If your account is delinquent, it means you are in arrears. After your first ineligible date, your credit will become delinquent. Your credit status is reported monthly to the Consumer Financial Protection Agency, so even one default can have long-term consequences.
After 270 days past due, your credit will become delinquent. Defaulted loans can lead to the following negative results : A credit rating downgrade due to persistent negative credit reports Paying off wages to start paying off the loan Tax refunds. Ineligible for federal and state financial aid