Reply
New Member
Mooog
Posts: 5
Registered: ‎08-31-2011
0

Citibank Student Loans - 4 Separate Hits on Credit Report

[ Edited ]

Hello everybody - This is mt first post and I was hoping you guys could help me out with a problem I'm having.  Like many other people around here, I was pretty irresponsible right out of college and didn't pay my student loans on time.  I got my act together last year and have been in good standing and on time with all of my bills since April 2010.  I've been on time with all of my bills for about a year and a half now but I never ran my credit report until recently, probably out of fear of what I would find!  Anyways, I just pulled it from Experian and I was hoping you guys could help push me in the right direction.

 

I have about $10K spread over 4 seperate stafford loans from Citibank for which I have several 30, 60, and 90 day delinquencies prior to April 2010.  My credit report is showing 4 seperate hits, one for each loan.  This just seemed a little strange to me as I send one payment to Citbank each month.  Is this correct?  Should it be showing 4 hits or should it just be showing 1 hit?  I recently called up a regular old customer serivce rep and they told me they were sorry, but there was nothing they could do.  It seemed like a canned response, and I thought I'd turn to the experts to see how I should approach it.  Thanks!

New Contributor
amh783
Posts: 67
Registered: ‎05-16-2011
0

Re: Citibank Student Loans - 4 Separate Hits on Credit Report

Moog, the same thing happens with my boyfriend's Citibank. You make one payment, but they are spread across four different loans.

I sent a letter to the address you can find online while in your account, trying to GW the lates. They won't remove them, but did issue a retroactive forbearance for the time period of the lates. Hasn't changed my credit report, but I did submit it to our Loan Officer for our mortgage application package - he said it would help.


Starting Score: April 2011: EQ 606 TU 585 EX FAKO 574
Current Score: Dec 2012: EQ 738 TU 740
Goal Score: 800


Take the FICO Fitness Challenge
Established Contributor
Tazman81
Posts: 719
Registered: ‎06-23-2010
0

Re: Citibank Student Loans - 4 Separate Hits on Credit Report

Hi Moog:

 

Welcome to the forums.  You will find that most people have multiple student loans on their credit report.  Normally what happens is for each quarter/semester, a new student loan is issued (thus creating a new account on your credit).  If you have multiple with the same company, they try to simply your billing by allowing you to make 1 payment, and they just spread that payment across all of your accounts.  So, it sounds to me that the reporting they have is correct.

 

Though you can try a good will letter with regard to the lates, I have not seen many success stories of GW when it comes to student loans.  They seem to be a beast in their own since the bank has the upper hand in that you HAVE to pay them back.  It sounds to me though that you have things in order and your last late was in April 2010.  Though in the FICO world, that is not very long ago, I promise with another year under your belt you will see those lates hurt even less.  You are now replacing your "bad" history with a good history and that shows the banks you are being responsible.

 

With regard to your credit report, you may want to go ahead and get all 3 of your credit reports from annualcreditreport.com.  This way you can make sure that there is not something one your Equifax & TransUnion reports that you did not see on your Experian.  Unfortunately, all reports are not created equal.  If you see any discrepancies, make sure you dispute them.  You don't want anything sneaking up on you in the future since you've done a great job with the rebulding process.  So, though I don't have exciting news on an easy way to get those lates removed, just know that we've all been there, and we've all had to do our share of "waiting".  The time will be over before you know it and you will continue to see your score go up.


Starting Score: Eq: 662 Tu: 532 (03/02/2011) CH7BK 01/12/2009 Discharge
Current Score: Eq: 692 (04/03/2013) Tu: 717 (04/03/2013)
Goal Score: Eq: 720 Tu: 740

Wallet: Chartway Visa 10k | AMEX Costco TE (AU) 25k | Cap One MC 750 | Cap One Visa 750
Established Contributor
Tazman81
Posts: 719
Registered: ‎06-23-2010
0

Re: Citibank Student Loans - 4 Separate Hits on Credit Report


amh783 wrote:

Moog, the same thing happens with my boyfriend's Citibank. You make one payment, but they are spread across four different loans.

I sent a letter to the address you can find online while in your account, trying to GW the lates. They won't remove them, but did issue a retroactive forbearance for the time period of the lates. Hasn't changed my credit report, but I did submit it to our Loan Officer for our mortgage application package - he said it would help.


