Tehy are from AZ, and it's about how they now have been assigned a student loan debt (very large amt). They also claim they can collect fees, charges,earned int eh process to collect debt of 25% of principal. Although they are out of AZ, they say to mail payments to US Dept of Ed Payment Center in TX. Concluded with "This is an attempt to collect a debt..." JDB? What can anyone tell me about this company, or advise on how to handle? Not on CR (yet). PS: They also say how they can validate upon request within 30 days. PSS: This is something that should probably be taken care of anyway, but through the OC (student loan) and that will have this CA go away, but other info on this company is appreciated. And other suggestions on how to handle. This is a very large amt - a scary amount, seems too much to be able to handle now.
suzie, you probably have this info, http://www.progressivefinancial.com/ it sounds like they are legit "mail payments to US Dept of Ed Payment Center in TX" have you done a search via the governments website to see if they have your debt? if you are proactive and get into a rehabilitation plan now, they will rehab your loan and it will become a pos tradeline with no neg. i speak from personal experience on this one. same scenario, not on my report, got a call from pioneer credit something or other, did a search on credit net.....government.....no SOL when you have a student loan....i was SOL (the other kind), had to deal with it. you don't want to mess with the us government, they always get you eventually. maybe next week, maybe in 10 years, but that interest and penalties keep adding up. actually, if you are having a hard time financially now, it might be a good idea to get into a payment plan now, and the payments will be low. they work with your current income. normally i would say stay away from a ca, but if these people have your debt, and they are legit, it could be a ticking time bomb. i know it is not the answer you want to hear, but i had to post my experience. good luck
Should I respond to this CA, or just go straight to OC (which I think might be best, but not sure if I can if a CA has it now. Thanks for the info.
you can try to go straight to the oc, as you should always, and see what happens. otherwise, i think this is the one case where it is ok to deal with a collection agency. i would just make sure that the loan is rehabbed. the government (unlike most charged off debt), has realized that they can get more bees with honey than vinegar. they realize that if they offer to rehab the loan, they can get their money back. it's a pos for you and a pos for them. i would definitely make sure to get everything in writing.
If you end up suing them, you should know they are incorporated in PA, not AZ. Immediately tell them in writing that you dispute the debt, that it is inconvenient to speak to them on the telephone at any time, and that your employer does not allow you to receive personal calls. Keep a copy of the letter, and send it Certified Mail Return Receipt Requested. When they start harassing you at work, get a lawyer and nail them. As soon as they violate the law, file complaints with your state attorney general, the Department of Education, and the FTC. In hindsight, you should have settled with the DoE before they added a 25% collection fee to your balance and turned it over to PFS. Your goal now should be to get it out of collections and reach an agreement with DoE before they start garnishing your paychecks. (or, if you can clear the "undue hardship" hurdle, you might be able to discharge the debt in bankruptcy)
