<prompt> Human: I paid my school debts last year after making no payments for about a year. The loan was in danger of going to collections when I paid the several thousand dollars in full at once, and then reported as successfully paid and closed when I checked again later.Today I checked my credit report and apparently the school assigned my loan to a collections agency months before I paid it in full, and now I owe twice as much to the collections agency as I did to the original loaner, even though I had already paid them the full amount.However, there was no mention to me of the account going into collections. No phonecall, no email, no letter... nothing, and my addressnumber have not changed. The loan was in danger of going to collections when I paid it in full, but everything appeared A-OK when I checked again weeks later.I have absolutely no record of any kind of notification; it only appears on my credit report. The collections agencys website doesnt seem very legit to me, but I doubt collections agencies care much about their public image. Although, if you google search their name or phone number, there are many results that call it a fraudscam company...So I did an online dispute with Experian under No Knowledge of Debt. That can take a month... so now Im really unsure what I should do if the dispute does not go in my favor.Any kind of input would be great; not really sure who to ask in person short of a financial advisor, but I dont want to spend another dime on that loan if possible. I want to resolve it ASAP to help my wounded credit-score and avoid any legal trouble or big financial problems over a loan that I had already paid.xpost  <response>: Have you contacted the original loan holder directly? There is the very real possibility that they didnt inform the collection agency that the loan was paid in full. Collection agencies usually work for the loan servicer...so my first order of business would be to call them and ask they why a loan you paid off to them is in collection. Make sure you have all you paperwork to back up your claim.If the loan collector is legit, and you have your evidence in tow, you should be fine. 