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In June of 2012 i defaulted on my loan. After a few monthly payments to another company I have since been paying the DOE through direct loans each month. The company i defaulted with has reported to my credit report negatively as I expected. My question would be can they report negatively about a debt that has been consolidated and is being reported as positive at the same time? Can this be disputed. please help as i am trying to get approved for a home loan. thank you
When did you consolidated the defaulted loan and how many payments have you made through consolidation? I have a defaulted loan that I consolidated and it wasn't a issue with my underwriter. You should be fine if you have made at least 12 months of payments.