Can a Stafford school government loan affect your credit report?

I am currently using my GI Bill education benefits and I got a Stafford government loan as well. My question is this: does a Stafford government loan, which requires no credit check, go on your credit report and affect it positively or negatively?

Can a Stafford school government loan affect your credit report?
It shows up on your credit report as outstanding credit, meaning its something that you owe money on. as to whether or not its a positive or negative, I think its pretty neutral until you start paying it back, as far as your credit score goes. BUT, when your credit is being evaluated for something, chances are whoever is checking it is also looking at your debt to income ratio. In this way it can negatively affect your ability to get a loan for something because it increases your total amount of debt.


If you dont pay it back when you're supposed to it will negatively affect your credit report, and if you do pay it back like you're supposed to, it will be a positive. Also, if you don't pay it back the government can garnish it from your wages and withhold your income tax returns until you're caught up.