Student Loan - How does it impact credit

Yes, making payments will help start building a good payment history, and therefore a better credit score. The question is can you truly afford to start makng payments, and be able to continue?

But, be aware that the current status of "deferred" is not hurting you (credit wise), so it comes down to personal finances and your ability to make these payments timely.

Are you saying you have no "credit score"? You should have one, even with a thin credit file. Just use what you have wisely, and the score will come.

 

Watch keeping it up. My wife let hers get behind after she graduated, and they listed it, no kidding, 34 times on her credit report. They broke the loan down in to ~$1k chunks, and listed EVERY SINGLE ONE of them delinquent separately. many listed two or three times. The total debtload shows $98k for a $40k loan.

Just found that one out, and am looking at figuring out how to clean that mess up. It's her only bad debt, but her score is (truecredit) 420 because of it.

 

Sounds like it's time to dispute some tradelines.

 

On it. I spent a good 30 minutes flabbergasted at what I was seeing. Now I get to dispute them all, as not a single entry is accurate. eventually, I expect, they will put the one accurate entry in there.

And by the voodoo math of FICO, dropping the total delinquent by half, the rating will drop 3.2 points.

 

My student loans were listed individually on my credit reports up until the time that I consolidated them. Even now, TU is still reporting them individually (gotta fix that!). I guess technically, it's on the up and up, since each semesters' loan was taken individually.

 

That ain't a good thing, but I can see how they could do that.

Time to open one of those "consolidate your student loan!!!111!!!!" mail she receives 30 of a day.