CiBC and Edulinx Horror Stories

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CIBC and ARC

Printed From: CanadaStudentDebt.ca
Category: Dealing with the Banks!
Forum Name: CiBC and Edulinx Horror Stories
Forum Description: Problems with CIBC and Edulinx!
URL: https://www.canadastudentdebt.ca/forum_posts.asp?TID=2804
Printed Date: 27/March/2026 at 2:18am
Software Version: Web Wiz Forums 12.07 - https://www.webwizforums.com

Topic: CIBC and ARC

Posted By: HamishG4
Subject: CIBC and ARC
Date Posted: 15/July/2005 at 1:26pm

I have an Ontario loan with CIBC. In January 2005 I tried to get my
payments temporarily reduced to interest only. CIBC could not do this
due to an error they had made earlier on my account (they claimed I was a
payment behind, when I was not; a computer error they said). I tried to
phone the appropriate people at CIBC, but they never returned my calls.
So, I stopped making the full payments and sent them payments for the
interest. I started getting letters from CIBC, and when I phoned the
number provided (which is ARC), I leave a message (there is never anyone
available to take my call). They have never phoned back. They have
cashed the cheques I sent as interest payments.

However, I have gotten a letter recently from CIBC demanding payment of
the full loan plus interest. Need I be worried about this? I have written
them several letters explaining their error (I attach a letter to each
cheque), but still I get no response by phone or by mail. I did not reply to
the demand for full payment; I am waiting for ARC to get in touch. I am
now able to resume full payments.

Has anyone else had problems with CIBC and ARC in this matter? Do they
ever return phone calls (it has been 6 months now)? I suspect that ARC is
part of CIBC, an in-house debt collection agency--is this true?

Replies:

Posted By: SolveStudentDebt
Date Posted: 16/July/2005 at 2:54am

Accounts Recovery Corporation (ARC) is a private third-party collection agency. It has no affiliation of kinship with CIBC. It ia a hired collection agency.

Here is the root of your problem:

YOu wrote:

"I have an Ontario loan with CIBC. In January 2005 I tried to get my
payments temporarily reduced to interest only. CIBC could not do this due to an error they had made earlier on my account (they claimed I was a payment behind, when I was not; a computer error they said)."

If CIBC has erroneously placed you in financial hardship and third-party collection, you need to address this. Otherwise, you are going to be in a much worse predicament.

Can you prove that they made an error? If so, then you can have all of this reversed.

Yes, many people go through this unfortunate racket with the banks and government. When people learn - or are alerted about a bank error, they must act immediately.

You should call NSLSC customer response and state your case.

Johnny

http://www.cfwgroup.ca - www.cfwgroup.ca

http://www.cfwgroup.ca/forum - www.cfwgroup.ca/forum

Posted By: HamishG4
Date Posted: 16/July/2005 at 3:18am

I *would* try to get this resolved, but for two problems:

(1) last year, when the issue of me being one payment behind came up, I
was passed back and forth by CIBC and ARC. Each said the other had to
correct the problem. The whole thing arose from me increasing my
monthly payment--CIBC assumed the higher payment was the correct
one.

(2) Neither CIBC nor ARC will return my phone calls. I can never speak to
an actual person.

I have received neither a letter nor a phone call for the past month, so I
am waiting to see who contacts me. I will continue to send my interest
only payments to CIBC. At least I can prove they are cashing the cheques!

Posted By: HamishG4
Date Posted: 21/July/2005 at 2:59pm

If you can believe it, I got a call from CIBC. They admit their error, and
have fixed the problem.