Established Contributor
FicoTron
Posts: 512
Registered: ‎01-27-2011
Student Loan Rehabilitation And The Effect On Tradelines

I am seeking others who have finished their student loan rehab to see what effects it had on the tradelines on their credit reports.  My loan is with the US Department of Education.  I am rehabbing it via NCO.  When I fulfill the obligation of rehab I want to know weather or not the late payments are still going to show on my report.  NCO claims that all negative info will be removed and shown as current.  I have scoured the internet and have gotten mixed reviews as to if this is true.  Most other people have loans through secondary lenders, and these secondary lenders don't remove the bad tradelines as they should.  I am looking for someone who ONLY had their loan through Direct Loans/US Department Of Education to see what the final outcome was on their report after rehab...any help is greatly appreciated.

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TU-729 (Fico) 3/12
Established Contributor
FicoTron
Posts: 512
Registered: ‎01-27-2011
Re: Student Loan Rehabilitation And The Effect On Tradelines

bump

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Frequent Contributor
pritchardhallhokie
Posts: 272
Registered: ‎08-06-2010
Re: Student Loan Rehabilitation And The Effect On Tradelines

Hey Man,

 

Well, I hope I can pay the karma forward to you.

 

I have a loan through Direct Loans.  Back a couple of years ago, I let it get waaaay out of hand it was around 120 days past due.  I called DL and set up a rehab program (they really are about the most helpful people in the world).  I was told that if I make either 9 or 10, I think 10 months worth of payments, that they would rehab the loan and the TLs would be deleted that showed the lates.

 

Fast forward a year and some change and I had paid the 10 months.  Within a month's time, automatically, the negative tradelines disappeared.  I literally had a ton of marks on my CR because of DL and now all it shows is positive tradelines.  I hope you experience the same thing, but again, I have my loan through Direct Loans.


Starting Score: 584TU / 580EQ
Current Score: 670 TU / 680EQ
Goal Score: 720 TU / 720 EQ


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Established Contributor
FicoTron
Posts: 512
Registered: ‎01-27-2011
Re: Student Loan Rehabilitation And The Effect On Tradelines

thanks for sharing that.  My loans were actually through Direct Loans, but I am pretty sure it is the Dept Of Ed that runs Direct Loans, so this seems like a bit of good news.  I still would like to keep this thread open however if there are any others out there that can share their rehab experience...

EX-774 (Amex Fico) 8/12
EQ-725 (Fico) 1/12
TU-729 (Fico) 3/12
Established Contributor
FicoTron
Posts: 512
Registered: ‎01-27-2011
Re: Student Loan Rehabilitation And The Effect On Tradelines

one more payment left till the end of rehab.  Still, just checking if anyone else has any info on their rehabbed loans...

EX-774 (Amex Fico) 8/12
EQ-725 (Fico) 1/12
TU-729 (Fico) 3/12
Regular Contributor
shazer7
Posts: 104
Registered: ‎02-15-2011
Re: Student Loan Rehabilitation And The Effect On Tradelines
[ Edited ]

I look forward to hearing from you once it is all said and done.

 

I just completed the process in May, since my loans were not direct loans the information from the original lender was not deleted.  The default loan was reporting as in collection, it has been removed from my EQ report and I saw a 43 points increase.

 

 

 

Starting 4/23/2011:EQ 628 TU 581 EX 640
Current 5/27/2011 EQ 671 TU 679 EX 666
Regular Contributor
tburns
Posts: 151
Registered: ‎11-04-2010
Re: Student Loan Rehabilitation And The Effect On Tradelines

I'm curious as to how my SL's will show on my CR once the rehab is complete also.

 

But mine is a bit different then most I've read here.

 

I defaulted 12 years ago, They fell off my report completely and for the last year that I've been checking no sign of them on any report. I made my 7th payment on the 15 of this month. Always on time. Loans are through Direct Loans.

 

I'm not sure how they will be marked once complete. If they will be listed as new loans or re-listed from the original 1999 date. I would love if they had the original date as my AAoA's is now 5 month lol. But I guess I'll see in July/August

Established Contributor
FicoTron
Posts: 512
Registered: ‎01-27-2011
Re: Student Loan Rehabilitation And The Effect On Tradelines

tburns, that is a weird situation, I'm wondering why they ever fell off of your report in the first place, they aren't supposed to.  The only thing you can hope for is is they put the original starting date of the loan, that would help, otherwise, it isn't hurting you now.

 

On another note, I'm glad people are noticing this thread, hopefully we can get a record of a lot of rehabbers so people in the dark can get an idea of what they have in store for them, no matter what the loan type...keep the replies coming.

EX-774 (Amex Fico) 8/12
EQ-725 (Fico) 1/12
TU-729 (Fico) 3/12
Established Contributor
FicoTron
Posts: 512
Registered: ‎01-27-2011
Re: Student Loan Rehabilitation And The Effect On Tradelines

June 7 marks my 9th consecutive payment in my rehab process...I am really interested to see what happens to my scores.  Right now I am at Eq 636, Ex 634, Tu 592...I was hoping to see other people post their experiences here, but it looks like its just me...hopefully I can help.  If anyone has anything to add, please do so.  I can't  believe I am the only one searching for info about this...

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TU-729 (Fico) 3/12
New Member
Dplymkr88
Posts: 6
Registered: ‎06-23-2011
Re: Student Loan Rehabilitation And The Effect On Tradelines

I'm in the same boat as you.  My SLs have fallen off my reports and although I am currently getting garnished and in rehab they aren't hurting me.  I do look forward to getting rehab completed (just made payement 6) but like you I am curious to see how they will report once I am done.