Student loan transfered

Anonymous · ‎06-14-2016

Hey Guys,

I just found out that my student loan was bought back by a company it had apparently been with before. When the current company bought it from sallie mae, they took over the original loan date, 2007. I've never heard of Nelnet, but I was told that had my loan once and gave it to SAF. I only owe like $2500, just not quite ready to pay it off yet. It is also my inly installment loan. How is this going to affect my credit? I defaulted the first time, I know how that hurt it! Luckily, that is no longer on my report. 7yr rule. Would that take over the original loan date too? Will SAF show closed? Will it look like I closed and opened a new loan and hurt my credit, or would it even change?

Aahz · ‎06-14-2016

The Sallie Mae loan will show as Closed and "Transferred To Another Lender". Nothing derogatory there.

The "new" Nelnet loan will show the same opening date that your current Sallie Mae loan shows. Basically doubling its weight for AAoA calculations.

RonM21 · ‎06-15-2016

I think that is correct Aahz. There shouldn't really be a change other than the obvious of it being transferred from one to the other on your reports.

Total CL: $321.7k

UTL: 2%

AAoA: 7.0yrs

Baddies: 0

Other: Lease, Loan, *No Mortgage, All Inq's from Jun '20 Car Shopping

Revelate · ‎06-16-2016

@Aahz wrote:
The Sallie Mae loan will show as Closed and "Transferred To Another Lender". Nothing derogatory there.

The "new" Nelnet loan will show the same opening date that your current Sallie Mae loan shows. Basically doubling its weight for AAoA calculations.

Shouldn't the transfered account be gone as a reported tradeline from the OC?

That's typically the case with every other similar type arrangement I'm aware of but I don't know SL's basically at all... though considering picking up a few to play reindeer games with.

RobertEG · ‎06-18-2016

Is this, by any chance, a rehabbed federally insured or guaranteed student loan, or is it totally private?

Anonymous · ‎06-18-2016

Hi Everyone,

Thanks for the replies.

RobertEG,
I'm not sure if the term "rehabbed" was ever used with me. Here is what I remember. I had a loan in 2007. I believe the original was Sallie Mae. I defaulted around 2009. I received a letter about wage garnishment. I called the number and the Student Assistance Foundation had it. They laid out my terms and I made payments. The only 2 loans I ever saw were SAF and Sallie Mae. Sallie is now off of my report. 7yr rule. Both loans, when on my report, gave the same 2007 open date. Sallie mae was closed "paid by insurance ", or something to that effect. They say Nelnet bought ot back. Never seen Nelnet on my reports. Unless Sallie Mae took it from them...? Doesn't seem like the case.

So I guess, I'm wondering if this will affect my credit at all. Will it show the SAF paid off and a new loan open? Or will Nelnet take the 07 date too and SAF just show transfer, which I'd think wouldn't affect me?

Anonymous · ‎07-18-2016

Hey Everyone,

It appears this didn't have an affect on my credit. SAF is closed out with no balance and the new loan has a balance with the same 07 date that the SAF started with. My TU did just jump up 13 pts. No idea why. no other changes across eq or ex. CK shows my tu report showing balances on both loans right now, so waiting for next report. TU is little slow at times. Oh, and the score jump was a fico jump, not from CK.