You are correct.  Sometimes things like this showing where "technically" you shouldn't have had a payment can help when getting mortgages because it gives an extenuating circumstance on why you were late and that you were just not being irresponsible.  Good luck with the mortgage.  Just remember, keep it in the payment range that YOU are comfortable with, verses the range the bank wants to approve you for.  :smileyhappy:


Starting Score: Eq: 662 Tu: 532 (03/02/2011) CH7BK 01/12/2009 Discharge
Current Score: Eq: 692 (04/03/2013) Tu: 717 (04/03/2013)
Goal Score: Eq: 720 Tu: 740

Wallet: Chartway Visa 10k | AMEX Costco TE (AU) 25k | Cap One MC 750 | Cap One Visa 750
New Contributor
PNut08
Posts: 51
Registered: ‎08-25-2011
0

Re: Citibank Student Loans - 4 Separate Hits on Credit Report

Yeah, all the student loans list individually since they originate a new one each semester. I have student loans through citibank and they show up as 3 separate CLs on my CR. I had trouble making the payments back in 2008 when I was still in school so now I have 3 accounts showing late payments on my CR. I've made every payment on time for the last 3 years on those accounts and decided to try a GW letter. I'm not hopeful that they will take the lates off my CR, but it's worth a shot. 7 years of reporting lates seems on the ridiculous side to me esp. considering that those lates aren't indicative of my creditworthiness. I'm now out of school so I'm not a student who barely lives above poverty any longer. As such, I've made every payment on every account on my CR on time for the last 3 years, but I still get dinged for those lates for another 4 years :smileysad:.

New Contributor
Hairy_Satchel
Posts: 52
Registered: ‎12-09-2008
0

Re: Citibank Student Loans - 4 Separate Hits on Credit Report

I think it stinks the way one late payment shows up multiple times. My response to that was to designate payments to the smallest loan first and close them out one by one. Now I have 4 TL showing PIF in full with only one left to go. I think I will eat PB&J next month and get this monkey off my back once and for all.   

New Member
Mooog
Posts: 5
Registered: ‎08-31-2011
0

Re: Citibank Student Loans - 4 Separate Hits on Credit Report

Thanks guys for all of the responses.  I figured I'd just throw up a few responses to a couple of the comments I've seen.  I also just wanted to point out that my credit score is now a 697 and I had several deliquencies up to 150 days as well as a couple charge offs in 2008.  If I can get back to 700, you can do it too...

 

amh783 - I'm going to try a GW letter, but after searching the board, I wasn't able to find one instance of someone having any luck with Citibank.  It just seems very silly to me.  If I had consolidated those 4 loans at the start, I'd be paying virtually the same amount each month, but I would have only one hit on my report.  Silly.

 

 

Tazman81 - Thanks for the introduction.  I only ran the Experian report at first because I wanted to see if there was anything I could have removed right off the bat.  My thought process was that if I was able to get something removed, I could run then another free report for one of the other bureaus to see if it actually came off a few months later.  For example, I sent a goodwill letter to Chase yesterday and received an email back asking to speak to me to get more details.  Hopefully that comes off, and my report will look a little better when I run the Equifax or Transunion reports.

 

 

Hairy_Satchel - While I think that is alright advice, I'm approaching it by paying off the interest only on my Sallie Mae loans, and applying everything else to the principal of the highest interest rate loans.  I don't have any trouble paying my bills on time anymore, so I'm really jsut trying to limit the amount of interest I pay. 

 

Established Contributor
Tazman81
Posts: 719
Registered: ‎06-23-2010
0

Re: Citibank Student Loans - 4 Separate Hits on Credit Report


Mooog wrote:

Thanks guys for all of the responses.  I figured I'd just throw up a few responses to a couple of the comments I've seen.  I also just wanted to point out that my credit score is now a 697 and I had several deliquencies up to 150 days as well as a couple charge offs in 2008.  If I can get back to 700, you can do it too...

 

amh783 - I'm going to try a GW letter, but after searching the board, I wasn't able to find one instance of someone having any luck with Citibank.  It just seems very silly to me.  If I had consolidated those 4 loans at the start, I'd be paying virtually the same amount each month, but I would have only one hit on my report.  Silly.

 

 

Tazman81 - Thanks for the introduction.  I only ran the Experian report at first because I wanted to see if there was anything I could have removed right off the bat.  My thought process was that if I was able to get something removed, I could run then another free report for one of the other bureaus to see if it actually came off a few months later.  For example, I sent a goodwill letter to Chase yesterday and received an email back asking to speak to me to get more details.  Hopefully that comes off, and my report will look a little better when I run the Equifax or Transunion reports.

