Do you guys have any other student loans? If you do, it may be easier for you to do a consolidation loan and include the defaulted loan. It may take a while but generally a collection agency is happy when you can prove to them that you are consolidating because they KNOW they will get their money.
If you have other loans, I'd go online RIGHT now and start the process. Make sure to print out a copy of your application so you will have proof for the collection agency. Or you can make a 3 way call between yourself, the collection agency and your consolidation company to verify that you are actually consolidating and including the defaulted portion into your consolidation loan.
That is what I would do. Also, once the loan is consolidated, you get all your federal aid eligibilty back. Also, the original student loan company that is listing the default on your credit report MAY remove the default status (technically the loan isn't in default once it's paid). Or at the very least they will add it's been paid in full through consolidation which is better than just a straight out default.
Let me know if you have any other student loans and who they are with and I will help as much as possible.
creditgirl
Message Edited by creditgirl on
10-27-2007 04:17 PM
FICO 9/1/07 FICO 9/26/07
TU--534 TU--538
EX---552 EX---562
EQ---454 EQ---454