For years I had my wages garnished. After years, the student loans dropped of the CRs, even though I owed many thousands. I thought this was because 7 years was up. However, I had become unemployed now I wonder if their inability to successfully garnish caused them to drop off. Within weeks of starting back to work a collector calls and says he wants to make "arrangements." He says that if they garnish again that will restart the lines on CR. But I am worried if I start paying him directly that may also cause the reappearance of the loans on my CR. We can make payments and we can afford the garnishment, I just need to do whatever will do the least damage to my credit. Help! I just found these boards and naturally this collector "needs an answer by close of business"
Are these federal student loans? If so, you should read up on rehabilitation and then ask to rehab the loans. You'll make affordable payments for 9 months to the CA and then, once the loan is picked up by a new lender, the CA should remove their tradeline and any other default notations (if you still have any of the original tradelines on your reports) should come off as well.
I'm guessing they are federal since they can garnish your wages without a judgment, but if they are private, you should figure out where you are with the SoL as well.