topic Re: Error Reporting? in Student Loans

Error Reporting?

xkaosx — Mon, 04 Aug 2008 05:20:19 GMT

I have 2 loans (that are defaulted) from Wells Fargo and then there are 4 collections from someplace called USA FUNDS. Both places are contacting me trying to collect funds. Is this legal? WHy are there 4 USA FUNDS collections when I only had 2 Wells fargo loans? All the account numbers show up different on the USA Funds collections. I disputed them and they all came back verified. Any suggestions?

Re: Error Reporting?

LynnInMN — Mon, 04 Aug 2008 14:07:35 GMT

xkaosx wrote:
I have 2 loans (that are defaulted) from Wells Fargo and then there are 4 collections from someplace called USA FUNDS. Both places are contacting me trying to collect funds. Is this legal? WHy are there 4 USA FUNDS collections when I only had 2 Wells fargo loans? All the account numbers show up different on the USA Funds collections. I disputed them and they all came back verified. Any suggestions?

Are these federal loans? How many years did the WF loans cover? 2 years?

Generally with federal loans you take a loan out thru a bank with are guaranteed by another agency....in this case USA Funds. What I am thinking is you took out two years worth of loans from WF and then defaulted. USAF then paid the claim and is reporting all the dispurments individually which is very normal. Disputing this wont help...this is legal reporting for defaults.

WF should be paid off and not contacting you anymore unless it is to notify you that USAF now holds the claim.

Re: Error Reporting?

xkaosx — Mon, 04 Aug 2008 14:25:45 GMT

I went to a trade school for 14 months. The amounts dont add up though.

I just got a letter from Wells Fargo asking for the money on saturday.

Do I have any chance of doing that rehab program for this and having this stuff removed or updated?

Re: Error Reporting?

LynnInMN — Mon, 04 Aug 2008 14:29:56 GMT

Again are these federal or private loans? Have you called WF or USAF? What does the letter say?

Re: Error Reporting?

xkaosx — Mon, 04 Aug 2008 14:50:56 GMT

Oh sorry they were federal loans

I havnt called anyone yet. Dont know which place I should call

Re: Error Reporting?

LynnInMN — Mon, 04 Aug 2008 15:05:48 GMT

What does the letter say????

Re: Error Reporting?

xkaosx — Mon, 04 Aug 2008 15:19:58 GMT

pretty much your seriously delinquent and call us to setup a payment schedule

Re: Error Reporting?

LynnInMN — Mon, 04 Aug 2008 15:30:04 GMT

Call them. Are you sure you borrowed just federal stafford loans? Or did you borrow a combo of both staffords and private loans?

Re: Error Reporting?

xkaosx — Mon, 04 Aug 2008 15:41:45 GMT

honestly I dont even remember at this point.

I just want to make sure I am calling the right people who can deal with it

hopefully in a positive matter that can eventually start reflecting well on my credit report

Should I just call wells fargo and see what the entire status is?

Re: Error Reporting?

LynnInMN — Mon, 04 Aug 2008 16:00:51 GMT

You are not going to see anything positive for a long time.

Re: Error Reporting?

xkaosx — Mon, 04 Aug 2008 16:05:02 GMT

Does wells fargo have a rehab program that I can start to pay it?

It says it slated to stay on record till 2010. Should I just wait it out?

Re: Error Reporting?

Anonymous — Mon, 04 Aug 2008 17:46:02 GMT

What exactly are you asking? Are you asking what to do simply from an "improve your credit" standpoint?

Regardless, if it's a Federal loan, be aware that just because the original entry might fall off your reports, the DoE can claim them ... that will put the loans right back on your reports. They can, IIRC, do this endlessly. So every time one set of loans falls off, another set replaces them ... but with higher balances since more than likely, you'll have an extra 20-30% in collection fees PLUS interest.

If I were you, I'd start rehabbing now. Even though you can, AFAIK, ALWAYS rehab, to do so now will be oodles cheaper -- and better for your credit!!!

Best of luck!!!

Re: Error Reporting?

LynnInMN — Mon, 04 Aug 2008 17:50:37 GMT

WF is a lender.....if you loan is still with them then you have not defaulted, thus no rehab program and those lates will stay for the long term. You need to find out what USAF is holding.

IMHO your credit is the least of your worries at this time. Right now you need to figure you how to make the situation better and get into repayent.