how long do defaulted student.

Discussion in 'Credit Talk' started by question, Mar 25, 2001.

  1. question

    question Guest

    loans stay on your credit report? I went to a trade school that was big on price and little on actually teaching. I actually knew more than some of the instructors. I have no intentions of repaying this loan as I never finished school since it was a waste of time. I made some phone calls to various agencys to tell them what was going on but got blown off,so if they are not worried neither am I. I know the govt can take your tax refund,so I adjusted my dependants claimed so I break even or have to pay a small amount in when tax time rolls around.
    I just went into default, how long will this stay on my report?
  2. roni

    roni Well-Known Member

    7 years after they are paid.

    Sometimes the dept of ed will forgive studentloans for a trade school that was incompetent as you describe. These instutitions are usually closed down. I think the school must be closed to have the loan forgiven. Have you investigated that option.

    If you cant get it forgiven the loan will default and remain on your report, FOREVER.

    They will start garnishing your paychecks and tax refunds eventually but not usually right away.

    You might consider repaying the loan via loan rehabilitation which would clean up your credit in 12 months.

  3. roni

    roni Well-Known Member

    Re: 7 yrs from default if paid

    correction. I worded that incorrectly. It will stay on 7 years from default, if you paid the loan. If you dont pay it will just sit there indefinitely. It is also usually reported multiple times by whoever purchases it. In the case of student loans consumers have little way out besides consolidation or rehabilitaion. The govt wants that money back. Bill Clinton cracked the whip while in office due to the high rate of student loan default.

  4. rob

    rob Guest


    Psyc-O-Roni......I guess you are the expert on student loans since you don't pay defaulted...but you continue to give out advice..what a joke.

  5. carl

    carl Guest


    and the loans continue to add interest and collection fees (up to 40% of the loan, each time a different creditor buys the loan.
  6. Irish Diva

    Irish Diva Guest

    Rob, you are a twit . . .

    she's repaying them and going through rehab just like I'm doing. Sometimes I'd rather take advice from someone who's been in the same situation rather than someone who hasn't. Get a life and get off the board. You're a total bore.

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