topic Re: how long does it take in General Credit Topics

how long does it take

Anonymous — Fri, 16 Nov 2007 14:51:47 GMT

As described in another thread, I defaulted on my student loan (federal) and it was sent to collections for rehabilitation. I successfully completed the program and earlier this month I got a letter from the Direct Loan Servicing Center saying that they would delete the collections from all 3 credit bureaus. I have set up my new payment plan with them and will be making the first payment shortly. Since each semester's loan is being reported individually, there will be 13 deletes from my report (YAY!!!!).

My question: when can I reasonably expect this to go through? And as follow up, how many points might I expect back?

Thanks for your help

Re: how long does it take

Anonymous — Fri, 16 Nov 2007 14:57:00 GMT

No idea number of points even with much more information-

So you have 13 Student loans and 13 CA's on your report?

They will remove the collections and update the status of your loans to "Current/OK" but the lates are not going to be removed.

Re: how long does it take

Anonymous — Fri, 16 Nov 2007 17:04:14 GMT

Until I defaulted, it was reported as one account with the US Dept of Edu but once it went to default, it was broken as each semester's loan was a unique account. So to answer your question, yes, when I defaulted on my account, it began showing as 13 unique CA's on my report. I almost had a stroke when I saw it the first time ...

I am not yet certain if it will be re-consolidated since its back to the loan originator again ... but according to the letter I have (and will keep for my records), my account will be OK/in good standing after the first payment is made and all references to collections will be deleted from the 3 bureaus.

I hope its done soon. I've not had any other baddies in 24 months (save one extra hard pull from my bank due to my own stupidity) ... I also have a bunch of GW's ready to send out to hopefully deal with some nasty baddies (3 30 days late; 2 60 days late) ... it will be nice to finally have a somewhat accurate picture of where my credit stands.