My husband had a Perkins loan that was originally for around $800. The fact that it existed completely skipped both of our minds (especially since we weren't getting any documentation or calls on the loan). Then in December 2006 a collection agency said we now owe $1554.78. They said we have until the end of January to pay it in full or they "will take the next necessary steps" (which they won't tell me what these steps might be. I told them we could pay them off in 3 months ($500/month). They said they won't except a payment plan. We don't qualify for any personal loans or the like. I've heard that if we pay them some of the money that they can't take action against him/us. I've heard other people say this doesn't apply to federal loans. I know this money is our responsibility and we messed up. I'm just trying to figure out what we might be able to do or what might happen if we don't pay the full amount by the end of this month.
THANK YOU FOR ANY HELP!!!
2007-01-23 08:40:29 · 6 answers · asked by Julie 3 in Education & Reference ➔ Financial Aid
Bless your hearts! That's no fun! :)
I work in a financial aid office and can tell you....the BEST thing to do...
CONTACT your SCHOOL IMMEDIATELY!
Perkins loans are paid back to your school...not a lender...so call the billing office or the financial aid office to clear this up!!
Explain that you forgot about it and that you got no documentation about it. Just be honest!!
Just like a credit card collection situation...the credit card company (in your case, the loan lender) prefers to work WITH YOU! They will work out payments that you can handle. The collection guy was telling you that payments will not work because he doesn't get a commission probably unless it's all paid right away!
GET ON THE PHONE FAST!!!
Good luck and I have my fingers crossed for you!! :)
2007-01-23 08:57:43 · answer #1 · answered by Anonymous · 1⤊ 0⤋
To dispute any federal student loan issue, you'll probably get the best results from the FSA Ombudsman's office, which is sort of like the Department of Education's version of the Better Business Bureau. You can contact them at:
U.S. Department of Education
FSA Ombudsman
830 First Street, NE
Fourth Floor
Washington, DC 20202-5144
Phone: 1-877-557-2575
Fax: 202-275-0549
Online: http://www.ombudsman.ed.gov/about/contactus.html
Hope this helps!
Christopher S. Penn
Producer, the Financial Aid Podcast
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http://www.FinancialAidPodcast.com
FinancialAidPodcast [at] gmail [dot] com
2007-01-23 13:38:14 · answer #2 · answered by Anonymous · 0⤊ 0⤋
That just doesn't sound right that they wont take payments.I would look on the Internet about dept collections and see what you can find out.It says here down below in the link that they could take "payments" out of your pay checkif you defualt and that link is from the Perkins web site..so they can take payments.Read it.Last paragraph
2007-01-23 08:50:32 · answer #3 · answered by Anonymous · 0⤊ 0⤋
the subsequent step(s) could desire to be something from yet another telephone call, a lawsuit, circulate to a diverse collector. they gained't inform you likely because of the fact they do no longer even understand. Paying them below the entire quantity won't save them from pursuing regardless of "action" they experience is appropriate. There are a number of issues you're able to do. First, be sure you get the finished call and handle for the sequence business enterprise. next, write them a letter and insist that they provide you with information which you (your husband) owes the money. it may desire to take them a on a similar time as to come again up with the information. in the event that they do arise with a freelance, or regardless of, furnish them 50 or 60 % of the stability as a compromise. Compromises can effect your credit, yet once you haven't any longer have been given each and all of the money, that's a sturdy thank you to fulfill a debt. in case you artwork it remarkable, you're able to desire to aviod paying something for no less than a number of months. interior the intervening time, save your money. sturdy luck!
2016-11-26 21:43:26 · answer #4 · answered by dashrath 4 · 0⤊ 0⤋
Here is the Consolidation Program at the Department of Education. It will link you to the student loans program.
Hopefully you will find the information you need.
http://loanconsolidation.ed.gov/borrower/borrower.shtml
I would suggest calling the Department of Education directly and speaking to a loan specialist, and make sure of your precise legal rights.
2007-01-23 08:51:48 · answer #5 · answered by parrotjohn2001 7 · 0⤊ 0⤋
The Master Promissory Note from the original loan will fully explain your rights and responsibilities.
2007-01-24 01:41:55 · answer #6 · answered by Anonymous · 0⤊ 0⤋