Update after Debt Transmission (Rev.11787; Issued:01-19-

70.13 - Update after Debt Transmission (Rev.11787; Issued:01-19- 23; Effective: 04-21-23; Implementation:04-21-23) Once a debt has been referred for cross servicing and/or TOP: The contractors shall update HIGLAS or the Debt Referral Form (contractors not utilizing HIGLAS), within ten business days of the notification of the change to the debt if the contractors discover an error, collection (by check or recoupment), or receive information establishing that the debt is ineligible for cross servicing (i.e., bankruptcy, appeal), If Treasury or a Private Collection Agency (PCA) discovers an error, collects on the debt, or receives information, that would render the debt ineligible for cross servicing, Treasury shall notify CMS and its contractors via the CMS Debt (CMSDM) Management Inbound Acknowledgment, Treasury Dispute Timer, or Collections Report. The contractor not utilizing HIGLAS shall update its internal records, as appropriate. The contractor shall return the completed CMSDM Treasury Dispute Timer Reports to CMS within 30 calendar days. If Treasury or the PCA receives a dispute from the debtor or obtains additional information regarding the debt that requires CMS or contractor intervention, a Treasury Cross-Servicing Dispute Resolution Form shall be sent to CMS. The CMS shall maintain a report of all debt in dispute and forward the information to the contractors for review and decision. The contractors shall have 30 calendar days to respond to Treasury and update their internal systems if applicable, and shall copy CMS RO and CO on their response. The contractor shall recall the debt if it is determined that the dispute is valid. If Treasury does not receive the response to the dispute timely, the debt may be returned to agency (RTA) with the reason “dispute timer expired.”