Hi,
I am attending school right now and in a months will go part time to attend school full time. I took out some stafford subsidized loans. My question is how will this affect my credit or my credit score. I know the loans are deffered until I finish school. thanks.

I don't know how they will effect your credit score while in deferrment, but I can sure tell you how they will effect you if you don't pay them or end up in default (as I'm sure others here can)

One thing nice about student loans, is that most places will drop your rate by so much if you opt in for automatic withdrawal from your checking. We have three student loan payments per month (mine, DH's, and a PLUS Loan) and they are all auto-pay. The rate drop is nice (for mine and DH's) and with auto-pay you're allowing positive pay history which I am sure helps your credit.

Your loans that aren't in repayment are already on your credit report, at least mine show up and state they are in deferement. Not sure what effect that listing has on the score...

As long as they're in deferment or forebearance, meaning no payment is due, they have no effect on your score at all. They may have an effect on manual review if you're close to repayment and it's a significant amount (as in, how much it would affect your debt/income ratio), but that's not always and that's not your score itself.

Just an FYI, at least one of the bureaus (I think it's TU, but I'm not sure), sometimes marks loans in deferment as "Bankruptcy or not rated" or something to that effect. This is NOT a problem. It's just their default comment line for loans that aren't currently in repayment, but are open on your report. It's not actually coded as a BK.

Hope this helps!

Good luck!!



edited for typo!

I have a school loan that is in deferment. I want to start making payments on the loans while I am in school. Will this have an impact on my score once the loan is paid off?

Also watch out for the same loan reporting multiple times. DWs, Moms, and my reports all have or have had the same loan reported as at least 3 different loans all counting toward total debt. Student loan places are a a total nightmare when it comes to reporting accuracy. Even worse of a nightmare to get corrected. Hell the one account listed 6 times on my CRs last year accoring to USDE/Direct Loans wasnt even being reported by anyone yet it updated every month and had been verified by dispute twice. I had to mail them a copy of my reports to show them it was there as 6 accounts.

I have two student loans that I have recently started paying on. Will it now affect my score? Positively hopefully?
Also, I just consolidated them into one loan, will it show the other ones as paid off and a new loan reporting for the entire balance? What type of effect will this have on my fico score?
Thanks!!

When you consolidate they usually seperate sub and unsub.
That can result in your consol loan being reported as 2 loans (with 2 balances that shoudl add up to the whole amount of the consol).

Regular payments will help your credit rating.

I have two loans not in repayment because I am still in school and they are affecting my score!!

For negative factors, it says, "The proportion of loan balances to loan amounts being reported on your installment accounts is too high." This is on TransUnion. Should I dispute this?

I'm 19 and have 2 credit cards which I PIF every month. One I've had for 16 months and the other 6 months. I have a 707. I'm unsatisfied.