I'm so confused so I'm going to try to word this the best I can.
While in the process of applying for a USDA direct loan, the LO send me the pre-eligibility letter to me today and noted some concerns on my credit report.
The concerns were about two student loans that show up as profit & losses. I have called both MN Self Loans and Firstmark trying to clarify these but no one seems to know what they are from or why they are showing up on my credit report.
Here is what shows up on TU and EQ:
MN SELF LOAN.. OPENED 10/04.. REPORTED 09/09.. HIGH BALANCE 2,250.. LAST ACTIVE 10/08.. PAST DUE -0-.. BALANCE 2,195.. Profit & Loss Write off; Closed 03/09
FIRSTMARK.. OPENED 02/05.. REPORTED 08/09.. HIGH BALANCE 2,250..LAST ACTIVE 08/09.. PAST DUE -0-.. BALANCE 1,918.. Profit & Loss Write off; Closed 03/09
Now, here is the student loan that we are actually paying on and the information that shows up for it:
FIRSTMARK.. Opened 10/04.. REPORTED 08/09.. HIGH BALANCE 4,500.. LAST ACTIVE 08/09.. BALANCE 1,914
First, let me say that these credit report notations are from a credit report 10/2/2009. I pulled an Experian report in July but these do not show up. The USDA LO pulled a TU report on Wednesday.
Here is the only explanation I can think of for this is that my husband consolidated his student loans sometime in late 2005/early 2006. He did this on his own, and he cannot remember what he did. He just said he "called the firstmark people and consolidated the loans and that's what they did." But when I called Firstmark yesterday, they have no records of consolidation. When I called the MN Self Loan people, they said that this account was paid off. My USDA LO wants to verify that these two profit & loss write offs are not a open and delinquent federal debt, because she said if we have a delinquent federal debt there is no way we could get a loan through a federal program like the USDA. I told the MN Self loan representative this, and she said USDA can always send in a debt validation letter and they can verify this isn't a delinquent federal debt. Also, the MN Self Loan lady said that we should call TU and EQ and dispute the item on our credit report.
I am so confused. I am hoping someone who is a little more familiar with student loan debt and consolidation than I am can help me.
