I'm desperate, please help!

[PresidentPatton]

So I have rehabbed my 2 SLs, I made my 9th pmt on may 24th! I had one loan that was a Direct Loan and one that was an FFEL Loan. The direct loan was funded and picked up by Nelnet this week! My FFEL is still sitting with collections, I am working on getting that funded and picked up ASAP. My problem is that I am trying to get into a house with an FHA loan. My very helpful loan officer had me apply back in may knowing about my SL issue. The reason I jumped the ball on applying was to get an FHA case number before June 1st in order to avoid the new regulations that would have cost me more money. Now at this point in that roller coaster I am being told my my LO that I need to have the DOE to remove the Default and Collection status before we can move further. They have stated that if I can get a letter from them stating that I am no longer in default or collections that they can rescore it but only after they have that paperwork. My current question is this... Should I dispute the lines on my credit that show that I am in default since technically I have completed the rehab process and am no longer in default? Has anyone had any luck getting this to work? It seems that the DOE moves at their own pace and I don't have time to wait as my closing date is currently scheduled for the 28th!

Any help is greatly appreciated!

[dlee]

If you have successfully rehabilitated a loan after default, you can contact the company you defaulted with, and request that they change your final report from "defaulted," to "account transferred." Good luck!

[Capya]

I'm in the exact same point of my Rehab -  I've made 10 payments now, called and confirmed that my rehab was over, my 2 FFEL loans were picked up by sallie mae, and my direct loan is still waiting to be picked up (from the DoE).

Now, the good news:

I got my TransUnion credit report, and on a whim decided to dispute one of the 2 Student Loan tradelines online - 24 Hours later, I got the response:  It was deleted!  (This TL was for the direct loan that still hasn't been picked up)

I immediately got my Experian credit report, and disputed (online) the 2 Student Loan TL's on that report - 24 hours later, they were both deleted

Equifax won't let me see my report online, so I'm going to try to call in and dispute any SL TL's over the phone.

Oh, and now that Experian sells Fico scores again here on myfico.com,  I bought my Exp score - 767!!!!  (up from 572 just 10 months ago!)

[PresidentPatton]

Wow Capya, that is awesome! I think I'm gonna dispute them too, what did you list as the reason for the dispute? Does anyone think the dispute would cause a problem with trying to get my mortgage? I sure hope not. Fingers crossed that this cleans up soon!

Ry

[Capya]

the reason for the dispute that I used was either "not my account" or "should report always on time/never late"   I'm not 100% sure, but I think either way will have the same effect.

[Capya]

Even better, TransUnion accidentally deleted my only other collections account in the process of deleting my student loans tradelines!    

This sent my TU score from 557 in October '12  to 797 today!