I just paid off my student loan. The next day I get an e-mail saying I've been reported. What do I do?

Forum|Forum|6 years ago
December 11, 2019
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Turbo sent me an e-mail today saying I've been reported to a collections agency by the Department of Education. I missed a couple of payments since I moved and haven't been getting the bills in the mail. I paid off the entire debt in full two days ago. I just called Great Lakes and they have confirmed this.

What do I do?

MonicaM

@Gts1990

If your student loan was in default PRIOR to you paying it off, the Department of Education may have reported that default and subsequent collection attempt to the credit bureaus which is why you would have received the letter from Turbo informing you of the default/collections status. Agencies report to credit bureaus typically once a month a most, so the letter was likely sent before you paid off your loan. If you have confirmed that your account is in fact paid in full, you should see that update in Turbo within 30-60 days, depending on when it gets reported.

Gts1990Author

Should I worry about anything?

MonicaM

If you have confirmed that the loan is paid in full, make sure you keep your receipt or bank record for verification. Have you received a collections letter from a collections agency? You could contact them to confirm they have been notified that you paid your loan in full. If you have not received a letter, and you have confirmed with the Dept. of Education that the loan is paid, and you have a record of the funds being deducted from your bank account or credit card, then you should be in good standing.