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Rehab complete. Credit score up. What to expect next?

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New Member

Rehab complete. Credit score up. What to expect next?

Hello all! 

I just discovered this forum, and ive come across tons of great information, and so much useful advice.

Ive been searching, but I cant seem to find an answer to a specific question.

Just a rundown:  

Finished student loan rehabilitation.  I check my credit score weekly through the Mint app (transunion I think).  Before my last payment, I was at 583 score.  After the payment, all loans erased, and score went up to 627, so its looking fair. I just checked my experian for the first time, and it says my score is at 663.  

 

My question is, what can I expect when my new loan provider (FedLoans) starts reporting my 6 student loans ($34,000), as far as my credit score goes?  Could I expect my score to crash because it looks like I just inherited 6 new loans and a large amount? Or will it just be a few points like 10 or 20, that could fall?  Since my score is fair right now, I'm trying to take advantage of it right now before these loans show up haha.  About 2 months ago I applied for the Apple Card and was rejected.  As soon as my rehab was complete and my score went up, I applied the next day and was given a limit of $3000 🤷‍♂️

 

Anyone with some helpful information?

 

thanks! 

Message 1 of 7
6 REPLIES 6
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Valued Contributor

Re: Rehab complete. Credit score up. What to expect next?


@Thanos316 wrote:

Hello all! 

I just discovered this forum, and ive come across tons of great information, and so much useful advice.

Ive been searching, but I cant seem to find an answer to a specific question.

Just a rundown:  

Finished student loan rehabilitation.  I check my credit score weekly through the Mint app (transunion I think).  Before my last payment, I was at 583 score.  After the payment, all loans erased, and score went up to 627, so its looking fair. I just checked my experian for the first time, and it says my score is at 663.  

 

My question is, what can I expect when my new loan provider (FedLoans) starts reporting my 6 student loans ($34,000), as far as my credit score goes?  Could I expect my score to crash because it looks like I just inherited 6 new loans and a large amount? Or will it just be a few points like 10 or 20, that could fall?  Since my score is fair right now, I'm trying to take advantage of it right now before these loans show up haha.  About 2 months ago I applied for the Apple Card and was rejected.  As soon as my rehab was complete and my score went up, I applied the next day and was given a limit of $3000 🤷‍♂️

 

Anyone with some helpful information?

 

thanks! 


The new tradeline for the rehab student loans should have the original open date (when you consolidate you get new loans opened) so I would expect a positive effect on your scores when they report not a negative effect 

Scores hover around 800
Haven't been AZEO in over a year
Rome was not built in a day, neither is a good credit profile
Message 2 of 7
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Valued Contributor

Re: Rehab complete. Credit score up. What to expect next?


@dragontears wrote:

@Thanos316 wrote:

Hello all! 

I just discovered this forum, and ive come across tons of great information, and so much useful advice.

Ive been searching, but I cant seem to find an answer to a specific question.

Just a rundown:  

Finished student loan rehabilitation.  I check my credit score weekly through the Mint app (transunion I think).  Before my last payment, I was at 583 score.  After the payment, all loans erased, and score went up to 627, so its looking fair. I just checked my experian for the first time, and it says my score is at 663.  

 

My question is, what can I expect when my new loan provider (FedLoans) starts reporting my 6 student loans ($34,000), as far as my credit score goes?  Could I expect my score to crash because it looks like I just inherited 6 new loans and a large amount? Or will it just be a few points like 10 or 20, that could fall?  Since my score is fair right now, I'm trying to take advantage of it right now before these loans show up haha.  About 2 months ago I applied for the Apple Card and was rejected.  As soon as my rehab was complete and my score went up, I applied the next day and was given a limit of $3000 🤷‍♂️

 

Anyone with some helpful information?

 

thanks! 


The new tradeline for the rehab student loans should have the original open date (when you consolidate you get new loans opened) so I would expect a positive effect on your scores when they report not a negative effect 


+1

 

As long as you did rehab and did not consolidate your SLs, then the "new" SLs will be backed dated to when they were originally taken out, as mentioned above, so that should likely be a positive factor to your scores and not a negative one.

 

Your scores you give, are those vantage scores (credit karma or the likes) or fico scores? I know the EX one you listed is likely fico.

 

Are you old SLs with the lates still reporting or were all SLs wiped from your CRs (the CAs and the original ones that defaulted)?

 

Just curious because we all hope for a big boost after SL rehab(s) are conpleted and from all the posts I have read it can vary wildly from a small bump to a large boost in scores.

 

Thanks and congrats on completing rehab!

 

Edit: just saw you mentioned Mint, which is a vantage score. Just so you know, those can be volatile and any change can make them sky rocket or plummet easily, so I would put little stock in those scores.




