If any one can help me with this dilemma, it would be greatly appreciated. I am currently disputing w/ all 3 CRA about 4 student loan accts showing xfr/sold status w/ Sallie Mae, (they were sold to ECMC). I was able to rehabilitate them w/in 12 mos w/ ECMC. I have since (as of 4/01) consolidated these loans thru Direct Loans (gov't). These four accounts are showing on my CR by ECMC as "Paid Collection". Is there a way I can have these tradelines changed to "Paid As Agreed"? I guess what I am asking, should I send a goodwill letter to the ECMC asking them to change the tradeline, or should I just leave well enough alone? I want all 8 acccts (4 orig. w/ SMAE, then 4 w/ ECMC) reported as positive accts. Any advice?
Why are you diputing with Sallie Mae? Are they reporting any negative info or Just "Transfered/Sold"? As for the other, ECMC, I thought that once they were rehabbed, the accounts were updated to reflect a better status. You may want to call ECMC to see what they say about how they are supposed to be listed. Sometimes these student loan places take forever to update their info with the CRAs (some of them will never update unless you notice it and call them on it). ps. who is ECMC anyway? Are they a branch of Sallie Mae?
I have the same problem too although I have not consolidated yet. Aman collection agency called on behalf of usa funds. I asked if I consolidate what happens to the 9 negative entries now and they said it would be a paid collection. I said a paid collection is as bad as an unpaid collection and she denied it. I asked her why usa funds keeps reaging the accounts and she said it reages when they sell it to another CA. HUH? I told her I do credit forums and this was not true and she said instead of doing these forums I should get a job and pay off the loans. hahaha. Never mind I stay at home and watch my 2 very young boys. Pretty much she was saying we wish to screw you so stop coming here so we can do it much easier.
Firstly, ECMC is Educational Credit Management Corp., they are a firm that consolidate loans and act as a collection agency. I am disputing w/ the CRA that Sallie Mae can no longer validate this debt b/c it was sold to ECMC, where it was rehabbed. SMAE accts are showing CHARGEOFFS, therefore I want the 4 accts w/ SMAE removed from my credit. Prove it or remove it. Picantel, once you consolidate, the bal. are paid to the CA or OC, whomever is reporting. The negative tradelines WILL BE REMOVED. I spoke w/ the rep @ ECMC and she told me to dispute w/ the CRA, and the CRA would contact them and that ECMC would verify that the loans were rehabbed and the status should say "PAID IN FULL". So, I guess I found my answer. I rehabbed in 04/01.
If the loans were truly rehabilitated, you should have received a letter staing that your loans were "reinstated" with _______ new servicer and out of default. In this letter, there should have been acknowledgement that said loans would be deleted or ALL negative info on the loan would be deleted. It should not read "paid collection". It should either be completely gone or read "paid in full" with NO negatives.
Unfortunately, if you consolidate while still undergoing rehab or while still in default, the negatives are not normally removed from your credit. Only by going through complete rehab are they supposed to remove the negs from your credit. fla-tan
UPDATE: But First, to answer the replies: FLATAN: I consolidated the loans after I completely rehabbed. I just talked to the rep that handled my rehabilitation and she agreed to forward me a letter stating that I rehabbed the loans, it will state PAID AS AGREED on my CR, and all negative tradelines should be removed. Thanks ALL!
