I have been cleaning my credit as I prepare to purchase a home. The only derogatory/ delinquent entry is a SL. Is is an entry made by Chela. On TU it reports 120 day late, and on EX it reports CO. The loan was defaulted and rehabilitated. There is only a very small balance remaining <$500.

I would like to try to get Chela to remove this entry, but not sure if there is any chance since I now pay to Sallie Mae. Does anyone have any ideas?

Sounds like you defaulted then rehabbed or consolidated. Either way, Chela as a lender/servicer is entitled to report for 7 years from the claim paid or default date.

I understand they are entitled to report it for 7 years. I also read many stories of companies that remove entries. After reading the FAQ section, I see it may not be possible for SL lenders to delete their entries.

Have you ever seen a company delete their entry?

In rare cases, yes.