I made payment arrangements with Department of Education to pay on a default student loan. She told me if I make 6 timely payments on my default loan, the info will drop off my credit report. How much of a score increase will I get once they remove it from the credit bureau? I%26#039;m trying to buy a house.
How high will my credit score increase if I get out of default student loan?
Difficult to say without looking at the rest of your report. Also, how long has this student loan been on your report?
When a negative item first appears, it has a very large effect. After 4 years the impact is not as bad, and your credit begins to improve. After 6 years it only has a small impact....but again depending on the rest of your credit history.
If this is a recent negative on your report, it should have a fairly large impact. Just make sure that they actually take it off your credit report.....NOT show it as paid. That does nothing to help your report because the fact it was in collections will still show up.
How high will my credit score increase if I get out of default student loan?
Getting Sallie Mae off your back is important, if you defaulted, it will effect your score for longer then six months, unless they send withdraw the default condition based on your payments. Communicate with them after month 7 or 8 and ask if they can correct the report..
How high will my credit score increase if I get out of default student loan?
To erase one item does not reflect in an absoulte nubmer that will increase your credit score, however, in conjunction with others, it will help.
See the link below for better information.
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