Student Loan Help

[NYC2012]

I have a SL that I defaulted on-the CRA's are now reporting two accounts for the same thing. I am currently paying on the Chase account. Here's how they are listed:

 

Equifax

SLMA TRUS--06058XXXX

Acct Type: Installment

Acct Status: Open

Monthly Payment: $81

Date Open: N/A

Balance: $4,280

Terms: N/A

High Balance: $3,085

Limit: N/A

Past Due: $0

Remarks: COLLECTION ACCOUNT

Payment Status: At least 120 days or more than four payments past due

[Cheech]

Are these private student loans or federally backed student loans (FFELP, Stafford, Perkins)?

[NYC2012]

It's a Stafford.

[NYC2012]

I am going to repost because the information got jumbled:

 

Equifax

SLMA TRUS--06058XXXX

Acct Type: Installment

Acct Status: Open

Monthly Payment: $81

Date Open: N/A

Balance: $4,280

Terms: N/A

High Balance: $3,085

Limit: N/A

Past Due: $0

Remarks: COLLECTION ACCOUNT

Payment Status: At least 120 days or more than four payments past due

 

Equifax

Account Number: CHASE MAN--06058XXXX

Acct Type: Installment

Acct Status: Open

Monthly Payment: $81

Date Open: Nov, 1998

Balance: $4,606

Terms: N/A

High Balance: $3,085

Limit: N/A

Past Due: $0

Remarks: DEFAULTED LOAN - CLAIM FILED AGAINST GUARANTOR

Payment Status: Pays account as agreed

 

Experian

Account Number:6058XXXX

Acct Type:Education Loan

Acct Status:Closed

Monthly Payment:$0

Date Open: Nov, 1998

Balance:$4,266

Terms:120 Months

High Balance:$3,085

Limit: N/A

Past Due:$4,266

Remarks:N/A

Payment Status:Seriously past due date / assigned to attorney, collection agency, or credit grantor's internal collection department

 

 

Transunion

Account Number:6058XXXX

Acct Type:Installment account

Acct Status:Closed

Monthly Payment:$81

Date Open: Nov, 1998

Balance:$4,266

Terms:120 Months

High Balance:$3,085

Limit: N/A

Past Due:$4,266

Remarks:Placed for collection

Payment Status:Collection account

 

This is a Stafford loan and now I have the two TL's, so it appears that I owe twice the amount and I am currently paying on the Chase Account.

[Cheech]

Mods - can you please move this thread to the student loan forum ?

 

gyasi - Sorry I'm in a rush now but I'll respond to this later today after my meeting. Quick question though - are you saying that this is ONE stafford loan or two? Who was the original lender/guarantor and who has it now? What is the true current status of the loan?

[NYC2012]

It is one loan. Chase (JP Morgan) is the guarantee lender. I just spoke to someone from NYS Higher Education and they say that they own the account and I am paying them.

[Cheech]

It is one loan. Chase (JP Morgan) is the guarantee lender. I just spoke to someone from NYS Higher Education and they say that they own the account and I am paying them.

 

Sorry - having a little antecedent trouble here... lol. They who? I can't figure out if NYS owns the account or whom you're paying. Plus your tradeline from EQ says SLMA - isn't that Sallie Mae? How do they fit into the picture?

 

Sorry to keep asking for more info, but I'd rather give an accurate reply than make stabs in the dark.

 

Edit to add - Just now realized that you are currently paying Chase. So are the loans in default or not? Were they ever in default? Are you paying Chase through the rehab program, or if not, what are the terms of your repayment?

[NYC2012]

No problem. NYS Higher Ed (NYSHESC) says that I am making payment to NYSHESC for a loan originally defaulted from Chase-sold to Sallie Mae-sold or taken to collection by NYSHESC (which isn't on my CR).

[Cheech]

Reposting my edit - you're too fast for me... lol, but I didn't want you to miss this question...

 

Just now realized that you are currently paying Chase. So are the loans in default or not now? Are you paying Chase through the rehab program, or if not, what are the terms of your repayment?

 

Student loans are a different animal than most other types of loans, so how you approach removing negatives or defaults is a bit different too. Normally, if you are in default, you rehab with whoever currently holds your loan (which if I'm reading your last post right, the last entity to hold your loan was NYSHESC). So you are paying NYSHESC (last entity) to pay off a loan originated from Chase. Not sure how you passed up Sallie Mae, but I'll have to think about how to tackle that one.

[Cheech]

Okay, I gotta get all purtied up to go to a dinner party, but I'll check back in tonight.

 

Your mission should you choose to accept it...

 

Read http://studentaid.ed.gov/PORTALSWebApp/stu...sp?tab=repaying

 

and at the GPO site - http://www.gpoaccess.gov/fr/index.html find this regulation and read it - 42CFR682.405

 

This will give you some good background info about your rights when you default on a Stafford loan.

 

Edited to take out the gibberish my cat typed on my laptop.... bad kitty.

