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Income Based Repayment, Credit Reporting, Loan Payment Amoun

Profile picture for MWC2
I am applying for a mortgage and repaying grad school loans under income based repayment. The mortgage lender does not understand why my payment is 0$ per month (based on 2009 AGI) but my loan status amount has a payment due of $2k in 2013 (10 year repayment amount if I go off of IBR). The Credit reporting agencies show an amount due of $2k. All of my loans are current, but the $2k figure does not reflect what I actually have to pay under IBR ($80 based on my 2010 AGI). I do not know how to explain this to the lender. I am in the process of updating my payment amount with the Direct Loan Servicing Center, but the letter will still say that I owe $2k at some point, which is their way of reminding me of what I will have to pay if I fail to update my income information with the Direct Loan Servicing Center.  Does anyone know how to help? 
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February 17 - Boston
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Profile picture for HowardVernick
I would give your lender the documentation explaining how the monthly payments are calculated and the total amount owed.  If they are using common sense, they will use the percentage of the income they are using to qualify you for mortgage financing as the payment. 

If there is no payment showing on the credit report, they can also use 3% of the unpaid balance as the figure they will use for qualification.
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February 17
Profile picture for shapiroamg

I second Howards solution but offer that common sense has left our industry a long time ago. :D

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February 17
 
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