Credit Advice

Have a question? Have advice to share? The combined knowledge and experience of everyone in the Credit Karma community can help you. Enter your question or help others below to get started!

Question

Posted in Student Loans
Profile Image

Question By
StudentLoanClosed

0 Contributions
0 People Helped
$8000 in studen loans - Accounts marked "Closed" - Tax Refund Garnished - what do I do?
Hello,

I am trying to repair my credit and have done a pretty good job as of so far. Got my Credit score raised by about 70 points. The only thing holding me back are my 2 Student Loans through Nelnet. I have two accounts with them, both floating around $4,000 each.

However, both of these accounts, have been transferred numerous times and are now marked "Closed". The history shows "CO" for the last 3 years or so.

When I filed my for my tax refund, both the Fed and the State garnished my refunds.

I've been told a lot of conflicting stuff. I've been told to ignore them since the accounts are closed and it will not affect my score in about 3 years. However, I'm also in a position where I could begin paying them off. If i st art paying them off, will they garnish my wages too?? I don't want that.

What do I do here?

(The reason I never paid the student loans was because the school lied to me about the program was I enrolling in. I only attended 6 classes in a month and then stopped going. I didn't pay out of young and dumb "Principle")

Your Credit Scores Should Be Free. And Now They Are.

View your scores and reports anytime.

SIGN UP NOW
All Responses

Result 1-1 of 1Results per page: 5 | 10 | 25Page 1 of 1   Previous | Next
Top Contributor
7370 Contributions
3810 People Helped

Whoever told you the student loan accounts won't affect your credit and will vanish in a few years was full of it!!  Student loans are one of the financial instruments that is due and payable until paid in full, no matter how long it takes.  They cannot be discharged in bankruptcy, either.  The garnishment of your tax refunds was due to your not paying the loans.  I suggest contactinig your loan servicer and work out repayment agreements now that you can get them paid.  Your wages likely won't be garnished unless you don't keep your end of the agreement. 

Result 1-1 of 1Results per page: 5 | 10 | 25Page 1 of 1   Previous | Next

Your Credit Scores Should Be Free. And Now They Are.

View your scores and reports anytime.

SIGN UP NOW

Reply to this Question

Write your response:
Enter Your Comments

The Credit Advice pages of the Site may contain messages submitted by users over whom Credit Karma has no control. Credit Karma cannot guarantee the accuracy, integrity or quality of any such messages. Some users may post messages that are misleading, untrue or offensive. You must bear all risk associated with your use of the Credit Advice pages and should not rely on messages in making (or refraining from making) any specific financial or other decisions.