COLLECTION OF STUDENT LOAN FROM 18 YEARS AGO

[Anonymous]

When you call them to make arrangements, ask them about their reporting.   In my case, they were reported as collection account while they were being paid, and then after bening paid, It left me with a good tradeline.    

In my case, they were private loans that were sold to the government.   

[jim44]

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@housejunkie81 wrote:

so if i did a one lump sum do you think it will then start reporting, did it hurt your credit when it hit the report

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OP- From my SO's experience and this was many many moons ago, she had three defaulted student loans show up on her CR.  They were over 20 years old and were Federal Guaranteed SLs. Just after they started reporting her employer received the garnishment order from the US Treasury Dept.  After two pay checks of garnishments, she contacted the Treasury Dept... filled out a form listed her debts vs income and was allowed to make monthly payments that fit her budget. The garnishments immediately stopped and the Treasury Dept removed the baddies from her CR in just a few months. She did asked them to be removed. I'm sure now things are totally different with a multitude of payment plans....etc to choose from.  

You should work with the right dept BEFORE things come to head and you receive a judgement or garnishment.  JMHO..  Best of Luck OP.