@thankfulheart wrote:
I just completed the consolidation process and all of my loans went to NelNet as the servicer (they were scattered before). Even with the consolidation, each loan TYPE will show up as a separate loan on your CRA. There is no helping it. The consolidation simply means that you send a single payment to a single servicer and they apply it to the various loans. They also align your due dates, so you only have one due date. So, to answer your question, yes, it's legal and yes, if you have 9 loans, you'll have 9 individual notations every month you are late, even in consolidation.
The consolidation will also open 9 NEW accounts, which will shoot your AAoA down the toilet. I lost points when my 4 consolidated and became "new" accounts.
I consolidated with Direct Loans. I had several loans originally, but they were of 2 types...Stafford subsidized and Stafford unsubsidized. After consolidation, they report 2 loans....not the original number I had. I've never been late, but if I was late, there would only be 2 lates reported...one on each loan.
Sounds as if NelNet reports differently than Direct Loans.
