Credit Dispute- Score dropped 300 pts overnight

[Angela Meraklis-Lyons]

I've always been extremely diligent about my credit. Nearly everything is on autopay.

Last year, I had my student loans deferred because I had to stop working due to disability. Technically, I did that over the phone in October of 2016. Since I check my credit score regularly, I discovered in March of 2017 that my student loans, that I thought were in deferment, were past due. That deferment only lasted 3 months!

I immediately contacted the loan company, but they said there was nothing that could be done about it. I had consistently made payments every month for years, but stopped my autopay when I thought I know longer needed to pay.

My credit score went from mid 700's to the 400's overnight!! I have about 14 student loans (never consolidated because many had great interest rates) and all of them were reported as being in default.

As you can imagine, I have no idea how to finance a deal without seller financing. How long will it take to build my credit back up? I'm up to low 600's now, but how do I speed the process up?

[Max T.]

Sometimes the loan company will write a letter on your behalf to the credit agencies explaining the error and that can help clean up your record.