Charge Off University of Phoenix

[Anonymous]

I have a charge off on my credit(Ex and Eq, not TU) for $1952 with a DOFD showing 09/2009. This was a result of me not finishing or withdrawing from 2 classes and student loans funds being returned to the lender thus leaving myself responsible for the bill. In the month of March, 2016 , the account fell off my credit report for reasons unknown to me, it wasn't disputed. As a result, my scores jumped about 47 pts. Then this month, it reappeared showing no payment history except for the CO for April 2016, every month prior shows NR. The DOFD shows the same, 09/2009, but the date major delinquency first reported date now shows 04/10/2016. So, first question is are there any violations in what they did ? Second, realizing this debt will fall off fairly soon and it is well beyond the SOL(4 yrs here in TX), I would like it removed sooner than later due to near future financial plans. Any advice on a PFD at this point ? I've read this particular creditor is pretty tough to negotiate with.

Thanks in advance

[Anonymous]

I am currently a Texas resident. At the time the debt was incurred, I was working full time in Florida(living, working, receiving mail in Florida). The address on my student loan papers was Alabama. Not sure which states SOL applies, I've been told by attorneys it's the state where I reside. Florida and Alabama both have 6 yr SOL's, which would also be passed at this point. I travel with work but usually stay in the same place for 12-24 months(power, oil and gas construction industry). That's why so many different states. I did have a lease on an apt in FL in 09/2009 and currently have a lease on an apt here in TX, I believe that constitutes legal residency.

[Anonymous]

The date opened was 03/17/2009, my only guess for the temporary mystery deletion was they looked at this date not the DOFD date.

[RobertEG]

Was it a federally insured or guaranteed student loan?

If so, then the normal credit report exclusion periods do not apply, as they are extended under the Higher Education Act until they are discharged.

Thus, charge-offs and collections can remain past the normal 7 years plus 180 days from DOFD.

[Anonymous]

The funds were returned to the lender thus leaving no debt with them(Sallie Mae). This created a debt with the university for the funds they returned to Sallie Mae. The entry on my credit report shows for an unsecured loan to the U of P, it doesn't say, mention or reference an education loan.

[Anonymous]

I have read in class action suits that the University does this(returning federal funds) as a way to cohort their default rates, by returning the funds to the federal lender, the student never defaults to the federal lender. Thus keeping their default rates low enough to continue receiving federal funding.

[Anonymous]

The return of the funds was a result of my not finishing nor withdrawing from the two classes which was a result of my thinking that I could work 87 hrs a week(6:30pm-7:00 am/7 nights a week) on nightshift and have the time and energy to keep up class, even if it was just online. In hindsight, that was poor planning on my part.

[Anonymous]

APOLLO GROUP INC.
4615 E Elwood St
Dba University Of Phoenix
Phoenix, AZ-850401908
(877) 773-0191
Account Number: XXXXXXXX Status: CHARGE-OFF
Account Owner: Individual Account. High Credit:
Type of Account : Open Credit Limit:
Term Duration: Terms Frequency:
Date Opened: 03/17/2009 Balance: $1,952
Date Reported: 04/10/2016 Amount Past Due: $1,952
Date of Last Payment: Actual Payment Amount:
Scheduled Payment Amount: Date of Last Activity: N/A
Date Major Delinquency First Reported: 04/2016 Months Reviewed: 1
Creditor Classification: Activity Designator: N/A
Charge Off Amount: Deferred Payment Start Date:
Balloon Payment Amount: Balloon Payment Date:
Date Closed: Type of Loan: Unsecured
Date of First Delinquency: 09/2009
Comments: Charged off account
81-Month Payment History
Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
2016 NR NR CO
2015 NR NR NR NR NR NR NR NR NR NR NR NR
2014 NR NR NR NR NR NR NR NR NR NR NR NR
2013 NR NR NR NR NR NR NR NR NR NR NR NR
2012 NR NR NR NR NR NR NR NR NR NR NR NR
2011 NR NR NR NR NR NR NR NR NR NR NR NR
2010 NR NR NR NR NR NR NR NR NR NR NR NR
2009 NR NR NR NR NR NR
Payment History Key

[Anonymous]

No reference to being an education loan.

[RobertEG]

After re-reading the initial post, I see that the student loan was not processed, and that you were thus made personally responsible?

Date of first major delinquency is immaterial to credit report exlclusion or to scoring, and the CO will become excluded no later than 7 years plus 180 days from the DOFD.

The CRAs routinely exclude at approx 7 years from DOFD, so it will lilely become excluded in September.

You can contact the CRA and request an additional early exclusion of 3-6 months, depending upon the CRA.

The CRA grant of earlier exclusion is totally voluntary and often totally subjective.  It can depend upon the willingness of their rep to take the time....