Hello, I have an interesting situation. When I was in graduate school, the school failed to notify my undergraduate school of my enrollment. Thus, Penn State was expecting me to be paying on the loan. When I didnt pay, I was sent into collections. Now, I have contacted Penn State and they recognize the error in their actions and that the problem was not my fault. However, they said that they are unable to change the credit report because they are an educational institution. They provided me with a letter stating the collection was in error, but that is all they can do. As I am sure you all know, having a collection on your credit report does not exactly invite prime invitations. Is there anything I can do to get this collection off of my report. Is Penn State wrong? Any assistance from the veterans would be greation appreciated. Mike G.
RE: Removing a student loan co You must contact the original student loan lender of you undergraduate loans if you havenot already. That would be Sallie Mae, Citibank, Keycorp/bank etc. Not the collection or guarantor agency. They are just the middleman. The dept of ed will require that you try to rectify the matter with the original lender before they will intervene. After explaining your situation to the original lender and they do not help, contact the department of ed ombudsmans office. Send a certified letter stating your complaint and reasons and proofs. If these were FFEL loans ie stafford, you can not go into default while in school fulltime if you indeed filed for deferment. At the Ombudsman's website they explain how loans that go into default in error can be corrected. http://osfaombudsman.ed.gov. At this site you can make a online complaint. Someone will call you in 2-3 days. Then a caseworker will be assigned to you. Please be advised that the dept of ed can not and will not MAKE any lender correct your credit. They work as a mediator. Unfortuantely this is the best that we have. You can contact a lawyer if you like, but you should feel this is one out on your own first to see if this matter can be fixed. ONE MORE POINT: when dealing with the original lender, only work and speak with supervisors. You can also call the dep of ed at 877 557-2575. Good Luck!
Hello again, I did turn my deferment papers into my graduate school for verification. They never sent those forms on to Penn State, my undergraduate school. I have a letter from Penn State stating the error, but again, they said they are unable to change the credit report. The loan was through Penn State, they were the lender. They simply say that they unable to change the report because they are an educational institution. So now I always have to start any credit questions with lenders (trying to buy house) by stating that their is a collection on my report which is in error. Please any other advice. Thanks to those who have responded. Just concerned if calling the Dept. of Ed is overkill, but you do whatcha gotta. Mike G.
RE: Removing a student loan co I dont think you got my point. The ombudsman's office is established to help borrowers and students in matters which are not settled through your own attempts. If you have a letter stating that the errors is not yours, then you are in good shape. Being frustrated isnot going to help your situtation. Many, Many, Many have been where you are. Give the ombudsman's office a few days to correct the mistake. Penn State is right they cannot correct the error. Some lender FOR Penn State probably is the original holder of the loan. That's if it is not a perkins. That is a bunch of crap that it cannot be corrected from your report. What kind of loan was it perkins or FFEL?
Sorry I responded. I didnot notice your last post was attention Kristi. I will not bother you again with any of my advise. I had just been there and done that with my own loans and thought that I could help. I'll go to bed now. PEACE!
RE: Sorry I responded. Sorry Roni, I only stated that because she and Barry had not responded yet. I assumed you had given me all the information you had, which was excellent. The truth is your reponse required work from me and I just wanted a simple answer. Thanks again