Starting Score: 2•20 | EQ 550 | TU 498 | EX 505
Current Score: 11•20 | EQ [F8 615] [F9 653] [EQ5 645] [VS3 657] | TU [F8 600] [F9 552] [TU4 563] [VS3 639] | EX [F8 587] [F9 573] [EX2 614] [VS3 631]
Goal Score: 680


Take the myFICO Fitness Challenge

SO Starting Score: 2•20 | EQ 502 | TU 484 | EX 521
SO Current Score: 11•20 | EQ [F8 602] [F9 540] [EQ5 599] [VS3 534] | TU [F8 631] [F9 587] [TU4 572] [VS3 640] [VS4 634] | EX [F8 651] [F9 614] [EX2 630] [VS3 657]
Goal Score: 680


Take the myFICO Fitness Challenge



Message 3 of 7
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Established Contributor

Re: Rehab complete. Credit score up. What to expect next?


@LaHossBoss wrote:


As long as you did rehab and did not consolidate your SLs, then the "new" SLs will be backed dated to when they were originally taken out, as mentioned above, so that should likely be a positive factor to your scores and not a negative one.


When the new backdated SL's report, do they report as clean trade lines, or do they report the lates accrued on the original lines?  (Not to hijack, but my SO and I are looking at options for their federal loans, which have been in default for 12 years.  Everything is off of their reports, except for one line on TU only, and we wouldn't want to rehab if that would mean 7 lines w/ 7 years of lates would pop back on to their reports.)


Message 4 of 7
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Re: Rehab complete. Credit score up. What to expect next?

Ahhh ok, that all makes total sense.  

I havent consolidated anything, and probably wont, unless that will help.  On my Mint account, the Dept of Ed loans are all gone, but the original ones I believe (since they have dates from when I first received the loans back in 2010) are still there with payment history are showing negative remarks.  They've been erasing though one by one as the months go by, currently on October 2013. 

 

And thank you! Just recently this past year ive started paying off my old debts, and taking a good care and look at my credit score.  Ive been using Mint, but have noticed other apps/websites will probably give me a better detailed look haha. 

Message 5 of 7
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Valued Contributor

Re: Rehab complete. Credit score up. What to expect next?


@Slabenstein wrote:

@LaHossBoss wrote:


As long as you did rehab and did not consolidate your SLs, then the "new" SLs will be backed dated to when they were originally taken out, as mentioned above, so that should likely be a positive factor to your scores and not a negative one.


When the new backdated SL's report, do they report as clean trade lines, or do they report the lates accrued on the original lines?  (Not to hijack, but my SO and I are looking at options for their federal loans, which have been in default for 12 years.  Everything is off of their reports, except for one line on TU only, and we wouldn't want to rehab if that would mean 7 lines w/ 7 years of lates would pop back on to their reports.)


Backdated without the lates. 

 

Since the old accounts aged off, that would likely mean most of the lates have also aged past 7 years, too, so they wouldn't be reportable now, anyway.

 

That is aside, because the "new" SLs will not have any negative remarks once rehab is completed and they are reported by the new servicer or reinstated with the original servicer.

 

Like you, me and my SO have SLs in rehab while the derog SLs (CAs & Original loans) have aged off or will age off by the time rehab is completed, so we will have a "clean" late, too! I am quite excited about this and can only hope that this gives us a good boost score-wise! 2 more rehab payments and I guess we will find out in the months to follow!

 

We both share 1 servicer that offered once we hit month 7 (now) we could fast track and finish the rehab, which is super tempting! I think we may for SO, but not myself, as he will have $0 payments and I will have huge payments, as this 1 servicer holds over half of my 135k-ish in SLs and I will not have $0 payments lol so I think I will take all the time I can get to brace myself for hefty monthly payments!

 

The DPs I have read vary wildly from small to large boosts, so I guess it just depends on the overall profile and, I believe, if the original TLs are still reporting with the lates.

 




Starting Score: 2•20 | EQ 550 | TU 498 | EX 505
Current Score: 11•20 | EQ [F8 615] [F9 653] [EQ5 645] [VS3 657] | TU [F8 600] [F9 552] [TU4 563] [VS3 639] | EX [F8 587] [F9 573] [EX2 614] [VS3 631]
Goal Score: 680


Take the myFICO Fitness Challenge

SO Starting Score: 2•20 | EQ 502 | TU 484 | EX 521
SO Current Score: 11•20 | EQ [F8 602] [F9 540] [EQ5 599] [VS3 534] | TU [F8 631] [F9 587] [TU4 572] [VS3 640] [VS4 634] | EX [F8 651] [F9 614] [EX2 630] [VS3 657]
Goal Score: 680


Take the myFICO Fitness Challenge



Message 6 of 7
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Re: Rehab complete. Credit score up. What to expect next?


@Thanos316 wrote:

 

Just recently this past year ive started paying off my old debts, and taking a good care and look at my credit score.  Ive been using Mint, but have noticed other apps/websites will probably give me a better detailed look haha. 


 

For a complete look at your credit, www.annualcreditreport.com is probably the best option, since it's straight from the source.  Ordinarily it gives you one free report from each of the three bureaus once per year, but right now you can get free reports once/week.  I don't know which service you're using for your Experian score, but their www.creditchecktotal.com will give you all three FICO8's, your EX mortgage score, and all three credit reports for $1 if you sign up for a trial membership.  You want to be sure you switch your membership to the free version before the trial is up so you don't hit the hefty recurring charge, but as long as you cancel it's a cheap way to get a pretty thorough snapshot of where you're at.


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