Question about Rehab/Reporting

[Anonymous]

Well its me again! With yet another question.  I compelted rehab and my loans were immediately picked up by NELNET.  On my NLDS, for my loans, this is what it states: 

RP

IN REPAYMENT

08/15/2013

My question is as follows:  now they claim that within 60-90 days that the loans will be reported to your credit report as no longer in default and all the negative stuff will fall off.  Since it is listed as in repayment and the updated date is 8/15/13, does that mean that the process has begun and I should expect to see my updated credit reporting within within the next 2 weeks- month and a half?  I am eager to see what my score does! Thanks

[Anonymous]

Also a couple of my loans originated in 2006.  Does that mean that this will be an asset for me since it looks like my loan has been in repayment for 7 years? thanks!

[Mauveboy]

Yes on both questions. It may take a while, but you'll see the negatives drop off of your credit report and being in repayment for 7 years will help toward your Average Age of Accounts. Rehab is always the best option if you have the time. I did loan consolidation instead because my negative remarks were set to fall off faster than the rehab process anyway and after it was all said and done and the negatives where off of my report I had a 100 point jump in my credit score! I began the process in March and the last negative came off today. Went from 636 Equifax in February to 736 today.

[Anonymous]

I completed rehabilitation of my student loans in April and yes the negative reporting of the default did fall off, but they still report ALL of the late payments.  From research and calling them countless times it seems that that will stay on my report for seven years.  This was very disappointing considering when the rehabilitation was explained to me they said that it would remove negative reporting from my credit report.  I have disputed and even had a CRA rep call the student loan company with me on the line and they still flat out said no.  About a week ago I sent a goodwill letter asking them to consider removing the lates or the tradeline all together.  We will see what happens.....

[Anonymous]

Thanks for the responses.  Its funny because it seems like with everyone rehab, everyone experiences different things-- almost as if the whole process is case sensitive.  So far everything in my rehab has been going according to planned.  I am hoping my late payments fall off but if they don't I will try to GW them to death.  I am going to remain positive and see how the whole process shakes out.  After this loan stuff is taken care of I only have two other negatives on my CR that I have to take care of and I am in the garden for life.  I love this forum and thank you guys for supporting me!

[Legions36]

To answer your question I just got my student loan rehabbed like a month ago. I also had to wait like almost 2 month before i was able to make my 1st payment to the new lender who picked up my loan but I didn't wait until my first payment as soon as I had that letter of completion in my hand I disputed everything and then I called the original lender to ask them if they could fix my report, I think this speeded up the process some.

Your default will get removed, u will get a new tradeline from Nelnet backdating your history with pays as agreed positive line, u will still have a negative tradeline from your original lender that shows the lates BUT it will show paid as agreed which from my understanding is not to bad if its old(This line will also fall off in 7 years). More than likely u wont be able to get the original lender to remove the lates, but u have a chance if they are in a good mood. 

Don't get discouraged about the lates because the default gets totally removed and thats what really screws up your credit. Before this rehab my score was 590 equifax and now a few months later my score is 666 and still going up. I hope this helps as it was a step by step explanation of the process.

One more thing I have read reports that the orignal lender removing the whole line in the end but it might of been because it was older than 7 years. Who is the original lender? and maybe we can figure it out.