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Member
onslaught
Posts: 9
Registered: ‎11-17-2011

Help Needed with Defaulted Student Loans

Hello. I have a few questions about what I should do. Here is my situation:

 

  • I have 2 student loans with Sallie Mae that I first defaulted on back in 2005. I believe the DoFD for both was May 2004. I never made any payments on either loan, but when I started attending school again in 2005, the statuses for the loans went from being "120+ days late" to "OK" and then back to "120 days late" in August of 2006. The current status for both loans is "Closed, debt being paid through insurance."
  • Sallie Mae appears to have sold the loans to a CA named ISAC. ISAC has one of the loans listed on my Equifax credit report, both of the loans listed on my TransUnion credit report, and neither of the loans listed on my Experian credit report. The DoFD for both is April 2007, but the date of last payment is March 2008, even though I have never made a payment on either loan (unless they are counting my tax returns). The status for both loans is "Open, collection account." The most recent date these accounts were reported was on March 6, 2012.
  • According to TransUnion, the balances for the ISAC loans are $5054 and $3068. According to Equifax, the balance for one of the loans is $3269 (this loan corresponds to the one with the $3068 balance on TransUnion).

Here are my questions:

 

  1. If I want the ISAC information to fall off of my credit report, how long do I have to wait? Will the DoFD be calculated based on my Sallie Mae account, will it be based on when ISAC first reported the loan late, or will it be based on a date after ISAC claims I made a payment in 2008?
  2. Should I DV ISAC to figure out the discrepancy between the loan balance reported on TransUnion and Equifax? I am concerned about them reporting both loans to all CRAs.
  3. If I consolidate the loans, how does that change the statuses of my ISAC accounts?

Thank you for any help you can provide me.

Established Contributor
jadeite788
Posts: 509
Registered: ‎09-25-2009

Re: Help Needed with Defaulted Student Loans

Did they take your tax return refund check, because that is what it sounds like.  If so that is why it is ok, so technically you are out of default, and I recommend making payments to keep it that way.   april 2014 +180 days since it was sent to collections


Starting Score: 565
Current Experian Score: 634 (Lender pull)
Current Equifax Score: previous 668, 680 as of 11/12/13 lender pull
Current Transunion Score: previous 675,677 as of 09/23/13
Goal Score: 750

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Established Contributor
jadeite788
Posts: 509
Registered: ‎09-25-2009

Re: Help Needed with Defaulted Student Loans

Also I would dispute the loan balance on Equifax as well.


Starting Score: 565
Current Experian Score: 634 (Lender pull)
Current Equifax Score: previous 668, 680 as of 11/12/13 lender pull
Current Transunion Score: previous 675,677 as of 09/23/13
Goal Score: 750

Take the FICO Fitness Challenge



Member
onslaught
Posts: 9
Registered: ‎11-17-2011

Re: Help Needed with Defaulted Student Loans

Ohhhh! That makes a lot of sense. Yes, they have been taking my tax return refund checks.

 

So, what would you say in the dispute letter to Equifax? Im guessing that I should send a DV letter to ISAC first.


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