How long can student loans report negative activity?

[Anonymous]

Sallie is reporting several late pays from 2002. They also sent my account to their collection agency (US Funds) and are calling it a charge off. Also dated 2002. Their collection agency worked with me to rehabilitate the loan and I eventually consolidated and I've been paying ever since. How should I proceed? It's after the 7 yrs but I read that doesn't apply to student loans. Are they just going to penalize me forever for something that happened 10 yrs ago?! Not that I would put that past them....

[Anonymous]

You might get better answers if this gets moved to the Student Loan forum.

When did you rehabilitate? Generally speaking, the default information is removed but all the lates leading up to the default stay. That said, if the loan defaulted in 2002 I'm a little surprised to see that that information is still being reported. Have you spoken with Sallie Mae? Yes, they are a bureaucratic red tape-ridden pain to deal with, but I'm reasonably sure they aren't out to intentionally ruin people's credit reports. It is possible that this is merely a clerical error.

[Anonymous]

Oh, how silly of me!  I have been living and breathing this board to learn as much as I can --- I never even noticed the student loan board. 

I rehabbed in 2002 and it's the "current status" section that still says "120+ days late" or "charge off" even though the actual balance says zero.  One of the comments on the account says "being paid by insurance."  I dont' even know what that means! 

Thank you for pointing out the student loan board.  I'm sure I'll probably find somebody who's gone through my situation or has some ideas. 

[Anonymous]

No worries...it's just that there's been a LOT of discussion over there about misreporting on rehabbed student loans. Exactly how a loan should be reported post-rehab seems to be a bit of a gray area, it seems, and depending on the lender involved it can be easy to fix or a colossal pain.

I think you might be able to flag down one of the mods and have them move it.....MOD? Are you there? (I think of them like helpful angels, always watchin'!)