Help with possible duplicated student loan TLs

Anonymous · ‎08-08-2014

Long-time reader, first-time poster. I'm in a pickle that I REALLY need some advice on, so it's my time to pick your brains. Should there be a brave soul or two out there that can stick with my situation, I would be VERY grateful for any advice. You've been warned...

HISTORY:

I wasn't exactly on the four-year plan in terms of college. With that being said, I acquired eleven student loans initially totaling $27,521 from the span of 11/1999 through 08/2008, all through NelNet. I graduated in 12/2008, got stupid and let life get in the way of caring about my credit report. I don't remember what happened, but Texas Guaranteed Student Loans paid NelNet IN FULL $32,601.26 to take over my loans [though the total of those 11 TLs is $33,437 across all three CRAs]. I'm pretty sure I had a deferment due to a financial hardship. At this point, I now had 22 TLs for 11 loans.

Enter January 2011, I consolidated my loans with the USDoE. I now add two more TLs [SUB/UNSUB] totaling $40,133 [makes me SICK that I could have saved so much in interest if I hadn't been so stupid].

But wait! EQ and EXP have a third TL for the USDoE! They have the two for SUB/UNSUB, plus the third for $40,358! Duplicate much?! Oddly, the ONLY TL that exists for USDoE on TU is the lump $40,358. Even MORE odd...the two SUB/UNSUB TLs are in a NEGATIVE status, while the $40k TL is listed as a POSITIVE. More on that later.

Life got back on track, and I resumed paying my loans with USDoE [via DIRECT LOANS] in late 2012. DL transferred my loans to FEDLOAN SERVICING [business decision] 05/2013. I have not missed a payment since late 2012, not even a late-pay.

WHAT MY REPORTS LOOK LIKE:

EQ -

11 neg TLs from NelNet [falling off 2016] STATUS: 120+/GOV'T CLAIM [which is untrue, there was no gov't claim]
11 neg TLs from TGSL [same loans as NelNet] STATUS: PAID COLLECTION
2 neg TLs from USDoE [split consolidation] STATUS: 120+/CLOSED
1 POS TL from USDoE [complete consolidation] STATUS: PAYS AS AGREED/TRANSFER
1 POS TL from FEDLOAN STATUS: PAYS AS AGREED

EXP - same as EQ except statuses on the USDoE TLs are all TRANSFER/CLOSED

TU -

11 neg TLs from NelNet STATUS: CURRENT/PAID AS AGREED/CLOSED
11 neg TLs from TGSL STATUS: PAID COLLECTION
2 neg TLs from USDoE STATUS: TRANSFER/CLOSED
1 POS TL from USDoE STATUS: TRANSFER/CLOSED
1 POS TL from FEDLOAN STATUS: PAYS AS AGREED

QUESTIONS:
1. Do I have ANY chance of removing the duplicated TLs from NelNet and TGSL? If so, do I dispute those through the CRA or go directly to NelNet and TGSL?

2. Am I correct in thinking the USDoE TLs are also duplicates of themselves? Would it be worth to try to remove the two split TLs since there is another TL for the whole $40k sum?

pizzadude · ‎08-08-2014

Welcome to the forums !

I am going to move your post to the Student Loans board for better visibility.

March2010 FICO® ~ 695 TU, 653 EQ, 697 EX

Anonymous · ‎08-08-2014

Ah, OK. Sorry about that! I'm desperately trying to rebuild my credit, so I assumed the question would go here. Thanks for redirecting!

pizzadude · ‎08-08-2014

@Anonymous wrote:
Ah, OK. Sorry about that! I'm desperately trying to rebuild my credit, so I assumed the question would go here. Thanks for redirecting!

Sure! Student Loans tend to be different than other tradelines, so hopefully you'll get some feedback here

March2010 FICO® ~ 695 TU, 653 EQ, 697 EX

SCF · ‎08-08-2014

The first two sets of tradelines on EQ seem correct from what you've said. The "claim filed with government" is there because federal student loans are backed by the Department of Education. When you default, the lender files a claim, they are paid, and that debt is transferred to a collection agency to attempt to recoup the debt. That collection agency can then report the loans as part of their collection efforts.

When you consolidated the loans, you brought them out of default. Were you ever late on the payments for the consolidated loan?

