Dispute Gone Bad

[cek]

Hello all. I'm new to the forum so thank you for having me first of all. I ran into a problem and hope someone has some good advice as to what my next steps should be. I recently disputed a student loan delinquency and it came back in favor for the creditor. I was told that the account I missed payments on would be brought back to date and the interest added to the principal and all would be fine, with no report, so I figured I would challenge them and maybe they would remove it. They were 5 accounts from the same lender and showed on my report as 5 loans with a 120 day delinquency. Now after the dispute was filed it came back and they hit me with 2 delinquencies for each account so I now have 10 delinquencies for one loan all from the same time period. It decimated my score! Is there anything I can do? This doesn't seem right to get me twice for the same account across 5 accounts. Sorry for the long first post! Thank you in advance to anyone out there with a response and thanks for having me everyone!

[cv91915]

You might also consider asking in the Student Loan forum.

 

http://creditboards.com/forums/index.php?showforum=19

[shifter]

student loans often don't report all the LPs as a courtesy.

 

but when you dispute and poke the bear, they add them all in.

[Gallardo]

Student loans are a different animal. The general credit card rules don't apply. They are owned by the government and they stick with you until you die. I think you're talking about good will letters when it comes removing lates. You should write a good will letter to the CEO/executive of the student loan's lender. Remember, you're asking them for a huge favor so be as heart-felt as possible. Good will letters are hit and miss though.

Edited February 23, 2014 by Gallardo

[cek]

 

 

Hello everyone and thank you all for the replies! This board is great and all the people here are very knowledgeable and helpful! I feel I will be spending many hours here reading and rebuilding my credit. After exploring a little further down the list I found the student loan subject under finances. After some reading I found a post of someone in a similar position that was trying to remove delinquencies. I then found the following tidbit.....

 

 

'pennysaved', on 30 Nov 2012 - 4:00 PM, said:

Updating and correcting previous information that was report includes removing default history after a borrower successfully completes the rehabilitation as required by Sec. 464(h) of the HEA, as well as correcting a reported delinquency to reflect the application of a backdated deferment and forbearance that converted the original period of delinquency into a period where no payment was due (Sec. 463( c )(4)(A) of the HEA states that an institution "shall disclose promptly to such credit bureau organization any changes to the information previously disclosed".

 

Does this seem like a good argument for my case? Who should I present it to and how? Should I write a letter of goodwill or just talk to an account manager? Sorry for the long post and excess questions everybody. Thank you in advance for any help!

 

PS If a mod wants to move this to SL section thats cool too. Sorry for posting in here, I'll try to be more careful next time!

[LynnInMN]

No...you don't have any arguement if you didnt rehab your loans. This is how student loans report...each default gets 2 negative tradelines...and as long as they are reporting accurately, they are not going anywhere Writing to CEO's will not help. Only time.

[cek]

Would a income based repayment of 0 a month(very low income this last year!) still be considered as a payment towards a loan rehab and does the rehab have to be made immediately after the default or can it be made down the road? Thanks again for any answers!

[ProcessServer]

There's no such thing as "goodwill" on student loans. I know, I've tried like many others; it is what it is.

[hodap2001]

Rehabilitation is strictly for those who defaulted on their federal student loans. Have you defaulted on your account? Are you under administrative wage garnishment, tax offset, bank levy, or judgement?

[cek]

Hey thanks for the replies. I went into 120 day mark with lates but I don't know if it ever fully defaulted . When I called them and explained what happened they said they would backdate a forbearance for the late period and nothing would happen. Imagine my surprise when I recently looked at my report and saw that I had 5 late payments because of it. So I disputed it because they told me there wouldn't be anything on my record. Imagine my surprise again when I looked at the dispute results and they doubled the lates on each account for that occurrence! Thanks again for all the feedback and help everybody!

[hodap2001]

Okay... So your not defaulted just late payments...yup, nothing can be done. You're stuck with the late reporting on your credit profile.

[tmcgill]

Just verifying: Is the information for all the accounts 100% accurate?

[eulises12]

I also have a couple student loans with late payments, Those late payments are gonna kill me in rebuilding my credit :/

so is it safe to say that no one has had any luck in removing this late fees from government issued student loans?

[ultra2207]

I also have a couple student loans with late payments, Those late payments are gonna kill me in rebuilding my credit :/

I have MANY lates on student loans and it didn't stop me from climbing well into the 700's and getting approved for a conventional mortgage. Obviously they factor less with time.

 

 

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[cek]

There are a few people that say they have gotten lates removed either via ombudsman or writing in to ls with examples of hea statute. I currently have submitted I letter requesting my lates be removed with references to the hea. I will let you know what the response is when I get one. In the meantime head over to the Student Loans section and look for a 90-120 late post for more info!