A University I went to many years ago is holding my transcripts hostage because of a Perkins loan I had with them, I have started the rehabilitation process, but they will not release my transcripts until the 12th payment is made... I think this is unreasonable.. the loan is at about $1,800 right now, I am making $100 payments, so it will be nearly paid off at the end of the 12 months.. they give me no other option other then paying it off now, but then It will not be deleted from my CR, I could maybe dispute it off anyways.. but I would love to do the rehab and get my transcripts at the same time.. anyone have any experience with this?? I thought I have read that after 6 months the loan is no longer under default status.. I dont know, I want to find some 'laws' regarding this and stick it to them. This is holding back my education, I told the guy I would send in 12 payments in 12 days, hehe... nope... payments cannot be early or late!!!
check the hea higher education act and contact the dept of ed. student loan ombudsman, maybe he can help. you have to do search, but both have been posted here before.
I have done some research and it appears that I am at the mercy of the prior school. There are options, but they will not acheive the goal of clearing my credit report. I just sent a letter to the Department Head for the courses I want to enroll in, which currently I am not allowed to , due to Pre-reqs, I will see what he has to say, keeping my fingers crossed.
Just got a response... they are letting me register for the courses... 'we do not think a past financial problem should deter you from furthering your education'... Rushed to register online... I'm In!! This is great, now I can finish the rehab and will not have problems getting the classes I need!!
If I remember correctly, the HEA does NOT say that the payments must be monthly, it just says 12 payments. Just a side note.
Marci, I didn't see you had responded to this thread also, Is what I originally said about the payments true?
Erica - I was always under the impression that it had to be 12 monthly payments. At least that is what I remember from the consolidation/rehab packet I got from the Dept. of Education (i.e. Direct Loans). They told me the point was that they needed to see me take my financial obligations seriously - and that needed to be established over a period of time (hence the 12 months) in order to get the rehabilitation.
Thanks for the help, I will look into this and see if I have some options on accelerating the rehab, I am also going to start disputing this with the CRAs, I bet I can get if off soon.
