I joined this program about 2 years ago to rehab a defaulted student loan. It was my understanding that if I made my payments for a year, That the negative entries on my credit report would be removed. After completing this time, I contacted the service center and ask when would this happen, They said that the original creditor has to do it. I contacted Citibank - who flat out refused, The Service center for Student loans said they could not force them to remove the item. But they clearly state this is what will happen: http://www.ed.gov/offices/OPE/DCS/consolidation/rehab.html Please advise Steve1040
RE: Has anyone used William D I am too tired to type too much in response and it brings back alot of bad memories that make me mad, but I kept coming back to you post and felt bad that nobody took the time to respond. So I'll just say this: don't bother fighting it, you won't win. The Dept of Education does a sorry job of informing the public about their various programs available, including the rehabilitation program. They leave it to the quasi-governmental guaranty agencies to explain it to you (which they never do because it only costs them money - while saving YOU money). It is to late, since you already have the Direct Loan, to get the line items deleted. You will have to wait the 7 year clock. I had a similar problem with USA Funds when I was trying to get my direct loan. These agencies are so damn corrupt and greedy it's ridiculous - but it's all right because it's all in the name of "education".
RE: Has anyone used William D If you consolidated your loans before you rehabilitated them, the default notation can remain on your record. If you rehabilitate (12 consecutive payments) first, the negative should be removed. Then you can consolidate and apply for lower interest and extended repayment. Sadly, none of this is made very clear, whoever you talk to on the phone may not know what they're doing, and it's hard to get a straight answer (like any government program). But Congress made the rehab program law and if you have been making payments according to the program, the negatives must be removed. Contact your congressional representative to help you. Mine's been helpful. I've heard other people say they've had the same problem and it may be something congress should be made aware of.
Student Loans are a VAST RIGHT Rehabilitation occurs when you make 12 consecutive payments of an amount that would pay off the loans in 10 years (the standard repayment period) and BEFORE you consolidate them. Get this, I paid for 11 months an amount that was "reasonable and affordable" as per US Dept of Ed guidelines. Only in the 11 month when I contacted the guaranty agency was it explained that I would not qualify for rehabilitation because the amount I had been sending them was theoretically not enough to pay off the loan in the standard 10 year period. I had previously made reference in writing and on the telephone that I was anticipating getting the negative lines removed and yet no one along the way - not until the 11 month - explained my situation. The US Post Office is BY LAW supposed to run a balanced budget and make NO PROFIT. That means we pay only the ACTUAL COSTS of operting the postal service. However, the student loan industry led by such vultures as USA Group - whose executives make massive and obscene "bonuses" - have MILLIONS in profits sitting in the bank. These guaranty agencies are chartered by the federal government and pay NO TAXES. They are fronts for the big banks who make a NO RISK investments in your educatoin and actually make MORE MONEY if you default. The reason that college tuition has out paceed inflation is because bursars and financial aid officers of universities team up with the greedy banks to lobby congress to allow students to borrow more and more thousands of dollars so ambitious college presidents and boards of trustees can fatten their endowments, salaries, and fringe benefits. The student loan industry is one massive fraud on the middle class, expropriating so much of the wealth of the WORKING middle class to fatten the pockets of the RICH BANKS. THIS IS THE VAST RIGHT WING CONSPIRACY THAT HILARY NEEDS TO BE TALKING ABOUT!
RE: Student Loans are a VAST R First of all you need to pay every cent you borrowed,If you fail yes they will come after you. Did you read the fine print before you sign the contract.
RE: Student Loans are a VAST R With all these cretins using my pseudonym I am going to have to start calling myself Bobby since he has stopped using his own name. There is an excellent book at www.nolo.com on that topic "Student Loans" that would help greatly. Regards, C.R.
RE: Student Loans are a VAST R This is _new_ fine print, added by law a couple of years ago to help borrowers get out of default. I think Jen has some interesting thoughts on this. I was amazed recently to find the amount of my student debt had nearly doubled in five years due to interest and "collection costs." No one has called or written me in five years, yet those collection costs amount to almost 25% of what I owe. The federal contract for collection efforts must be the Nirvana of bill collectors since those efforts require no communication or action of any kind.