[NYC2012]

I have no dealing with Chase, although they are reporting "pays as agreed" to EQ. Don't know how I missed Sallie. I am about 4 months away from my 12th payment. The loans went into default, so I guess they are still in default.

 

Will read the threads u sent and check later. Maybe I'll contact the Ombudsman.

[Cheech]

OK, sorry - the trickle of info is confusing me... I feel like I'm on CSI Creditboards... LOL

 

I am about 4 months away from my 12th payment.

 

This kinda sounds like you are in a rehab program, but you didn't specifically say.

 

The loans went into default, so I guess they are still in default.

 

Yeah, until you rehab them or consolidate them or just pay them, then they are still in default. You said you were "paying on them", then later mentioned the 12 mth thingie - so are you just repaying in general, or are you in the rehab program? If you are just repaying in general, then your reports would probably not show up as a default. If you are in rehab, then your loans will show as defaulted until you finish rehab. (tons of info on this in the Student Loan forum)

 

Maybe I'll contact the Ombudsman.

 

The Ombudsman's office is there to resolve disputes that you have been unable to resolve on your own. So far you've just pulled your credit reports. You'll have to do more before you get the Ombudsman's office involved.

[O-ren_Ishii]

TRUST me, getting the Ombudsman involved does help. I contacted them earlier this year about my student loan being in default. The lender was completely ignoring me and didn't care one bit that they defaulted in error (while attending school), plus it was listed per semester with the original lender and the guarantor. They were eventually resolved and removed from my credit report with some persistance. You can go online here to contact them. Hope this helps.

 

http://www.ombudsman.ed.gov/ombudsman/index.html

[Cheech]

The lender was completely ignoring me and didn't care one bit that they defaulted in error

 

The Ombudsman was appropriate in your case. You had already tried to resolve the issue on your own. The Ombudsman will always get back in touch with you, but the very first question they will ask is - what have you done?

[NYC2012]

It is my understanding that after 12 consecutive voluntary payments a borrower will be sent papers for Rehab. I have made 8 payments. I have contacted Sallie Mae and they are the ones who gave me the information that they took over the defaulted Chase loan, subsequently Sallie Mae turned the account over to NYSHESC, where I currently make my monthly payments on an account they(NYSHESC) say is in collections, although this account isn't listed on my CR.

 

I have no idea where to begin with Chase. The lady I spoke to at Sallie Mae said she would send me the information that they no longer own this account.

[NYC2012]

Bump

[Cheech]

It is my understanding that after 12 consecutive voluntary payments a borrower will be sent papers for Rehab.

 

The rehab papers are good to have, so once you finish the 12th payment, follow up on that. In my case, I got a nice letter saying something like "congrats on rehabbing your loans."

 

Even if you don't get the papers, retain proof that you paid all 12 payments. Once you finish rehab, then follow up with Chase and Sallie Mae to get the default notations removed if they don't do it automatically (you can read others' experiences on this in Student Loan forum). Rehab is an awesome program, but as with any bureaucracy, you have to stay on top of things to be sure it gets taken care of.

 

4 more months isn't that long and it's a great feeling once you are done.

[NYC2012]

Thanks Cheech.

[NYC2012]

I just go a letter from EQ-The account is reporting paid as agreed, with no late payments. Student loans are not considered duplicate accounts. They are reported according to disbursement of funds under the same or similar account number,usually the SSN. Based on my conversation with NYSHESC the Chase account was paid off already when I defaulted. DOLA is listed as 3/1998 and last payment 4/2004 with EQ, waiting for other CRA's to provide DOLA. It's confusing so read my earlier posts.

[NYC2012]

bump

[Cheech]

I just go a letter from EQ-The account is reporting paid as agreed, with no late payments. Student loans are not considered duplicate accounts. They are reported according to disbursement of funds under the same or similar account number,usually the SSN.

 

Yes, that is correct. That is why you will see many posts in the Student Loan forum of many people who have 20, 30, or more student loan tradelines. They can also repeat those same tradelines for every lender who has charged off the loans. At one point I had about 25 on each report.

 

Based on my conversation with NYSHESC the Chase account was paid off already when I defaulted.

 

How can you default on something that's already paid? Color me confused. Perhaps they meant it was considered a paid chargeoff? Dig deeper, perhaps this is where Sallie Mae comes in. There's an excellent link (again in the Student Loan forum) at the top (Important Links I think) that links to the Loan Locator service. You might want to try checking this out to trace the government's record of your loan history and status just to be sure it agrees with the records that you have.

[lextexgal]

Speaking of student loans, I consolidated all of my loans. My question is this. Can I have USA Funds, TX Guaranteed Student Loan that is showing "Paid Collection" removed from my report now that they are all under Dept. of Education? Will it hurt my score?

[Cheech]

lextexgal -

 

Would you mind posting your question as a new topic in the Student Loan forum? That makes things much easier to find later for me and anybody else who needs this info.

 

Thanks so much.

[lextexgal]

I sure will! Thanks.