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New Contributor
Posts: 53
Registered: ‎05-07-2014
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Re: fed loan servicing consolidation

I think what makes me even more upset is to later find out that if I would have let all those loans go to collections and then do the rehab my credit would be better! How messed up is that? 

 

Now I have to wait YEARS for this to come off :-( just makes me sick.

New Contributor
Posts: 107
Registered: ‎05-02-2017
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Re: fed loan servicing consolidation

Hoff what happened to your score after u consolidated
Frequent Contributor
Posts: 448
Registered: ‎03-13-2017
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Re: fed loan servicing consolidation

I recently did a consolidation of my student loans back in February 2017 to get rid of two defaulted Perkins loans I had. The two Perkins loans were NOT deleted from my file. They moved to a "paid and closed" status. My student loans also moved to a "paid and closed" status. My new servicer is FedLoan but they have yet to add the new loans to my credit report. From what I've read on this board, FedLoan averages about 4-5 months before reporting. So if you look at my credit reports now, it would appear that I paid off my entire student loan debt. 

 

I have a "dirty" file, so my Experian went up 13 points from the consolidation. I can't remember how many points Equifax went up. My student loans were not reporting on TransUnion. 

FICO8 Scores - 625TU / 640EQ / 649EX
On Mortgage Journey
Starting Mortgage Scores (Feb 17) 523EQ / 547TU / 564EX
Mortgage Scores Aug 17 624EQ / 649TU / 650 EX
Valued Member
Posts: 50
Registered: ‎04-24-2017
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Re: fed loan servicing consolidation

I have a dirty file (almost 100 lates, fml) and consolidation boosted my equifax by 99 points and TU by 54. I know ill take a hit when the consolidations report but gosh was that bump nice to wake up to. I'd love to get those lates removed but im not holding my breath. 

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Posts: 448
Registered: ‎03-13-2017
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Re: fed loan servicing consolidation


kmmiller1986 wrote:

I have a dirty file (almost 100 lates, fml) and consolidation boosted my equifax by 99 points and TU by 54. I know ill take a hit when the consolidations report but gosh was that bump nice to wake up to. I'd love to get those lates removed but im not holding my breath. 


WOW! 99 and 54 point increases! I wish! Paying off my student loans through consolidation helped with my mortgage scores, but my FICO 08 points took a 7 point hit on Equifax and 13 point hit on Experian. 

 

From what others have posted on here, FedLoan can take 4-5 months to report new accounts on your credit, which is around August for me. I'm hoping our lender will pull our credit again before FedLoan reports because I know my scores are going to plummet when they report. 

FICO8 Scores - 625TU / 640EQ / 649EX
On Mortgage Journey
Starting Mortgage Scores (Feb 17) 523EQ / 547TU / 564EX
Mortgage Scores Aug 17 624EQ / 649TU / 650 EX
Valued Member
Posts: 50
Registered: ‎04-24-2017
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Re: fed loan servicing consolidation

ya i actually just pulled my mortgage scores and they are even better than that... ugh. i wish i was in a position to start the buying process now before those loans hit!

Frequent Contributor
Posts: 448
Registered: ‎03-13-2017
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Re: fed loan servicing consolidation

If you don't mind, what are your FICO 08 scores? What are your mortgage scores?

FICO8 Scores - 625TU / 640EQ / 649EX
On Mortgage Journey
Starting Mortgage Scores (Feb 17) 523EQ / 547TU / 564EX
Mortgage Scores Aug 17 624EQ / 649TU / 650 EX
Valued Member
Posts: 50
Registered: ‎04-24-2017
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Re: fed loan servicing consolidation

They are all still terrible, but greatly improved from where they were even 2 months ago..

EQ8 - 539

EQ Mortgage - 552

EQ9 - 618 (???!)

TU8 - 471

TU Mortgage - 576 (???!)
TU9 - 534

EX8 - 521
EX Mortgage - 525

EX9 - 538

I still have a self lender and 2 secured cards that need to report and a collection that has been deleted and not yet reported, so hoping for some good bumps from those too. I realize now the self lender was unnecessary since the consolidations will report soon enough, but oh well. I currently have no open credit reporting. 2 months ago all my 8 scores were between 400-425... so im def seeing some progress. Smiley Happy

Frequent Contributor
Posts: 448
Registered: ‎03-13-2017
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Re: fed loan servicing consolidation

That's great! I know for some folks, their mortgage scores can be higher than FICO 08 scores. Each version puts a different weight on items in your credit report. 

 

My FICO 09 scores are actually my best.  You can see my FICO 08 and mortgage scores in my signature. 

 

Equifax 

622 FICO 09

632 FICO Auto Score 09

624 FICO Bankcard Score 09

 

Transunion

598 FICO 09

599 FICO Auto Score 09

619 FICO Bankcard Score 09

 

Experian

594 FICO 09

584 FICO Auto Score 09

613 FICO Bankcard Score 09

FICO8 Scores - 625TU / 640EQ / 649EX
On Mortgage Journey
Starting Mortgage Scores (Feb 17) 523EQ / 547TU / 564EX
Mortgage Scores Aug 17 624EQ / 649TU / 650 EX
Valued Member
Posts: 50
Registered: ‎04-24-2017
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Re: fed loan servicing consolidation

ya mine are kind of all over the map which is odd because everything is basically reported the same on every report? I just want to really hit a 620/640 mid score for a USDA mortgage, which i think feasibly i could do before the consolidation loan hits, the bummer for me though is i have very recent lates and collections so even if i get them all cleaned up, i need to sit on a year of clean credit before a mortgage company will consider me, so ill definitely take the hit on the consolidations reporting before a mortgage is feasible. 

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