Default loan/rehab/7 years

[ChiknNuggz]

I have just mad my last payment today on my student loan rehab.  Has anyone else complete rehab during this pandemic/CARES ACT? How long did it take your loans to be sent to the new services and your credit to reflect that you were no long in default? Did you see a score increase? The rehab program was with great lakes recovery and Dept Of ED was the original creditor. 

[tooleman694]

My Wife finished hers around Oct Nov ish. The collections fell off around Dec, and the new accounts showed up this month. Before we started she was high 500 low 600s. Now 700s across the board.

[ChiknNuggz]

Did you notice a score jump after they fell off or when the new account showed up as on time payments.  Also, were you one of the lucky ones to get your missed payments removed?

[tooleman694]

There were 3 score jumps. First was huge when the collections fell off. Then they deleted her lates on the old loan. Then the new accounts showed up.

[ChiknNuggz]

Thats great. Here hoping that happens for me as well. Ive heard and researched that the lates can or cannot fall off. Its more kinda a luck of the drawn thing with those late payments.

[Anonymous]

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@ChiknNuggz wrote:

Thats great. Here hoping that happens for me as well. Ive heard and researched that the lates can or cannot fall off. Its more kinda a luck of the drawn thing with those late payments.

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+1

@tooleman694DW got very lucky!

Were these her only derogs? I can see that being the reason for the score jump. Could also be because all the lates were removed, or a combination of both.

For my SO, all aging off/EE/removed via rehab, he still has 27+ lates reporting from 1 servicerc across 3 loans, but only on 2 bureaus. Score gains were not monumental for the SLs. He got more for establishing revolving credit.

His 2 rehabs finished mid-December and both just fibally came through. 1 servicer still not reflected on CRs with "new" backdated SLs, but at least both reflected on the NSLD. 1 servicer was literally today - so 60 days - that was FH Cann for FedLoan. 180Resolutions for NMSL was much quicker.

For me, my SLs that remained, with the same servicer as my SO had, have 122+ lates (came down from over 300 last year lol). My score climb has also been fairly insignificant so far, but I have the last 8 defaulted SLs (4 OC/4 CA) coming off in 2 weeks for TU and within 6 months for the other 2 bureaus.

2 of my 3 rehabbed sets of SLs took a little less time than my SO, but still close to the 60d mark. 180Resolutions for NMSL and ECMC for Wells Fargo (got moved to a new servicer - Navient).

[refereeguy1390]

Congrats on finishing rehab!

I started mine on January 18th so I didn't have to make the first payment.  I got told the payment amount for February since Biden hadn't taken office yet (although we kinda knew the extension was coming).  The MyEdDebt website updated with the payment plan info.  It was still listing the full payment as due for February, so I called the collection company that owns it and they confirmed I don't owe payments though September.  Whew.

Gonna use that extra money to pay down high interest car loan now.

[ChiknNuggz]

Thats great congrats on starting. The 9 months will seem like its taking forever lol because getting out of default is such a big deal. If you are able to affored your one time monthly payment I would also make it bc i did not have to make 1 single payment bc of the cares act but i made 4 payments anyway and my servicer counted them so i actually completed my 9 months 2 months early. I was suppose to finsh in april but made my last payment on 2/16/21.  Also, i would call your servicer every time you make a payment to ensure its being applied.  Stay on top of them and everthing will be a breeze.  I called the dept of ED yesterday and they have everthing i need and I will officaly come out of default this weekend and be sent to a new services on monday.  

[SedimentaryRock]

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@ChiknNuggz wrote:

I have just mad my last payment today on my student loan rehab.  Has anyone else complete rehab during this pandemic/CARES ACT? How long did it take your loans to be sent to the new services and your credit to reflect that you were no long in default? Did you see a score increase? The rehab program was with great lakes recovery and Dept Of ED was the original creditor. 

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My last rehab payment with the collections agency was Feb6th or so and my accounts show up with Great Lakes as of Feb 16th. It shows a zero balance on myeddebt.ed.gov, and my Experian credit score went up 32 points today or last night, but I don't have my new report for a few days to see exactly what changes were made. No other changes yet, but things are moving according to schedule it seems. Hoping for a big bump soon!

[SedimentaryRock]

Just realized myedu.whatever says zero balance but still says the servicing agent is Department of Education. I don't really understand the relationship between Great Lakes and US Dept of Edu but as others have mentioned, looks like for a while account details are in between the different agencies but all of this looks normal from what I have seen others report.