Basically, I have been on the income contingent plan for 3.5 years. No problems or missed payments during this time. Prior to that, I was in default for about 2.5 years. I was very young and did not understand anything about loans/credit/financial hardship etc. I have my loans consolidated with Mohela (30k. Only borrowed 19k. UGH)
So, I tried to get back into school a year ago. My college would not release my transcripts. They said I have a private loan that defaulted and I have to pay them first. I was FLOORED and CONFUSED. I did not know of any such private loan.
I checked my credit report which has dozens of loan tradelines. Other than my current/in good standing loans, all tradelines are reporting $0...except I saw a Nelnet loan reporting a 4k Balance. That's around the same amount the school said I owed, it was off by about ten dollars.
So, it looks like Nelnet had given me some type of private loan through a bank, and after I did not pay, my college bought the debt and I now owe them.
I definitely do not have 4k, they said they would settle since the debt is very old. At the time, I did not have money to spare and never sent an offer. I do want to go back to school in 2015 but now I have another issute.
Main question:
If I settle this loan, will that restart SOL on the Nelnet loan that is on my credit report?? Or will they not even know since my college now owns debt?? The Nelnet tradeline with a balance is due to fall off 10/2015 so I do not want to do anything to restart the clock. I want that OFF my reports! But I also know I must settle the debt with the new owner of the debt, otherwise I can never attend school again 
Any input would help! Thanks!
@xosamandaxo wrote:Main question:
If I settle this loan, will that restart SOL on the Nelnet loan that is on my credit report?? Or will they not even know since my college now owns debt?? The Nelnet tradeline with a balance is due to fall off 10/2015 so I do not want to do anything to restart the clock. I want that OFF my reports! But I also know I must settle the debt with the new owner of the debt, otherwise I can never attend school again
No, it will not restart the SOL. & if you settle, make sure they consider that payment as payment in full, not just settled. That way even if by some bizarre occurrence it did restart the SOL, there would be no balance to restart the SOL on...does that make sense?