Student Loan Rehabilitation And The Effect On Tradelines

[InvincibleSummer3]

Let us know, Ash. Today's the big day, right?

[ash4life]

UPDATE!!!!!!!!!!!!!!!!!!

You ready?!!!

My lender called me today. Here were my scores last month. EQ: 613 EX: 614 TU: 670. You ready?!!  Here are the new scores!!!

EX: 651 EQ 665 TU: 677. YIPPIE!!!!!!!!!!!!!!! I will be getting my pre-approval stuff rolling on Monday and the offer on the house my wife and I want was accepted!!!!

REHAB WORKS!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!  Just stick with it. 9 months flew by! Dept of Ed completely removed all the collections and even erased that fact Dept of Ed was on the CR report.

myFico score of 663 was actually 2 points less than what my lender had. Hope that helps!! My Idenity guard EX and TU scores are EX: 651 and TU: 670. So those were not too far off. The EQ on that one is 636 so way off.

Thanks everyone!!!!

[InvincibleSummer3]

YAYYYYY!!!! So excited for you two!

[BigE2000]

That's great Ash, I'm happy for you.  You were really on top of it by sussing out which model they were using, Beacon 5/8, etc.  You really threaded the needle but you're going to accomplish what you wanted to do.  I have a couple of quick q's if that's okay.  First, is Beacon 5/8 essentially a different/alternative scoring model like TU98/04?  Second, could you please remind me when the heck your last rehab payment was and when the new loan business showed up on your reports?  Thanks in advance and congrats again.

[ash4life]

BigE2000,

Thanks!

Rehab answer first. I paid my last rehab payment April 1st. NSLDS was updated to show no longer in defauly April 15th. Dept of Ed said they sent the info to the CRA's April 6th. About 2 weeks after that all my FAKO scores started jumping. The actual reports were all showing the same thing. No more collections. Salie Maie made a new tradeline for the current loans and showed a OK payement for April even though I didn't pay my 1st payment to them until last week. The old lates are stil on there but they will age off and hurt my score less as the months go one.

According to myFico on the phone they said they use Beacon 8 for the EQ score. My lender uses Beacon 5. I never heard of Beacon 8, but whatever. Her EQ score was actually 2 points higher than the score here. So. myFico score seems to be close to spot on. The TU scores she uses the TU04. I never pulled that here cause I knew TU would not be my middle score. The difference between Beacon 5 and 8 is anyone's guess. I assume it just calculates the actual score a tad differently.

Hope that helps!!

FYI: Just keep on the Dept of Ed. I called them a lot to make sure they sent the updated info to the CRA's. The squeeky wheel gets the oil!!

Good luck to you!!!!

[Axa]

Congrats, Ash!!!

This is just the type of news we've all been looking for. You've made my day!

Thanks.

[kjel]

My report was showing the original consolidated subsidized and unsubsidized TLs and then a separate subsidized and unsubsidized TL for the collection accounts for the student loans.

After 45 of no update to the CRs despite a letter from DOE saying that the TLs updated I disputed with EX and EQ. I just got a notice for the EX dispute and the DOE collection accounts are going to be deleted! Now just waiting on EQ to come back with results. TU was not showing the collection account so I did not dispute with them but will pull that report at the end of the month.

Nelnet is already reporting the new TLs.

[JBinBigD]

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@BigE2000 wrote:

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@JBinBigD wrote:

Regarding amount of time for a rehabbed loan to change your CR:

I made my last payment in late Novermber 2012.  Its now April 6th, and still waiting.

First of all, the loan guarantor made an error and didn't immediately regard my loan as fully rehabbed, which took three weeks for us to discover and fix.  From that point it went to a new lender (AES) fairly quickly.  Maybe another two weeks.  My first payment with AES was in late February and my second in late March.  Still waiting for it to show up on my credit report.

My loan was in default since 2001, so was not reporting on CR.  Just waiting for AES to start reporting, and I'm in the second billing cycle so it should be any day now.

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Dang, I'm sorry to read that.  Thanks for sharing.  So your last payment was late November but maybe because of the holidays plus the fact it can easily take at least 3 weeks for a new lender to enter the picture, I'd guess that technically, rehab might not be/wasn't totally completed until sometime in 2013.  Not to mention the hiccups on their end.  Surprising it hasn't showed up yet but they're probably just slow pokes.  I'd stay in touch with them and learn how their system works (which dept does the reporting and do they just report on a certain day of the month).  Oh, and I think a lot of the servicers (who handle payments & communication), not the lenders, are the ones who do the actual reporting...perhaps sometimes the lender and the servicer are the same.  But I bet you're right....could be any day.  Great job completing the rehab!

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Update:  Still nothing. 

Rehab completed in Nov 2012 and as of today May 11th 2013, no changes to my credit report.  I've been through three billing cycles, all paid on-time, with AES (my loan servicer after the rehab) and College Savings Bank (the new lender after rehab).  I'm monitoring all three CRAs and the new tradeline has appeared on none of them.

[kjel]

Got a score watch alert this afternoon....39 point bump!!! I still have some other things to deal with on my CRs but I'm getting closer to 600 which makes me happy especially after the past two years.

[ash4life]

Well, turns out the score on myFico does match the exact score my lender pulled. My score watch sent me a message saying I got a 2 point jump. So, 665 is my score. It is in fact a Beacon 5 score. So, this is the best place to see your EQ score. WOOT WOOT!!