Consumer complaint received 2025-05-15 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Incorrect information on your report — Account information incorrect
Company: Nelnet, Inc.
State: MI

Complaint narrative:
I am requesting that Nelnet revise their credit reporting to reflect three total missed payments, not 24, as I only missed three consolidated monthly payments not 24 individual loan payments.

Nelnets reporting of 3 missed payments across each of the XXXX loans ( XXXX total ) is misleading and materially damaging. While this XXXX be technically accurate from an internal accounting perspective, courts have held that even technically accurate information can violate the Fair Credit Reporting Act ( FCRA ) if it is misleading in a way that could adversely affect credit decisions ( see XXXX XXXX XXXX & XXXX, XXXX, XXXX XXXX XXXX, XXXX ( XXXX XXXX. XXXX ) ). 

My credit score dropped from nearly XXXX to XXXX a loss of nearly XXXX points which clearly affects my creditworthiness and future lending decisions. A fair resolution would be for Nelnet to report only the XXXX actual missed payments that occurred on my consolidated billing schedule, in line with FCRA requirements for data to be not just accurate, but fair and non-misleading. 

I make XXXX consolidated monthly student loan payment through Nelnet, even though the account technically includes XXXX underlying loans. Earlier this year, I missed XXXX of those monthly payments. 

Nelnet has reported this as XXXX missed payments on each of the 8 loans, totaling 24 derogatory entries on my credit report. While they argue this is accurate based on loan structure, the Fair Credit Reporting Act ( 15 U.S.C. 1681s-2 ) requires furnishers to ensure the information they report is not only accurate but also not misleading.

The courts have affirmed this interpretation : A credit entry may be inaccurate within the meaning of the FCRA if it is misleading in such a way and to such an extent that it can be expected to have an adverse effect. ( see XXXXXXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX. That is exactly what has happened in my case. 

Because of the reporting method used, my XXXX XXXX dropped nearly XXXX XXXX, which directly impacts my access to housing, loans, and credit cards. This reporting grossly exaggerates my delinquency and misrepresents my behavior as a borrower. 

As of XX/XX/XXXX, Nelnet placed my account into deferment, and it is now current. However, these XXXX derogatory marks remain and are not only unfair they are arguably noncompliant with the intent and spirit of the FCRA. I am asking for the reports to be revised to reflect XXXX missed payments total, consistent with how I am actually billed and what truly occurred. 

If this issue is not resolved appropriately, I am prepared to explore all available legal remedies. This includes the possibility of pursuing a claim under the Fair Credit Reporting Act for negligent or willful furnishing of misleading credit information. The courts have already ruled that technically accurate but misleading reporting can constitute a violation of the FCRA when it adversely affects a consumers credit standing as it clearly has in my case. If necessary, I will seek legal counsel to pursue damages and compel the correction of this unfair reporting.

Company response to consumer: Closed with explanation