The DoE went through some changes with their computer system a while ago that may explain when the consolidation loan is reporting twice, they made a ton of changes, and one consequence of that may have been to truly consolidate those tradelines on your report. What opened and close dates do each of your DoE tradelines have?

To your questions:

1) The reporting is correct unfortunately. You had 11 tradelines, you defaulted, they were transferred to a collection agency who can then report those accounts. You can certainly try GWs to both agencies though.

2) I'm not sure, look closely at the dates, there were a lot of computer system changes happening in 2012-2013 and it is the DoE's perogative to change how they report your loan as long as they keep that reporting accurate. If you were never late in paying your consolidation loan, they've got a reporting issue and I would contact them and then escalate to a dispute if that doesn't get it fixed. If you were late, then it seems like accurate, allbeit very messy reporting.

Anonymous · ‎08-10-2014

@Anonymous wrote:
Long-time reader, first-time poster. I'm in a pickle that I REALLY need some advice on, so it's my time to pick your brains. Should there be a brave soul or two out there that can stick with my situation, I would be VERY grateful for any advice. You've been warned...

HISTORY:

I wasn't exactly on the four-year plan in terms of college. With that being said, I acquired eleven student loans initially totaling $27,521 from the span of 11/1999 through 08/2008, all through NelNet. I graduated in 12/2008, got stupid and let life get in the way of caring about my credit report. I don't remember what happened, but Texas Guaranteed Student Loans paid NelNet IN FULL $32,601.26 to take over my loans [though the total of those 11 TLs is $33,437 across all three CRAs]. I'm pretty sure I had a deferment due to a financial hardship. At this point, I now had 22 TLs for 11 loans.

Enter January 2011, I consolidated my loans with the USDoE. I now add two more TLs [SUB/UNSUB] totaling $40,133 [makes me SICK that I could have saved so much in interest if I hadn't been so stupid].

But wait! EQ and EXP have a third TL for the USDoE! They have the two for SUB/UNSUB, plus the third for $40,358! Duplicate much?! Oddly, the ONLY TL that exists for USDoE on TU is the lump $40,358. Even MORE odd...the two SUB/UNSUB TLs are in a NEGATIVE status, while the $40k TL is listed as a POSITIVE. More on that later.

Life got back on track, and I resumed paying my loans with USDoE [via DIRECT LOANS] in late 2012. DL transferred my loans to FEDLOAN SERVICING [business decision] 05/2013. I have not missed a payment since late 2012, not even a late-pay.

WHAT MY REPORTS LOOK LIKE:

EQ -
11 neg TLs from NelNet [falling off 2016] STATUS: 120+/GOV'T CLAIM [which is untrue, there was no gov't claim]
11 neg TLs from TGSL [same loans as NelNet] STATUS: PAID COLLECTION
2 neg TLs from USDoE [split consolidation] STATUS: 120+/CLOSED
1 POS TL from USDoE [complete consolidation] STATUS: PAYS AS AGREED/TRANSFER
1 POS TL from FEDLOAN STATUS: PAYS AS AGREED
EXP - same as EQ except statuses on the USDoE TLs are all TRANSFER/CLOSED

TU -
11 neg TLs from NelNet STATUS: CURRENT/PAID AS AGREED/CLOSED
11 neg TLs from TGSL STATUS: PAID COLLECTION
2 neg TLs from USDoE STATUS: TRANSFER/CLOSED
1 POS TL from USDoE STATUS: TRANSFER/CLOSED
1 POS TL from FEDLOAN STATUS: PAYS AS AGREED

QUESTIONS:
1. Do I have ANY chance of removing the duplicated TLs from NelNet and TGSL? If so, do I dispute those through the CRA or go directly to NelNet and TGSL?
2. Am I correct in thinking the USDoE TLs are also duplicates of themselves? Would it be worth to try to remove the two split TLs since there is another TL for the whole $40k sum?

I hope this helps answer your question. I had 6 student loans removed from my report also the collections were removed as well. My student loan was in default and unfortunately it will still show as defaulted until I complete my rehabilitation in November. They can be removed, but you would have to either know how to do it yourself or use a credit repair agancy. I signed up for a credit repair agency for $78 per month. My scores have increased over 100 points in 11 months. All except Equifax they are stubborn.