Is it possible to build up my credit score while my student loans are in default? I am enrolled in the rehabilitation process for nine months at which point they will no longer be in default. I plan to use a secured credit card after the process is complete. Other then increasing income and saving as much as possible, Is there anything I can do during these nine months to be more proactive in terms of credit?
Sadly not much. However, once you're out of rehabilitation and on a payment plan, the default is removed from your credit report.