RE: Student Loans are a VAST R Jen wrote: ------------------------------- .........THIS IS THE VAST RIGHT WING CONSPIRACY THAT HILARY NEEDS TO BE TALKING ABOUT! -------------------- Student loans are a vast RIGHT wing conspiracy? Yeah! Sure. What planet are you from? And why stop there, what about that whole welfare boondoggle! Damn those conservatives!
RE: Student Loans are a VAST R You are SO right. Most of the non profits are a total fraud. From the Farm Bureau to the Scientologists, there's the rich tax exempt "non" profits, and there's working suckers, paying taxes. Christine Baker
RE: Student Loans are a VAST R Michael...I guess I made a mistake in taking you seriously. Anyone who has had to finance their education knows exactly what Jen is talking about. It sounds like you've been listening to Rush Limbaugh or Ollie North's radio shows too much.Try being a little kinder to folks who have serious questions...and not resort to calling them Marxists or rediculing them.
RE: Student Loans are a VAST R Kathie wrote: ------------------------------- "...Anyone who has had to finance their education..." "Anyone" who has had to finance their education includes me. "...knows exactly what Jen is talking about...." What Jen is talking about is the hateful and preposterous notion that "right wingers" are responsible for a student loan program "ripoff". So, "anyone" who has used student loans "knows" this? Your assertion is just as absurd as hers. " It sounds like you've been listening to Rush Limbaugh or Ollie North's radio shows too much." You seem to regard that as an indictment. Let me tell you what I regard as an indictment. The notion that conservative people are involved in a conspiracy to steal from students and their families. That is just hate speech. You and Jen are in good company though. Jew haters do prattle on about the "Jewish cabal", and conservarive haters about the "vast right wing conspiracy". "Try being a little kinder to folks who have serious questions..." What question prompted the bigotry? It was unescassary, uncalled for, and completely off topic. "....and not resort to calling them Marxists or rediculing them." Not ridicule bigotry? Oh that's a good one!
RE: Student Loans are a VAST R Michael, you really need to grow up â?? or at least get some. This is a message board, not a dissertation with footnotes board. I know much more about the student loan business than you do and can reason more clearly about what I know since the loans I assumed financed an education at one of our nation's elite colleges (i.e. It is among the top 25 national universities in US News). Republicans, not Democrats, made a mess of the student loan business. Please, don't bother responding or disecting my sentences, just go out and get some.
RE: Kathie, beware Kathie I hate to say this but damn Michael is beginning to post like Christine. I mean he disects every phrase, then throws a political argument in there, and then assumes his opinion is the only right one. And all the while forgetting about the subject at hand. Remember my post about medical bills, in my post I asked about my medical bills on my wifes CR, Nothing was said about political views, but it sure turned into one. I agree he either needs to lighten up or as Jen said just get some before he blows a gasket.
RE: Student Loans are a VAST R Kathie wrote: ------------------------------- Is your name Bobby? Lighten up for heaven's sake. Is your name Adolph? See? It really all depends on whose ox is being gored doesn't it? If you use a public bulletin board to slander a group of people , as Jen did, as Yigal did, as the other Kathy did, then you should be publically confronted and held accountable for your words. If I were defending a racial minority, or homosexuals, I dare say you would not insist that I "lighten up", for heavens sake.
RE: Kathie, beware Bob, I didn't bring up politics into your post. Kathie chose to use the forum to advocate her political views, I simply responded. If I responded too vigorously, it is because I think certain ideas should never, ever be left unchallenged. Nevertheless, I will take the hint and say: "nuff said!"
RE: Student Loans are a VAST R Kathie wrote: ------------------------------- Michael...have a nice day Thank you And no hard feelings.
RE: Student Loans are a VAST R Jen wrote: ------------------------------- Michael,....I...can reason more clearly about what I know since the loans I assumed financed an education at one of our nation's elite colleges (i.e. It is among the top 25 national universities in US News).... My, oh my! "one of our nation's elite colleges", top 25 on a magazine list no less. Yes, yes, now it is clear to me-that means that your words are like the received wisdom from God! No sense in debating them. I am sorry, your worship. I did not understand you are the uberwoman, a member of the master race, homo super sapiens. I know I am unworthy, but I would like to set down your wisdom in your own book of scripture: The revealed wisdom of Jen- she went to a better school than you!
RE: Student Loans are a VAST R I will have you know that I attended one of the leading community colleges on the West Coast and expect the awe and respect properly due me.