 

 

Hairy_Satchel - While I think that is alright advice, I'm approaching it by paying off the interest only on my Sallie Mae loans, and applying everything else to the principal of the highest interest rate loans.  I don't have any trouble paying my bills on time anymore, so I'm really jsut trying to limit the amount of interest I pay. 

 


Each credit agency is different.  When you dispute an issue with one credit agency, it does not automatically get fixed with a different agency.  So you would need to check all 3 of your reports.  If each of your reports has discrepancies (and the discrepancies may be different per report), then you would need to dispute with each credit agency.


Starting Score: Eq: 662 Tu: 532 (03/02/2011) CH7BK 01/12/2009 Discharge
Current Score: Eq: 692 (04/03/2013) Tu: 717 (04/03/2013)
Goal Score: Eq: 720 Tu: 740

Wallet: Chartway Visa 10k | AMEX Costco TE (AU) 25k | Cap One MC 750 | Cap One Visa 750
New Visitor
ZeroHero
Posts: 3
Registered: ‎09-02-2011
0

Re: Citibank Student Loans - 4 Separate Hits on Credit Report


Mooog wrote:

 

Hairy_Satchel - While I think that is alright advice, I'm approaching it by paying off the interest only on my Sallie Mae loans, and applying everything else to the principal of the highest interest rate loans.  I don't have any trouble paying my bills on time anymore, so I'm really jsut trying to limit the amount of interest I pay. 

 


Mooog,

 

You approach makes sense statistically, and even more so if you can stick to it. If your loans are all about the same amount and interest rate the way you're handling it is fine. The problem is that we are creatures with emotions and patterns of behavior. :smileyhappy: If your loans are of varying amounts I would recommend tackling the smallest one first and paying minimums on the rest. Once that is paid off you can take the total sum you were paying on the small one and apply it to the next smallest. This "snowball" effect is VERY powerful. You may find that you pay things off quicker than playing the interest/statistics gaem. Just something to think about.

Established Contributor
Tazman81
Posts: 719
Registered: ‎06-23-2010
0

Re: Citibank Student Loans - 4 Separate Hits on Credit Report


ZeroHero wrote:

Mooog wrote:

 

Hairy_Satchel - While I think that is alright advice, I'm approaching it by paying off the interest only on my Sallie Mae loans, and applying everything else to the principal of the highest interest rate loans.  I don't have any trouble paying my bills on time anymore, so I'm really jsut trying to limit the amount of interest I pay. 

 


Mooog,

 

You approach makes sense statistically, and even more so if you can stick to it. If your loans are all about the same amount and interest rate the way you're handling it is fine. The problem is that we are creatures with emotions and patterns of behavior. :smileyhappy: If your loans are of varying amounts I would recommend tackling the smallest one first and paying minimums on the rest. Once that is paid off you can take the total sum you were paying on the small one and apply it to the next smallest. This "snowball" effect is VERY powerful. You may find that you pay things off quicker than playing the interest/statistics gaem. Just something to think about.


Hi Hero:

 

The approach that you described makes sense in certain cases.  In Mooog's cause, it sounds like they want to pay the least amount of interest in the long run, so paying off the loan with the highest interest rate first is the most logical approach.  The case that you are describing is for those of us that need to see some type of "benefit" or "accomplishment" with paying off our bills.  So, if we can say, yes, I made it.  I paid off 1 bill, then it will give us the encouragement to continue payment on the other bills to try and get them off.  Depending on the interest rates, this approach could cause more money to be paid out in interest in the long run, but is still a very very good and valid approach to take if you need to see some type of accomplishment in the short term.  Good suggestion.


Starting Score: Eq: 662 Tu: 532 (03/02/2011) CH7BK 01/12/2009 Discharge
Current Score: Eq: 692 (04/03/2013) Tu: 717 (04/03/2013)
Goal Score: Eq: 720 Tu: 740

Wallet: Chartway Visa 10k | AMEX Costco TE (AU) 25k | Cap One MC 750 | Cap One Visa 750

myFICO is the consumer division of FICO. Since its introduction 20 years ago, the FICO® Score has become a global standard for measuring credit risk in the banking, mortgage, credit card, auto and retail industries. 90 of the top 100 largest U.S. financial institutions use the FICO Score to make consumer credit decisions.

>> About myFICO
FICO Score - The Score that matters
Click to Verify - This site chose VeriSign SSL for secure e-commerce and confidential communications.
Fair Isaac Corporation is a BBB Accredited Financial Service in San Rafael, CA
FOLLOW US Social Media Facebook Twitter Pinterest Google+
}