disputing student loan tradelines after rehab

[tcr300]

Hi all,

I  just recently completed my final rehab payment on April 1st.  So I'm anxiously awaiting more info from the Dept of Education and being picked up by a new lender.

My question is, should I wait for the Dept of Education to update the credit bureaus?  Or should I submit a dispute and try to have the information removed earlier?  From what I've read on the forum it can take 90 days or so for the Dept of Ed to report the corrrected information.

My concern would be that if I dispute and have the loan info removed, is it possible when they are reported by the Dept of Education that it will somehow affect the correct reporting of the tradelines when they are posted.  ( I don't want to take the chance of losing the age on the loans etc. as when it's all said and done it will be a 15 year positive tradeline.)

Or will whatever I have removed have no bearing on their reporting of the accounts?  Does that make sense?  

[Involver]

After all of the hard work you have put in and the timely payments you have made, I wouldn't risk affecting the correct and positive reporting of your tradelines at this point by getting impatient.  Wait for them to get picked up and wait for them to report.  If there are problems at that point, I would think you would be in a good position to dispute any incorrectly reported information.

[tcr300]

Honestly, yes it's a certain amount of impatience at this point. So your suggestion is probably the best way to go.  Was just wondering if anyone here did dispute and the outcome.

I really could use those derogatory accounts off my files, as my car is about to fall apart and I'd love to apply for a small auto loan in the next several weeks as opposed to three months.

[Anonymous]

We made our last payment on March 13th and our loan was picked up on April 7th. As of April 11th the loan was rehabbed. Within days the guarantors TLs went away completely. I disputed the TLs that had the default information and they came back verified so it was pointless. I recommend waiting  a few weeks before you dispute. Once the student loan people can see the rehab, then I would and attach the documentation you have proving the loan has been rehabbed. Make sure it comes from the lender that is reporting the wrong info. Also, MOHELA, said they will only be removing the default comment, not the lates. I hope this all makes sense. 

[tcr300]

Thanks for that.  Patience is the key as always I guess.  I think I just needed some prodding  I'm curious if I will be in the same boat as you with Sallie Mae lates and all that info on there.  I didn't know better and had consolodated before rehab.  So I'm pretty much convinced all those loans will still show lates etc.  Guess we'll see.

[Anonymous]

The way I understand it, if the same people pick it up after rehab, your chances are higher that all negatives will be deleted. If a new company picks it up, its a 50/50 shot. Everything prior to consolidation didnt change at all. Not sure if it should have? Since technically the default comments are the only mandatory thing that has to go away, and the loan was never in default prior to consolidation, I am guessing they wont go away. Our credit bureaus are all finally updated! Now I am just getting the dispute comments removed. I definitely would wait until when you call the company, they can see the rehab was complete and there isnt any digging for information. Had we waited a few weeks, the dispute would have updated the information immediately vs verifying the negative default because there systems had not completely updated. 

[tcr300]

That makes sense.  Also I had unfortunately consolodated some time prior to rehab, as i didn't know any better.  So I'm expecting the negative information (10 Sallie May negatives that were originally $500-1000 each from some time ago)  to remain on my report  But the new positive tradelines should help some at least.

I'll do a good will letter to Sallie May after the rehab is officially complete, but after reading what I have on here I'm sure it won;t help.