<p>Today, after requesting a PLUS Loan, we were unfortunately denied. This is due to a charge off for less than 1$, and my mother is so upset. We contacted the company to which the 1$ was owed, and my mom paid it. Now that she has paid it the company said they could issue us a letter saying that the payment had been made. </p>
<p>My question is, if we submit this letter to our credit service, how long will it take to be, (or will it even be), removed from my mom's credit report? And is there any deadline in being able to qualify apply for a PLUS Loan?</p>
<p>One more question: If we are not able to remove this from her credit history, is there anything else I can do? I know about the Stafford Loan, but that still doesn't cover the total amount I need.</p>
<p>Please, anyone, help. :(</p>
<p>You need to call the school and ask when your mom can reapply. </p>
<p>I’m guessing that it will take at least 30 days for credit services to update their records. </p>
<p>When do your first semester fees have to get paid? If there is a delay with the Plus loan (which can be gotten anytime during the school year), your mom can “buy some time” by signing up for monthly payments while waiting for the Plus loan to get approved.</p>
<p>How much was your mom borrowing?</p>
<p>There are appeal processes with PLUS denial that they explain upon being denied. But do call the school as well as looking at what one can do if denied. It’s a bit early to be applying for plus for the fall term anyways as there is a time limit as to how long the approval stands before the funds are released, and I don’t think they release the funds until August.</p>
<p>As to getting something removed from your credit file, the way it works is if it happened, it stays on there. You can add an explanation and the dunning entry will be removed which will change the rating, but that your mother applled and was denied is a fact and will not be removed.</p>
<p>Hopefully kelsmom can chime in…</p>
<p>This is what I’m thinking, but it may not be right. Since the mom was denied, the student is now eligible for $4k more in student loans (I’m guessing that is $2k per semester).</p>
<p>So, would the student now be awarded $2k more in loans for Fall semester? If so, then if the mom eventually gets this Plus issue fixed, and then gets the Plus loan, what happens with that $2k for Fall? I can see losing the $2k for spring, but will the $2k for fall remain?</p>
<p>If so, the student needs to pursue that right away to at least get that money. </p>
<p>And, in the meantime, the student needs to work as much as possible and save. There may be some delay in Plus funding over this, so with the $2k from denial and some summer money, that may help close the gap until Plus funding comes thru.</p>
<p>i see that you’re going to NYU and was lucky to get $40k in FA…is that all grants (free money) or is that a mix of grants, loans, work-study? That is $40k per year, right? Not $40k total for 4 years, right?</p>
<p>How much do you have in student loans? </p>
<p>How much was your mom going to borrow?</p>
<p>If denied, there is a process. You can appeal the denial. I don’t know how it works, but the process is in place, and this situation, it seems clear that the problem is fixed and was a minor one, so the appeal would be fine. Yes, the student would be eligible for an additional $4k in Staffords, if the denial stays in place and is not over ridden, but it is early yet to be filing MPNs for any of the money, so this should be resolved before that time comes. Many colleges say to hold off applying for PLUS because the time period for the approval will run out before the MPN can be filed and the money released. You have a limited window of time to do this, and the fall 2012 funds have not been made available for release yet. Unless the OP is talking about summer or current term money that s/he needs, it’s too early.</p>
<p>Thank you everyone for your words of wisdom. We called NYU and spoke to a FA counselor. She gave us a phone number to call to appeal the denial. Hopefully, as the way things are looking right now, I am about 95% sure we can receive the loan. That makes me relieved. I am worried about will happen if we get denied again, though. The increase in my student loans still won’t be enough, (as it’s for $25000). If I get denied after the appeal, what would I have to do? Withdraw my enrollment from the school? 
But as for the initial disbursement, how could it be too early? I’m just wondering because my first payment is due August 5th, so of course, I would need the funds before then.</p>
<p>I guess it’s 90 days till disbursement time for NYU. The payment will go directly to NYU and will go directly towards the bills they have on record for tuition, room/board fees. What’s left can take a week to weeks to be disbursed to you.</p>