CAIVRS Report: What It Is & How it Works

• If you’re on CAIVRS, it means you have unresolved federal debt, like a defaulted student loan or unpaid taxes. Lenders discover this during underwriting for FHA, VA, or USDA loans—it won’t appear on your credit report.

• Being flagged on CAIVRS means you can’t qualify for federal loan programs until the debt is resolved or disputed. This can delay or block your home buying process entirely.

• To clear CAIVRS, you’ll need to repay, consolidate, or rehabilitate the debt or prove the flag is an error.

If you’re in the home-buying process and just found out you’re on a CAIVRS report, you’re not alone. This issue often surfaces during underwriting, creating stress and uncertainty—especially for borrowers with student loans.

The good news? Resolving it is possible, and we’re here to help.

As a student loan lawyer, I’ve guided countless borrowers through clearing CAIVRS issues to keep their homeownership goals on track.

In this guide, we’ll break down what CAIVRS means for you, why it matters, and the actionable steps you can take to resolve it.

Related: Can You Buy a House With Defaulted Student Loans?

A CAIVRS report (Credit Alert Interactive Voice Response System) is a record from a federal database that tracks individuals with delinquent federal debts, such as defaulted student loans or unpaid taxes. The acronym is also sometimes referred to as “Credit Alert Verification Reporting System.”

The report flags individuals who may be ineligible for federal loans or guarantees due to unpaid obligations. This can affect eligibility for:

• Mortgages

• Student loans

• Other federal assistance

Authorized users, such as federal agencies and approved lenders, use CAIVRS reports to prescreen loan applicants and assess eligibility for federal programs.

A CAIVRS report is typically triggered when someone applies for a federal loan or benefit program. This includes anyone involved in the application, such as co-borrowers and sometimes spouses. Lenders and agencies use CAIVRS to check for federal debt issues, including:

• Defaulted student loans

• Unpaid federal taxes

• Foreclosure on a previous FHA loan

This process helps ensure federal funds are lent responsibly.

Most federal loan programs require a CAIVRS check, but some exceptions exist. For example, FHA streamline refinances, which allow borrowers to refinance with simplified documentation, may not require a full CAIVRS report under certain conditions.

CAIVRS contains detailed data about individuals with delinquent federal debts, such as defaulted federal student loans, unpaid federal taxes, or defaults on federally guaranteed loans like FHA mortgages or VA loans.

The information includes:

Several federal agencies contribute data to the CAIVRS system to track delinquencies, defaults, and debt-related legal actions. These include:

CAIVRS was established in 1987 by the U.S. Department of Housing and Urban Development (HUD) to protect taxpayer dollars by preventing federal loans or guarantees for individuals with delinquent federal debts.

Its authority comes from Title 31, U.S. Code, Section 3720B, which bars delinquent federal debtors from receiving new loans. Additional support comes from:

• The Debt Collection Act of 1982

• The Debt Collection Improvement Act of 1996

• The Computer Matching and Privacy Protection Act of 1988

To get off CAIVRS, you must resolve the federal debt that caused your inclusion. This typically involves:

1. Paying off the debt in full or setting up a payment plan with the relevant federal agency.

2. Disputing errors: If you believe you were added by mistake, contact the agency responsible for the debt to request an investigation and correction.

3. Providing proof of resolution: For example, if you were flagged due to a defaulted federal student loan, you can resolve it through loan rehabilitation, loan consolidation, negotiating a settlement, or participating in programs like Fresh Start (when it was active). Other types of federal debt will have their own specific resolution processes.

Once resolved, ask the agency to update CAIVRS to reflect the cleared debt. Keep in mind this process may take several weeks, so address the issue promptly if you’re planning to apply for a federal loan.

Your CAIVRS report includes a 10-digit code that shows your status in the database. Here’s what the key codes mean:

• A: Approved (no credit issues)

• B: Multiple cases found

• C: Claim filed

• D: Default on loan

• F: Foreclosure

• J: Judgment filed

• No Record: No adverse credit information

If you see a code other than “A” or “No Record,” it indicates a potential issue, such as a claim, default, foreclosure, or judgment filed by the listed federal agency.

To request a CAIVRS waiver, apply to the government agency responsible for the debt or the agency handling your loan or benefit application. You’ll need to demonstrate that your circumstances warrant an exception, typically by:

• Proving circumstances beyond your control, such as identity theft, a natural disaster, or a severe medical emergency.

• Showing good faith efforts to resolve the debt, like evidence of past payments, settlement attempts, or participation in rehabilitation programs.

• Providing evidence of current financial responsibility, including recent credit reports, bank statements, or proof of stable income.

Required documentation may include:

• Police reports or credit reports for identity theft.

• Insurance claims or FEMA assistance records for natural disasters.

• Medical bills or doctor’s statements for emergencies.

• Financial records, such as bank statements or pay stubs.

Only the agency’s head or chief financial officer has the authority to grant a CAIVRS waiver. Waivers are rare, and resolving the debt is often required instead.

Discovering an error on your CAIVRS report can be concerning, but it’s usually fixable. To resolve an error in a CAIVRS report, follow these steps:

1. Identify the Error: Your lender will provide details about the flagged delinquency, including the agency responsible, the type of debt, and contact information.

2. Verify the Source: Review the information for accuracy. Common errors include identity theft, where unfamiliar accounts or activity may appear on your credit report; incorrect reporting, such as errors in loan documents or payment history; and mistaken defaults, where a debt is incorrectly flagged despite payments or settlements.

