Dept of Ed/Nelnet and DEPT of Ed/Navient

[kaybub]

Hello all!

I have a question about reporting of student loans once they are rehabbed. I recently rehabbed my student loans and just this week have received 4 new TL's that dates back. They are now assigned to Navient. The original student loan TL's are also still on my report as Closed and 120+ days past due. The closed dates on the original TL's are Aug. 2003, Oct. 2005, Oct 14,2004, and Oct 27,2005. 

My questions is can I dispute the origianl TL's as being past the 7 year reporting time line? The new TL's match the dates that I listed above.

Please help!

[Simply827]

I would think so.

[Anonymous]

Once your loans are rehabbed, the old servicer (in my case ECMC) is suppose to remove their TL's permanenty. I might try calling them first. It might just be that they haven't processed the deletion yet. My loans were sold on 1/20/15 to Navient and ECMC told me it takes 2-3 weeks for them to process the TL deletions.

[Anonymous]

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@Anonymous wrote:

Once your loans are rehabbed, the old servicer (in my case ECMC) is suppose to remove their TL's permanenty. I might try calling them first. It might just be that they haven't processed the deletion yet. My loans were sold on 1/20/15 to Navient and ECMC told me it takes 2-3 weeks for them to process the TL deletions.

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Hi slophotog! Thanks for your post, this is so reassuring to hear. ECMC and FAMS (and Sallie Mae, and NelNet) have all head my student loans at one point. Such a mess to get this consolidated and rehabbed. I filled out my rehab/consolidation request with Navient like 4 months ago. And I have not heard anything back from them yet. What is taking so long? When I call, I get a recording about how they're waiting for the other companies to provide Navient with more information. How long did it take for your paperwork and stuff to go through? And how much is your total student loan nut? Monthly payments? Interest rate? Any info would be super helpful. Also, am I understanding it correctly that once I get rehabbed and am in good standing with Navient (maybe like 6 months of on-time payments) that the other student loan companies will delete all their entries on my credit file? There are 42 hits as a result of my defaulting and 10 years of neglect. 

[Anonymous]

I received my first communication from Navient on 1/30/15. I was provided very clear notices by email regarding my loan balances and payment plan. The loan principle (4 loans) is $16,766.28 and they established a payment amount of $213.50 to start on 3/25/15. I'm also paying $369.00 to the USDOE for a direct loan rehab, so I'm going to ask Navient to lower my payments (which seems fairly easy to do with tools on their website). So far, it's been all very quick and efficient.

I haven't received any alert notices from MyFICO that the old TL's have been deleted (12 in total!). I'll wait 30 days or so and pull new reports to see if there are changes. I'm most curious to see the effect on my score once all the old defaults are gone.

[Anonymous]

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@Anonymous wrote:

I received my first communication from Navient on 1/30/15. I was provided very clear notices by email regarding my loan balances and payment plan. The loan principle (4 loans) is $16,766.28 and they established a payment amount of $213.50 to start on 3/25/15. I'm also paying $369.00 to the USDOE for a direct loan rehab, so I'm going to ask Navient to lower my payments (which seems fairly easy to do with tools on their website). So far, it's been all very quick and efficient.

I haven't received any alert notices from MyFICO that the old TL's have been deleted (12 in total!). I'll wait 30 days or so and pull new reports to see if there are changes. I'm most curious to see the effect on my score once all the old defaults are gone.

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I've noticed the Scorewatch on this site for some reason doesn't trigger when a baddie is deleted.  From what I've seen a balance chance, inquiry, or new account info seem to be what trigger it which can be very confusing when an inquiry triggers a score change (and also a baddie or 2 got deleted) and your score jumps a bunch lol.

Oz

[Anonymous]

Really?? I was under the impression that any activity triggered an alert. What's the point of paying for the service if only certain activity triggers an alert notice.

[Anonymous]

UPDATE!

Navient has added their TL's, most of the old ones have been deleted with the exception of Sallie Mae (I'll be sending them a letter now).

Best news of all, I got a +79 point increase in score!

Unfortunately, none of this information came from myFICO; I had to sign-up for a free trial at Identity Guard to see the changes. With all this activity why would there be no alerts from myFICO?

[Anonymous]

Sorry, but I am new here and had a question. First is TL = Trade Line and once you rehabbed are all the baddies suppose to be deleted? I am curently with  Dept of Ed for 3 of my loans and Great Lakes with the other 2 all in rehabilitation. 

[SCF]

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@Anonymous wrote:

Sorry, but I am new here and had a question. First is TL = Trade Line and once you rehabbed are all the baddies suppose to be deleted? I am curently with  Dept of Ed for 3 of my loans and Great Lakes with the other 2 all in rehabilitation. 

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Welcome to the forums!  Yes, TL is shorthand for tradeline around here.  Once you complete your rehab, the collection agency (CA) that was reporting your loan is required to delete its reporting entirely.  The tradelines from the original lender (who held the loan before you defaulted) are required to remove all remarks/notations related to the default and the default status.  This means that the loan's status will change to "paid," "closed," or similar, and any remarks like "claim filed with the gov't" will be removed.  They are not REQUIRED to remove the lates that led up to the default, but some lenders do, giving an even greater score boost.