app received letter

  4. Loan Verification Process

  5. Be Patient!The consolidation system is not perfect! • This is the process that takes the longest! • Usually takes 6-8 weeks, but it can take up to 90 days or more • Last year 2005 because of the in school consolidations, there are some loans that were not completed until spring 2006 • No one was prepared for the response!! i.e. lenders and servicers • You may always call for updates! No letters will go out during this process

  6. Funding of LoanPayoffs for old loans go out

  7. Funding of New Consolidation • Your new consolidation loan is now completed and the lender will send your disclosure letter-This is the Federal Law • This process in total may take up to 90 days with some companies-this is common in the market now • DDM also sends out a letter after it receives notice from the lender that the loans is funded. Usually by email!

  8. Common Problems!Why loans do not get completed! • Borrower makes mistakes on application • Spelling errors- name especially • Reference Information- matching phone numbers and addesses • No signature or date on last page • No repayment plan chosen (need to have one even if you are going into deferment) • Borrower signed more than one consolidation-Very Common Mistake-The first application that gets in processing gets to retain the borrower

More Related