Dear Claudienne,

I am writing to share my experience with the Students’ Loan Bureau (SLB), an issue that has caused me considerable distress. I took out a student loan for my studies at The University of the West Indies, Mona, in 2014 and 2015. I began repaying the loan in January 2018, following the completion of my programme. My payments were consistent, but I encountered a job change in August 2018, and due to salary discrepancies, I was unable to make any payments until January 2019.

In January 2019 I received a letter from the SLB stating that I owed over $50,000. At that time I had just started receiving my full salary and promptly made a payment of $30,000 via online banking. From July 2021 to September 2024 I have paid consistently via NCB [National Commercial Bank] online banking, and I have receipts to support these payments, save for those two missing months.

In April 2022 I was shocked to receive an e-mail from the SLB stating that I owed $151,464.27 and that legal action would be taken against me.

I immediately responded, attaching 19 receipts as proof of my payments. While I acknowledged that I owed the SLB, I contested the accuracy of the amount. Although my monthly payment, as stipulated by SLB, is under $8,000, I have been paying $8,000 monthly. On April 19, the SLB confirmed that my e-mail had been forwarded to their legal team. Following this, I e-mailed the legal team directly on April 19, 2023 and again on June 26, 2023 to share my concerns, but I received no response on either occasion. I also made several phone calls, but despite my efforts I have been unable to speak with anyone to resolve the issue.

Recently I was devastated to receive a letter on October 3 from Executive Protection and Debt Collection Services, acting on behalf of SLB, stating that I now owe $734,287.10. This amount left me completely stunned, as it suggests that I have not been making payments at all. The letter also incorrectly suggests that I have neglected my debt obligations, despite my efforts to address the matter.

Adding to my confusion, the letter greeting stated, “Dear Madam” and a sentence in the letter states that “full payment in the sum of $734,287.10, representing the balance to close as of September 2, 2024, is to be paid in full by you, LO.… (I opt to remove the full name to protect the identity of this person), to the Students’ Loan Bureau within 10 working days of the above date.” My first thought was, who is LO? This is not my name nor the name of either of my guarantors. I was also baffled at being referred to as “Dear Madam”, as I am not female and the name listed in the letter is a female name. This raises serious concerns about their attention to details and professionalism. How can I be expected to make payments for a name that doesn’t even apply to me? What are the legal implications of this?

To make matters worse, I received this letter on October 3, though it was dated September 6, giving me just 10 days to address the situation. By the time I received the letter, the 10-day deadline had already passed, essentially giving them free rein to take legal action without giving me a fair chance to respond. What’s more, the letter was delivered personally by a debt collector, so there’s no excuse for the delay. This late delivery raises serious concerns about the accountability of the SLB itself in this process. Is this even legal?

The SLB’s lack of communication and failure to resolve the discrepancies in my account have left me frustrated. If my balance is now over $700,000, does that mean all my payments have been ignored? I’ve been trying to reach out and address this matter responsibly, yet I’m being threatened with legal action for a sum that doesn’t make sense. I’ve made every effort to resolve this issue, and yet it feels like I’m being pushed further into a financial pit by the very institution meant to assist me.

TT

Dear TT,

The Tell Claudienne column requested a response from the Student Loan Bureau to your allegations. The SLB e-mail response the column received on December 2, 2024 states the following:

“Reference is made to your electronic correspondence regarding the captioned matter. Please note that same was forwarded to me as Manager of the Legal & Debt Recovery Department to which the account is assigned for a response.

The concerns that were raised by Mr TT have been noted and will be addressed seriatim:

Our due diligence checks have revealed that he received loans totalling in excess of Five Hundred Thousand Dollars ($500,000). The SLB empathises with our customers who may be underemployed or unemployed, and we provide the opportunity to negotiate payment arrangements based on affordability. We also offer loan rescheduling options to eligible customers.

1) It is critical to note, that Mr TT was employed. He stated that he had a “job change” and “salary discrepancies” yet he did not reach out to the SLB to negotiate a payment plan, nor did he pay a lower amount that he could afford. Instead, he made no payments for a period in excess of 6 months resulting in the accumulation of arrears on his account.

2) As per the standard operating procedures of the SLB, Mr TT would have received payment reminders given that his account had arrears, including the correspondence of January 2019. Having borrowed over $500,000.00, and having repaid a total of only $64,000.00 ($8,000.00 monthly for 8 months as outlined in his correspondence) one year later, the balance could not have been just “over $50,000.00” as he stated.

3) For clarity, note that the just “over $50,000.00” would have referred to the arrears (past due sum) on his account as at January 2019. Having been aware based on the sum paid ($30,000) that the arrears were not cleared at this juncture, and that his expected “monthly payment as stipulated by SLB is just under $8,000.00”, he resumed making monthly payments of only the $8,000.00 in May 2019 save for “two missing months”, thereby adding to and neglecting the remaining arrears;

4) Despite several other reminders, our records indicate that he made no additional payments aimed at clearing the arrears on his account. Based on the aforementioned, his account was transferred to the legal department and outsourced to a debt collector in September 2024. An advisory letter including the closing balance and arrears (past due balance) on his account was sent to him regarding same.

The rationale for his statement that he was “devastated” to receive a letter from the debt collector in October 2024 is unclear given that:

He was aware that he had arrears on his account; and he made no payments to arrears since February 2019 (a period in excess of 5 years).

5) The correspondence of October 3, 2024 from the debt collector to which Mr TT referred was correctly addressed to him and contained reliable and accurate financial data on his account. It contained an incorrect name reference within one line. An apology was extended to the customer for any inconvenience caused, and we have put the requisite controls in place to prevent a recurrence.

Mr TT has received a direct response to his concerns, and we consider this matter to be settled.

We thank you for your continued assistance in ensuring that there is an amicable resolution to the issues raised by our customers.”

We wish you all the best.

Have a problem with a store, utility, a company? Telephone 876-936-9436 or Cell/WhatsApp # 876-484-1349 or write to: Tell Claudienne c/o Sunday Finance, Jamaica Observer, 40-42 1/2 Beechwood Avenue, Kingston 5; or e-mail:edwardsc@jamaicaobserver.com. Please include a contact phone number.