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Loan rehabilitation done...now what??

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Loan rehabilitation done...now what??

I completed my student loan rehabilitation program and the new accounts are now showing however, the old accounts are there as well still showing blemishes on my report. I want to attempt to dispute these so that they can be removed however I am unsure how they should be worded. Does anyone have any suggestions? These accounts are holding me back from getting my mortgage and I want to get rid of them if at all possible!!
3 REPLIES 3
Established Contributor

Re: Loan rehabilitation done...now what??

They won't remove the accounts, I don't think.
You might want to do a search on here. There is no guarantee that the derogatories will be removed but some people have had quite a bit of success with disputing them. Some include their rehab letters too. The lates are yours so they are accurate and normally you shouldn't dispute accurate stiff, but I guess that's how it can be done.
I don't think it would hurt to try! Good luck.



Message 2 of 4
Valued Contributor

Re: Loan rehabilitation done...now what??


@Msashley0819 wrote:
I completed my student loan rehabilitation program and the new accounts are now showing however, the old accounts are there as well still showing blemishes on my report. I want to attempt to dispute these so that they can be removed however I am unsure how they should be worded. Does anyone have any suggestions? These accounts are holding me back from getting my mortgage and I want to get rid of them if at all possible!!

My husband is in the same boat.  I would like to know what can be done as well.  This is double-dipping in my eyes.  Can't be both postive and negative at the same time.

Message 3 of 4
Established Contributor

Re: Loan rehabilitation done...now what??

"If you rehabilitate a defaulted loan, the record of the default will be removed from your credit history. However, your credit history will still show late payments that were reported by your loan holder before the loan went into default. If you consolidate a defaulted loan, the record of the default (as well as late payments reported before the loan went into default) will remain in your credit history. Late payments will remain on your credit report for seven years from when they were first reported."
https://studentaid.ed.gov/sa/repay-loans/default/get-out

I've read through the posts before to see what people have experienced; it varies. Some people have them removed as a part of the rehab process, and other people were able to have some or all of them removed through dispute. There's also a chance they won't remove anything. (You can't ask for a goodwill removal for student loans because I think they have different reporting requirements.)

You can check out the posts & try what other borrowers have tried to see if anything works. However, if the lates are legit, the official rehab process doesn't include having them removed.



Message 4 of 4
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