How to Remove Closed Student Loans from Credit Report

Student loans on your credit report may affect the FICO score negatively. If you are thinking of removing them, it is not always possible. When the information is accurate, you can only wait until it ages off the records. If you have never taken out the student loan in question, or its details are flawed, there are a few things you could do and get full credit report.

Negative Effects on Your Score

The data on your reports from major bureaus — Equifax, TransUnion, and Experian — determines your status in the FICO system. For instance, anything above 800 is exceptional, while anything between 500 and 600 is poor. The total is made up of five elements, where payment history is the most influential one. It determines 35% of the score, so missed payments may cause substantial damage.

If you have paid the student loan in full, but its recorded history includes delinquent payments, these will stay on the records for 7 years. If any of the information is incorrect, credit help companies on will help you make it disappear. They will identify the most damaging errors, collect evidence to disprove them, and communicate with bureaus and lenders to have the entries removed.

Can You Remove Closed Loans From Your Records?

Steer clear of companies promising to delete any items regardless of accuracy. Removing correct information is absolutely impossible. If the details of your loans are in order, there is no way to make them vanish. All you can do is rebuild your history by taking out new loans and paying them back diligently.

Step 1. Gathering Reports

So, how can you delete inaccuracies? The first step is to collect your official records. Now and until April 20, 2022, this may be done every week. Go to and submit your request. Downloading the copies is the quickest way, but you may also call the organization or send a formal letter. Before the pandemic, you could only do it once a year.

Step 2. Analysis

Once the data is collected, scrutinize the records going line by line. Aside from non-existent student loans, there could be other false information that affects the score. When analyzing the records, it is crucial to consider data from all three sources. Every lender may share their records with just one agency, so you need a complete picture.

Unfortunately, inaccuracies are not uncommon, which is why the repair industry is thriving. Very few consumers have the necessary expertise and patience to pull it off themselves. Professionals help them achieve the goal more quickly and efficiently.

Step 3. Gathering Evidence

After finding the mistakes, you need to collect supporting evidence like bank statements. If you are going to dispute late or missed payments, you could also collect emails showing that you made all payments on time.

Step 4. Formal Disputes

Flawed data may vanish from your records in two cases: (a) the lender stops reporting it, or (b) the bureau removes it. It means you may contact the lender or write directly to the data collection agency. No information will be removed unless you prove that it is false.

Any such communication must be written so that you have hard evidence. You could start by contacting the lender to inform them of the mistakes. Submit proof and request the data be removed from the reports. If no response comes in 2-3 weeks, bring in the heavy artillery — write a formal dispute letter to TransUnion or another bureau involved.

Consumers who want to do everything themselves can find templates on the website of The Consumer Financial Protection Bureau. The organization will have 30 days to respond. Now, it is possible to send dispute letters online, but you could choose certified mail to have proof of the exchange.

The bureau will consider your evidence and liaise with the lender to make a decision. If any changes are made to your records, you will receive a free copy of the amended document. Otherwise, the bureau may request additional information, which prolongs the process.

Benefits of Keeping Closed Loans on Records

If you really took out the loan in question, all you can do is remove incorrect details associated with it. The loan itself will stay on your records, but it is not always a bad thing. In fact, it may be good for your score. Here is why.

If the payment history is perfect or mentions only a few old slip-ups, this has a positive effect on your status. The components of the FICO calculation include the length of your history and credit mix: the use of different forms of credit. When the data is positive, it will stay on your records for 10 years — 3 years longer than most negative items.


Disclaimer: This article contains sponsored marketing content. It is intended for promotional purposes and should not be considered as an endorsement or recommendation by our website. Readers are encouraged to conduct their own research and exercise their own judgment before making any decisions based on the information provided in this article.


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