Admin Forbearance and Credit Scoring

[clement]

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Intuitively, I'm thinking that if we don't make payments during the COVID government-issued forbearance that it *shouldn't* effect our credit scores...Of course the inner working of credit scoring is always a bit mysterious and who knows if the credit bureaus are in sync with this? Anyone worried about impact on credit? Like say, people who are getting ready to purchase a home (and also hoping lenders are informed about this forbearance too, when they look at your credit report and wonder about a payment gap)..

 

[clement]

....I don't know if this (see link below) answers my question thoroughly, still feels a bit like being in murky waters. Namely, FedLoan is so disorganized, could they even get it together enough to add a "disaster code" to credit reporting? In theory the score shouldn't be impacted.

How COVID-19 Payment Accommodations May Affect Your Credit

If you’ve been affected by COVID-19, you may be eligible for relief in paying bills. That can help you prevent damage to your credit from late payments at a time…

www.nasdaq.com

"You also can ask lenders to add a code to your credit report to indicate you were “affected by a natural or declared disaster.” FICO does not consider the codes when calculating credit scores, but VantageScore will disregard late payments for accounts with that code in effect."