Debt Collecter did not ID themself?

Question

I got a call about my student loans, which were managed by my parents; lon g story short, they moved and payments were not made on one of them because the address was not updated. This loan has been delinquent for atleast three years. Our states statute is 4 years, and they gave me a call. The person who called me did not identify herself as a collection agent. SHe told me that she was calling about my student loan and gave me a government website for me to verify the loan. She made it seem like she worked for the loan company. Because of this I made a payment arrangement for her. It was not until I was sent a letter to verify that the first monthly payment would be deducted from my account on the date that I realized that DCS was a collection agency. She also misrepresented the loan ammount, on the phone saying that it was $1597 more than the documentation that I was sent (this documentation did not arrive until after the first payment was made).

This collection account is not showing up on my credit report. Only the old charged off Student loan account does. If i were to stop paying them does this re open the statute, or am I still within those rights. Does the fact that she mis represented herself and the amount offer me any leverage when dealing with them? I'm newly married and unemplyed because i am expecting. It really is not money that we can affored. My credit is otherwise excellent, as is my husbands. What would happen if i were to stop paying them the monthly payments that i set up?

Answer 1

Depending on the amount involved, it may be necessary to hire an attorney to get this resolved. There are lawyers that charge a fee or percentage only if the case is won. I do think that you may have a case based on misrepresentation and possible theft based on the fine print of any paperwork you signed.

Otherwise, you are stuck because by re-establishing any contact with the original creditor or the collection agency regarding your past due account, the statute of limitations resets. The time limit can vary by state. If these were federal student loans and not loans from a private school loan agency like sally mae, the govt. could have and may still garnish any future tax refund under your SS #. If you got married while still attending school/borrowing, now your husband is also equally responsible for your debts unless you both signed a prenupual agreement. Everything is considered shared when you are married.

Although the original loan is charged off, this collection agency who allegedly bought the loan from your student loan lender is now collecting on it. If you stop making payments as agreed, this account with the collection agency may put a negative item on your report lasting 7 years. The only money you may not have to pay back is any fees not clearly stated in the agreement paperwork.

Answer 2

I'm going to guess that the extra $1597 is partially interest and collection fees. You are right in that the caller SHOULD have identified who she was more clearly and directly, however forwarding addresses is the responsibility of the borrower. I would spend a little money and see an accountant in regard to this matter. I would be willing to suspect that since the debt is in your name and your parents, it would not be viewed as community property and negatively impact your husband's credit rating. Again, this is MY OPINION and you would do well to find an expert. Good luck and I feel your pain, paying student loans myself to the tune of $800/month for the rest of my life!! (or at least it feels that way!!)

Answer 3

Okay, the statute of limitations that bars collection of this kind of loan runs from when you made the last payment. I can't tell if you actually MADE a payment, or merely agreed to do so.

As far as leverage with a debt collector of any kind, forget that idea. They're going to call you anyway, until you use the words "stop harassing me", and then they'll run it past their lawyers and either sue you or write it off.

Answer 4

You didn't ask a question..what do you want to know?