Help Me Understand . . .

Anonymous · ‎02-11-2016

So I have a defaulted student loan from Dept of EDU.

I'm currently in the rehab program for 9 months with Allied Interstate.

My rehab period ends in April 2016 as I have 2 more payments left.

So when I complete this, the default status will fall off the remarks in the CR ??

When the new loan company takes it over, they will update the tradeline & remove all of the late payments ??

If this is true, this will be a breath of fresh air as this is the worst thing on my report now.

!!!!

mzladyk · ‎02-11-2016

That is what I'm currently trying to accomplish right now. I finished my rehabilitation in Oct/Nov of 2014. Yes, over a year ago. Good news is the NEW accounts (new tradelines) shows it as paid.

BUT the old accounts prior to the default is still a mess I'm trying to straighten out. Some didn't close nor did they remove ANY lates. The ones that did close properly at least showed that they were transferred to another office, so not in default status. But they're still there on my file with all the negatives and late payments. The ones that didn't close properly is a hassle to figure out and dispute.

It seems as if some people get lucky and the servicers, both new and old, update correctly.

I'm with you... I want that breath of fresh air because it is still the ONLY bad thing on my report right now.

Anonymous · ‎02-12-2016

@mzladyk wrote:
That is what I'm currently trying to accomplish right now. I finished my rehabilitation in Oct/Nov of 2014. Yes, over a year ago. Good news is the NEW accounts (new tradelines) shows it as paid.

BUT the old accounts prior to the default is still a mess I'm trying to straighten out. Some didn't close nor did they remove ANY lates. The ones that did close properly at least showed that they were transferred to another office, so not in default status. But they're still there on my file with all the negatives and late payments. The ones that didn't close properly is a hassle to figure out and dispute.

It seems as if some people get lucky and the servicers, both new and old, update correctly.

I'm with you... I want that breath of fresh air because it is still the ONLY bad thing on my report right now.

mzladyk are your loans through the DOE ? They hired Allied Interstate to handle my rehab; did you use them too?

mzladyk · ‎02-13-2016

Mine were previously with Navient & Fed Loan Servicing. I had to pay US Dept of Ed. and ACT during my rehabilitation process. They were then picked up by Navient and Nelnet.

Just be prepared to go over your reports with a fine tooth comb because sometimes it's not clear which acct was which. You have to make sure you rehabilitated all of your loans and that they're all accounted for after they are picked up again.