@bichonmom wrote:
@MarineVietVet wrote:
@bichonmom wrote:Is there a CRTP for SLs? And if so, what is it?
Note: this is federal SL thru DOE.
Thank you!
I'm still trying to learn about SL's but I do believe they are handled a bit differently than other collections.
20 U.S.C. § 1080a : US Code - Section 1080A: Reports to credit bureaus and institutions of higher education
A consumer reporting agency may make a report containing information received from the Secretary or a guaranty agency, eligible lender, or subsequent holder regarding the status of a borrower’s defaulted account on a loan guaranteed under this part until—
(1) 7 years from the date on which the Secretary or the agency paid a claim to the holder on the guaranty;
(2) 7 years from the date the Secretary, guaranty agency, eligible lender, or subsequent holder first reported the account to the consumer reporting agency; or
(3) in the case of a borrower who reenters repayment after defaulting on a loan and subsequently goes into default on such loan, 7 years from the date the loan entered default such subsequent time.
I read that to mean that the CRTP for SL's is not the same as other debts and the DoFD might be not as critical.
But I''m still learning.
From a BK years ago to:
EX - 3/11 pulled by lender- 835, EQ - 2/11-816, TU - 2/11-782
"Some people spend an entire lifetime wondering if they've made a difference. The Marines don't have that problem".Thank you, Marinevet.
I wonder what "subsequent holder" means. If that means CA, could a new CA report it on the CR and the 7 years start over? I wish there were more explicit info about the rules for SL. Right now, my CR is clean, but I periodically get re-contacted by a new CA and am afraid it's going to reappear on my CR after all of the work I've done to clean up my credit.
Yes, a CA can be a subsequent holder. However, it would be unwise to assume that the CRTP can extend indefinitely while the student loan account is floating around through various CAs. The seven-year period mentioned in paragraph two begins when whoever reports the default first makes the derogatory entry to your tradeline. Subsequent entities that end up reporting cannot extend the original 7-year period.
That said, a SL derogatory can remain on your CR far longer than 7 years. At the end of paragraph 2, above, notice the word or. That means the CRA can report for the the time period mentioned in either of the paragraphs -- whichever is the longest.
MVV is certainly correct when he states that DoFD is not critical when it comes to student loans.