Reply
New Visitor
Posts: 1
Registered: ‎01-06-2014
0

Removing Nelnet Delinquency

Hello,

 

I originated 7 student loans during school, some a couple hundred and some in the thousands.  All of which were bundled up and sold to Nelnet prior to graduation.  While in graduate school (2006-2007), I was granted forebearance from the loans.  I landed a job, moved away and started working in May 2007.  I made the mistake in not notifying Nelnet of my new address and lost track of the forebearance deadline.  After checking my credit report in the fall of 2007, I realized there was a problem.  Nelnet had reported to the bureau's that I was 90+ dpd and not only that, I was 90+ dpd on all 7 loans.  There were 7 separate items of delinquency, all adversely impacting my score.  Now, I understand that I should take responsibility for not updating my address and understanding the forebearance period at the time.  BUT, I feel slighted by the nature of the reporting process.  From my standpoint, I missed ONE payment, NOT 7 payments.  This simply doesn't accurately reflect my credit worthiness.  Because of this reporting method, my credit has been stuck under 650 for the past 6 years.  My report still shows each of these items which I'm still paying on.  It displays each as (Current, was 90 dpd).  

 

My question is whether anyone else has experienced a similar issue.  I'm wondering when, if ever, the negative reference to the 90 dpd will be removed??  I tried to write the letters to the bureaus, claiming I was not properly notified, but it didn't work.  Does it benefit me at all to pay these loans off completely?  Starting with the smallest balances, if they let me do that?

 

Thanks so much for any help anyone can provide. 

Community Leader<br> Valued Contributor</br>
Community Leader
Valued Contributor
Posts: 1,321
Registered: ‎06-09-2008
0

Re: Removing Nelnet Delinquency

Pretty much everyone has multiple loans when they graduate because the money is actually disbursed on a semester or annual basis.  It's one of the reasons why it's so important to stay on top of student loans - they can do a lot of damage to your report if neglected.

 

The good news is that negative items can only remain on your report for 7 years, and it sounds like you should start to see them fall off in the fall of this year.  It can take up to 7.5 months for the baddies to fall off, but once they are gone, you'll be left with the positive payment history you've built over the past 6 years and a good boost to your score.

 

Paying the loans off won't have much impact on your score - these are installment loans and don't really factor into your utilization.  If you do want to pay some of them off though, Nelnet should let you choose which loan to apply any extra payments to through their website.  Or you can call them and make a payment that way.

 

It sounds like you're on the right track, and should be seeing the benefits of your hard work soon.

Regular Contributor
Posts: 213
Registered: ‎02-22-2013
0

Re: Removing Nelnet Delinquency

[ Edited ]

Yeah, each of the loans is a separate tradeline, so they're reporting accurately.

 

You might try a goodwill letter or email to an account executive there.  Instead of accusing them of not informing you, try asking humbly and politely to make an adjustment to your reports, omitting some or all of the late payment history.  I don't know about Nelnet at all, but I had success doing that with one of my loan servicors.

 

Paying any of the loans off completely won't make the delinquencies go away.   

 

Getting back to your late payments, It's weird that you're under 650 and the 90 day lates are all 6 years old.

 

Late payments hurt, of course, but they hurt less and less over time.  If they're all 6 years old, they shouldn't be hurting you too badly now.  

 

I'm assuming you have other problems on your credit report.  You should check them out.  

 

 

||| Amex BCE, $9000 ||| USAA Visa, $6000 ||| USAA Amex, $5000 ||| Cap1 Quicksilver, $4000 ||| Chase Freedom, $2000 ||| Discover It, $2000 ||| TU FICO: 738 ||| EQ FICO: 742 ||| EX FICO '08 : 742
Highlighted
Regular Contributor
Posts: 131
Registered: ‎11-05-2007
0

Re: Removing Nelnet Delinquency

The same exact thing happend to me with NelNet ... and my situation was almost identicalto yours, being that I had moved and forgot to updatenew address and contact info with NelNet .... I was sooooo confused just as you because even though I had 9 individual student loans, the entire time they were in deferment, NelNet ONLY reported ONE paid as agreed BUT the moment I become late they report it NINE individual times...... I was super pissed, and there is NOTHING we can do about it. Unlike you, however, mine were more recent (2012) so I have approx 5 more years before they begin to Fall Off My report .... In the meantime I have to suffer with the 100+ point DROP in my credit score because of the 9 individual late reporting Smiley Sad smh

Goal Score 680+
Start Score ........ 2/05/14: ...EX 612 -TU 575 -EQ 567
Current Score .... 5/02/14: ...EX 652 -TU 655 -EQ 646

I almost paid for credit repair......until I found myFICO!!!!!
Advertiser Disclosure: The listings that appear on myFICO are from companies from which myFICO receives compensation, which may impact how and where products appear on myFICO (including, for example, the order in which they appear). myFICO does not review or include all companies or all available products.
† Credit cards for FICO Score ranges: The score ranges are guidelines based on actual applicant approvals and having a FICO Score in a particular range does not guarantee you will be approved for credit cards recommended in that range.

Copyright ©2001-2015 Fair Isaac Corporation. All rights reserved.   | Terms of Use | Privacy Policy | Sitemap

IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more

FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.