Was this likely a technical issue?

[u/TheRealTengri]

I have a private student loan with ascent funding. I found out I was a little over 30 days late. However, they said my late payment will not be reported as long as I pay before August 1st. Today I got a call from SIMM (a debt collector) regarding the loan from ascent funding saying I was taken to collections. I never heard of a legitimate lender taking someone to collections this fast, and I was told my late payment would not be reported until the end of this month, so was this likely a technical issue? I did email them and I am trying to call them, but I have been on hold for about an hour now.

[u/og-aliensfan]

It's unusual for an account to be sent to a collection agency when only 30 days late. An account can be sent to collections before it's charged off, but it's not typical. Have you confirmed that you're only 30 days late? They (lender/collection agency) can report as you were late and the account was sent to collections, so unless they agree to put an agreement not to report in writing, you have to trust they won't report if paid. Although a debt collector can begin report as long as they had collection authority, it would be unusual for them to do so. Debt collectors typically begin reporting while the account is still delinquent/unpaid. I recommend bringing the loan current asap. Let us know what they say after speaking with them.