After rehab credit issue...

[Anonymous]

Hi there,

So I have 3 negative Credit lines (for the 3 years I took a loan out) for my US Dept Education Loans.  They are all currently showing derogatory standing up to October '08.  I have recently rehabbed with US dep of Edu and am in current standing with them.  However I've looked at my credit report and it seems like they have opened a new consolidated line item for all 3 loans which they show current  status from Jan - December '08.  My question is, why did they do this and will my 3 negative line items go away since I've rehabed?  

[Anonymous]

My student loans showed up funny like this after completing the rehab process.  It had all the accounts that had lates on them showing up seperately as derogatory accounts and then another open account for the total of all the loans showing that it was current.  So there were like 10 different entries on the credit report for my student loans. 

Dispute the accounts that are showing negatively and make sure you keep the correspondence from the lender stating that the negative items will be removed.  The Dept of Ed sent one letter when I finished the rehab process and then sent me another one after they updated my credit report and removed the lates. 

This worked for me and now the student loans are showing up with a perfect payment history, no lates or anything.  Good luck.