3. Contact the Reporting Agency: Provide clear documentation (e.g., payment records, settlement agreements, or identity theft reports) to the agency responsible. Request correction of the error.

4. Follow Up: Ensure the agency updates CAIVRS after correcting the mistake. Remember, you cannot update CAIVRS yourself.

CAIVRS waivers are extremely rare. They are typically only granted in exceptional circumstances, such as when the debt is due to identity theft, a significant reporting error, or other extenuating circumstances beyond the borrower’s control.

Many lenders and agencies will prioritize resolving the underlying debt over pursuing a waiver.

In most cases, borrowers must work directly with the relevant federal agency to pay the debt, negotiate a settlement, or establish a repayment plan.

For example, resolving defaulted federal student loans typically takes 2-3 months, plus up to 10 business days for the CAIVRS database to update. Because waivers are so rare and difficult to obtain, they are not a reliable option for loan approval. Focus on addressing the underlying debt to clear your CAIVRS record.

Contact Information for Reporting Agencies

If you need to dispute or correct information in a CAIVRS report, contact the relevant agency directly:

Yes, you can appeal a CAIVRS waiver denial, but it’s important to understand that success is extremely rare. Waivers are typically only granted in exceptional circumstances, and appealing a denial requires a strong case.

To initiate an appeal:

1. Request a written explanation for the denial: Contact the agency that denied your waiver and request a detailed explanation of their decision.

2. Gather supporting documentation: This may include proof of debt resolution, evidence of financial rehabilitation (e.g., credit reports, bank statements), or details of special circumstances that may warrant a waiver. Examples of special circumstances include identity theft, significant reporting errors, and circumstances beyond your control.

3. Submit your appeal: Follow the agency’s specific appeal procedures. This may involve submitting a formal written appeal, including all supporting documentation, within a specified timeframe.

For most federal debts, a CAIVRS report remains active for up to three years after the associated claim is paid. This means the agency has been fully reimbursed for any losses related to the debt. This period, also known as the ‘seasoning period,’ varies by agency.

The ‘seasoning period’ — the time a CAIVRS report remains active after the associated claim is paid. Here’s a breakdown:

Federal student loans are different—they stay in CAIVRS until the default is resolved through rehabilitation, consolidation, or full repayment. Resolving the debt is often required to clear the report and regain eligibility for federal loans.

The time required to clear a CAIVRS report depends on the type of debt and the resolution method.

As we said earlier, for most federal debts, a CAIVRS report remains active for a period of time even after the debt is resolved. This is known as the “seasoning period” and varies by agency.

Here’s a breakdown of typical clearance timelines:

Student Loans

• Loan Rehabilitation: Once the required 9-12 months of on-time payments are complete, a loan servicer can request a claim release, which means the government is no longer seeking reimbursement for losses on the loan. The CAIVRS report is typically cleared within 24 hours after the release is processed.

• Loan Consolidation: After completing the consolidation process, clearance can be finalized within 24 hours, following confirmation by the agency.

• Settlements: CAIVRS is updated within 5 days of the settlement payment clearing.

Other Federal Debts

• Paying Debt in Full: For most federal debts, the report is cleared within 2-3 weeks after payment documentation is submitted and processed.

• Loan Rehabilitation: Other federal loan programs may require several months of consistent payments before a request for clearance can be made, with total timelines varying by agency.

• Debt Consolidation: Typically takes 2-3 months for clearance to be processed, though timelines can vary.

Notes

• Each federal agency (e.g., HUD, USDA, VA) has unique rules for debt resolution and CAIVRS updates.

• Resuming payments alone does not clear a CAIVRS report; the debt must be fully resolved.

• Clearance timelines are determined by the agency handling the debt, and lenders cannot expedite the process.

Yes, you can call CAIVRS, but access is limited to authorized users, such as federal agencies and approved lenders. Individuals cannot request their own CAIVRS report.

CAIVRS phone numbers:

• System Administrator: (301) 292-1661

• Interactive Voice Response: (301) 588-2233 (Monday–Saturday, 9 AM–9 PM Eastern Time)

• Toll-Free: (877) 636-3789

If you have questions about your CAIVRS record or believe there may be an error, it’s best to contact the agency responsible for the debt in question.

No, individuals cannot directly pull their own CAIVRS report. Access to CAIVRS is restricted to authorized users, including federal agencies like the Department of Housing and Urban Development, the Department of Agriculture, the Department of Veterans Affairs, and the Small Business Administration.

Approved lenders, such as FHA-approved mortgage lenders and other authorized lending institutions, can also access the system. These entities use CAIVRS to verify applicants’ federal debt status and assess eligibility for loans or guarantees.

In most cases, the fastest way to clear CAIVRS is through student loan settlement or loan consolidation. It’s possible to handle this process on your own, but missteps could jeopardize your financial goals, including the ability to keep your home or qualify for a new loan.

As a student loan lawyer, I’ve worked with dozens of clients facing the same challenges and can help you efficiently resolve your CAIVRS issues.

If you’d like personalized assistance, schedule a call with me today. Together, we’ll review your loans, explore your options, and set realistic expectations for clearing your record.

Related reading:

• Can you buy a house with student loans?

• Should I consolidate my student loans before buying a house?

• Mortgage denied due to student loans? Here’s what to do