If an account is deleted from your report, do you receive an alert?

[Anonymous]

I am wondering about this. A student loan that I rehabilitated (federal program to remove loans from default and is subsequently deleted from your credit report) is being removed from my credit reports any day, and I want to know if the credit alert will activate and update my score. I assume I will go up a bit since a collection/chargeoff account is being deleted, along with the numerous late payment marks.

Also, this loan was with another student loan company prior to the one I rehabbed the loan with recently, however they still report a negative credit account to the bureaus. By chance should I send them the rehab letter and see if they will consider a goodwill adjustment to my reports?

[Anonymous]

The score change will trigger an alert-

The removal of an accout/ TL will not.

You will get an alert when SW check for a score change- (every 7 to 10 days)

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GBC wrote:
I am wondering about this. A student loan that I rehabilitated (federal program to remove loans from default and is subsequently deleted from your credit report) is being removed from my credit reports any day, and I want to know if the credit alert will activate and update my score. I assume I will go up a bit since a collection/chargeoff account is being deleted, along with the numerous late payment marks.

Also, this loan was with another student loan company prior to the one I rehabbed the loan with recently, however they still report a negative credit account to the bureaus. By chance should I send them the rehab letter and see if they will consider a goodwill adjustment to my reports?

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[Anonymous]

As for the alert-- if you are talking about SW, you'll get an alert if your score changes. The removal alone will not trigger an alert.

As for the other question....I have no clue with student loans, no experience. Might post over on Student Loans forums.

[Anonymous]

No alert for deleted accounts.
Yes you will receive a new alert if there is a new score with in 1-10 days.
It could help to goodwill or rehab other negative accounts.

[Anonymous]

AFAIK, rehabbing the SL will not delete the original TL. It will remain and a NEW loan will appear (since after you rehab, the DoE "sells" your debt to another lender). The original debt will merely no longer be marked as a "default" but will instead be maked "paid in full" or "transfered" to another lender.

But I've never heard of a defaulted SL merely deleted once rehabbed.

[Anonymous]

The loan company made it very clear to me (and I was clear with my questioning) that the account status is not just changed, but the entire thing deleted completely from the credit report.

But the wording in my letter is a bit more vague:

"EDFUND/CSAC will remove negative credit reporting remarks for the laosn listed above within 60 days of the date of rehabilitation. EDFUND/CSAC cannot, however, remove credit reporting remarks made by another institution. Please contact the appropriate institution indicated on your credit report."

That sounds like the the whole account is coming off and that's what was verified by several people I spoke with at the company-- but what do they know. I found many of the reps to be a little ignorant with regards to company procedure and policies.

[Anonymous]

I'm one payment away from rehabbing my loan and every representative I've talked to says it will be deleted in entirety. 

I cut and pasted the below from the federal govt's site, but it does only say the default status will be deleted.  I'm going to call again tomorrow and make sure it includes the whole account and all the lates and all.  I have to say that when the loan left AES and went to the govt, the entire AES entry was deleted.  I do expect the same thing to be done once my loan is rehabbed...

From: http://www.ed.gov/offices/OSFAP/DCS/rehabilitation.html

Loan Rehabilitation  

You may want to consider rehabilitating your defaulted loan(s). Advantages of rehabilitation include:

• Your loan(s) will no longer be considered to be in a default status.
• The default status reported by your loan holder to the national credit bureaus will be deleted.
• You will be eligible for the same benefits that were available on the loans before the loans defaulted. This may include deferment, forbearance, and Title IV eligibility.
• Wage garnishment ends and the Internal Revenue Service no longer withholds your income tax refund.

[Anonymous]

What you posted is the standard rehab-  it should also include having CA's (if any removed) 

If a lender goes beyond this- good for you-

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almost_there wrote:

I'm one payment away from rehabbing my loan and every representative I've talked to says it will be deleted in entirety. 

I cut and pasted the below from the federal govt's site, but it does only say the default status will be deleted.  I'm going to call again tomorrow and make sure it includes the whole account and all the lates and all.  I have to say that when the loan left AES and went to the govt, the entire AES entry was deleted.  I do expect the same thing to be done once my loan is rehabbed...

From: http://www.ed.gov/offices/OSFAP/DCS/rehabilitation.html

Loan Rehabilitation  

You may want to consider rehabilitating your defaulted loan(s). Advantages of rehabilitation include:

• Your loan(s) will no longer be considered to be in a default status.
• The default status reported by your loan holder to the national credit bureaus will be deleted.
• You will be eligible for the same benefits that were available on the loans before the loans defaulted. This may include deferment, forbearance, and Title IV eligibility.
• Wage garnishment ends and the Internal Revenue Service no longer withholds your income tax refund.

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[Anonymous]

How much of a bump did you get from the AES deletion? I'm wondering what I can expect if/when the account is deleted.