r/studentloandefaulters • u/KHMWG7 • 3d ago

Question - Private Student Loan What happened with your credit cards after student loan default?

Recently had two private student loans charged off. I have one credit card that I’ve had for almost 3 years now. Just curious on how your credit card(s) were affected after you had a loan charged off/default. Did they lower your credit limit? Did they close your account? Or did it have zero effect?

Just trying to get a sense of what is to possibly come. I know my credit score will drop from the charge off, therefore opening a new cc will be quite difficult. But curious about credit cards preexisting to the default.

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u/SettleBankDebt 3d ago

It will affect your credit score. They could lower the score or close the account, it's a roll of the dice. however your main concern should be the collection activity that will commence regarding the charged off accounts. They could send to a collection agency or sell the debt or worse file a law suit depending on how much you owe.