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Support Senator Elizabeth Warren in her quest to correct this issue.
Ron and Alexandra Seigel
write a letter to the credit agency to dispute the issue.
Stevens Point, WI
La Pointe, WI
If it is a credit bureau issue, contact the credit bureau.
La Pointe, WI
Credit scoring is very complex. Paying off a loan doesn't automatically give a huge bump in scores.
How long ago did they pay off the student loans? I know it takes a short time, maybe a few weeks for credit reports to change. I can't see student loans affecting credit scores that bad unless they were delinquent. Yes, student loans are a debt, but I don't believe they are BAD debt like credit cards. It will affect their debt to income ratio and will affect their total loan amount. Sounds like, if their credit is so low to get a loan, that something else is probably affecting it. Their lender should be able to guide them to services to help repair their credit score.
Stuff happens. Dispute. Show proof. Rinse. Repeat.
Send a letter with proof of payment to the credit agency and ask them to delete it or add the explanation to the account.
They need to deal with the credit reporting agency. It has to be fixed or the client may be dead in the water
Dispute it with the creditor and/or the bureau.
Jack Lewitz Send proof of pay off to the credit bureau.
proof of payment to the credit bureau.... they will correct errors....
I leave that up to the mortgage loan officer, it is not my field of expertise.
I heard that 25% (!!!) or credit reports have significant mistakes affecting our abilities to borrow money.
Some of my lenders, would recommend to attach a letter explaining the situation and a proof in your case that a loan was paid off.
Notifying the credit agency would be a good start.
It seems everyone has given a great answer, and a thank you Joe Pryor for letting us know that Elizabeth Warren is trying to correct this issue. A
Get a credit repair pro. I made the mistake paying off my NDEA first two years after school. I found out I was expamted to pay it back because of my profession.
If the lender isn't working on correcthing this...Contact the credit agency that is in error, there are rules governing their reporting. It's a pain, but jump over the first person that answers the phone and speak to a manager.
That is a lender question. We have many GREAT lenders here in the AR community ... and they have all written lots of blog posts about this. Mr. Google at your service?
When dealing with forces that employ the golden rule i.e. I have the gold and I rule...it is tough to navigate but doable if one finds that passageway.
Can they request a correction and provide appropriate documentation? Does the lender have any ideas?
Credit reporting bureaus do a lousy job. Not enough oversight.
interesting question - parked and reading!