Most Americans now a days have student loans or require student loans to afford their education. Some students have federal student loans while other have private student loans. Federal student loans are issued or granted by the government, while private student loans are issued by banks.
Whichever type of student loan you have they do go on your credit report and will affect your credit scores the exact same way as any other loan would. Making the payments on time on your student loans once payments come into effect is very important because as with any type of loan, the most important factor will be your payment history, remember your payment history accounts for 35% of your entire credit score.
Late payments on your student loans will very likely damage your credit score the same was as if you were late on a car payment, mortgage payment, and credit card payments. Late payments on your student loans can also remain on your credit report for up to 7 years. This will greatly affect your credit if you have more than one student loan as each student loan reports individually on your credit report. For example if you have a total of 7 student loans and you are late on all 7 payments or simply don’t make the payments this will hit your credit score negative 7 times! If 60 days late on all 7 student loans now you are looking at 14 late payments on your credit report which will greatly damage your credit score. If you are more than 120 days late on your student loans they may also go into collection accounts will damage your credit score even more and the entire accounts and amounts of the loans will no go into negative account and add to your bad debt.
Should you find yourself already late on your student loans or already have them in default or in collections we can help you. Student loans may not be the only thing you are struggling with financially, know we can help you with any problems related to your credit and debt.
A Goal without a Plan is just a Wish. Give us a call TODAY at 844-FIX-URCR or click on the following link creditservicesofamerica.com to schedule your FREE consultation and create your personalize plan to achieve your credit and debt GOALS!
*Individual results may vary. Please call for more details and to discuss your own individual situation.