i am new to the board. iread all the info about you guys in SMARTMONEY it was great i was so amazed i ended up talking to psychdoc personally anyway i have a creditor who is hounding me ( you've heard this one before right?!!) i have asked for validation and only received a faxed copy of my signature on a Fed student loan No amounts nothing else i received a call from the CA an hour ago stating that they had given validation and they were proceeding to wage garnishment even though i said i was disputing the debt i can give more details PLEASE HELP!
Read my post on the new federal regulations regarding administrative wage garnishment. "new info re: student loan garnishment" From what I can gather from reading the new regs, they can't garnish your wages without notifying you first about it. And you have a right to a hearing. I'm sorry I can't give you an answer re: proper validation of a student loan. Others may have more info.
CA an hour ago stating that they had given validation kcwell IGNORE HIM HE lied proceed with next step Estoppel after 30 days . The END ************************* LB 59 PS you alerdy hane him on 1 violation he triet to collect without validating.
I'm sorry I can't give you an answer re: proper validation of a student loan. Others may have more info. yssimom Click on the blue validation link below.
school loan help ASAP!!!! wit me being a greenie i am completely lost i recieved another call today @ work from the CA(DCS Collections) telling me they were going to proceed forward with the wage garnishment because they dont see any reason why i would dispute the loan i asked why they still haven't sent proper validation and she responded by saying they did by sending the copy of my signature on the supposed loan nothing else i dont even know what loan it is or the amount or when or anything what can i do PLEASE HELP
Re: school loan help ASAP!!!! Do they have a judgment against you? Did you read the Validation link below? Quit talking to them on the phone> They are just stirring up your confusion.
school loan help ASAP!!!! no they do not have a judgement against me and i apologize that i dont know i should at this point i just do not know what to do! if i refuse to talk to them on the phone what happens then
school loan help ASAP!!!! no they do not have a judgement against me and i apologize that i dont know i should at this point i just do not know what to do! if i refuse to talk to them on the phone what happens then
Re: school loan help ASAP!!!! First rule of dealing with a CA.Every thing by us mail- stay off the phone.
Re: school loan help ASAP!!!! If it's a guaranteed student loan, you need to ask them for loan validation (your signature on loan papers) and a full accounting of the loan (validation of the balance). They will be able to provide both (because both are kept by the US Dept of Education and/or the original creditor). Remember, student loans can carry up to a 25% collection fee in addition to the capital and interest. IF you owe on a student loan, its going to be almost impossible to avoid it. The statute of limitations never expires and it cannot be discharged by bankruptcy. They can garnish your wages, seize your tax refunds and the DOE routinely obtains judgments now - Congress mandated the DOE to be more aggressive in collecting on defaulted student loans. Good luck.
Re: school loan help ASAP!!!! thanks for the reply this whole situation is affecting me can they garnish my wages before they send me proper validation how do i respond when they disagree or say they dont have to what is my recourse should i try to settle after i have seen all the documents that itemize all charges do i ask for the original student loan papers what if they dont furnish them if i settle do i ask them to wipe out negative marks on my bureau HELP PLEASE p.s. if i am asking to many stupid questions tell me what i should be doing instead thanks kcwell
Re: school loan help ASAP!!!! kcwell, I know it all seems a little scary how they can do whatever they want to you, but this can all be stopped. First I highly suggest you contact the loan servicer (they are listed on your credit report as a "defaulted student loan") When you talk to them, tell them you only want to REHAB the loan, you do not want to refinance or reinstate it by making three payments - REHAB will restore your credit. They will want you to give them your personal debt/income information to work out the payment structure. THIS PART IS VERY IMPORTANT, make sure you state EVERY expense you can posibly come up with so that it shows you with almost no disposable income left over after payments. Doing it this way you can get the payments down to a manageable amount (they have to lower the payments to an amount you can afford) They will then start sending you statements in the mail and you MUST submit the payments accordingly for 12 months (do not miss the payment date or you will void the rehab) At the end of 12 months you should get a letter from them stating the loans are now formally rehabbed and handed back to a real lendor. As soon as you see the derrogatory information removed from your reports, you can then get it refinanced at a very low rate and for 20 years or so, and your payments will be very low. Good luck, Sal
Re: school loan help ASAP!!!! thanks for the reply this whole situation is affecting me can they garnish my wages before they send me proper validation kcwell ============ Have they sued you for the money yet? The END** *** **LB 59
Re: school loan help ASAP!!!! 1*Congress mandated the DOE to be more aggressive in collecting on defaulted student loans. Good luck. 2*They can garnish your wages, seize your tax refunds BAlZebub ********************* 1*Does this mandate override The FCBA and other consumer, business and contract laws? Does this mandate cover CAs or just the OC? 2*Can they do this without filing suit? The END** * ** **LB 59
Re: school loan help ASAP!!!! Definitely consider loan rehab. I've done it and it worked like a charm for me. And as mentioned previously, the government WILL get their money one way or another. It's unavoidable. Look into any rehab options you may have. This site may also be of some help to you: FSA Ombudsman Someone referred it to me (I think Psychdoc) and it's got some great info. And hang in there...I was VERY scared when my loans went into default but it all worked out in the end as I'm totally rehabilitated and have a clean student loan report on my credit. If I can do it, anyone can.
Re: school loan help ASAP!!!! I would contact the ombudsman at the Dept of Education as soon as you can (www.ed.gov) - Connie will work as a liason between you and the CA and try to settle this to your benefit if at all possible. lbrown - No, they cannot act outside the boundaries of the FDCPA or any other law. However, what is proper validation? They can claim they validated the debt by providing him with the original loan document he signed (proves he owns the debt). If he didnt ask for an accounting of the debt and where all the charges came from, they can just say they didnt think that is what he asked for. Yes, they can garnish his wages and seize his refunds without court and without a judgement (thanks to Congress). Federal financial aid law covers it all - all they have to do is notify you (not sure of the time frame) in advance that they are going to, then they send a letter to your employer and take a very high percentage of your net pay. For tax refund seizures, they notify the IRS and its done (they must notify them before November to seize the next refund) and it remains in effect until the lender notifies the IRS to cancel it (when you are out of default thru rehab or the loan is paid off). When you default on the student loan, the guarantor pays the debt to the original creditor and owns the loan. The government is the guarantor on federal student loans. The debt is then assigned to be collected (ie: if you default on a student loan with Sallie Mae, the loan is collected by USA Funds or EDSI - all one in the same). The CA does whatever the OC tells them and its usually spelled out in writing - after so many days, seize refunds; after an additional period, garnishment; etc. They can tell you the time periods. If you are at the point of garnishment, seriously consider rehab. You have to make 12 'reasonable' monthly payments - you and they must agree on what is reasonable. Usually they dont care - after 12 payments they can have the loan guaranteed again and sell it. If a lender has too many loans in default, the government will not guarantee their loans. It is always easier to PREVENT garnishment than to get out of it after they start it (they dont like stopping a sure way of getting paid). If you make payments by allowing them to make monthly debits to your checking account, they reduce your interest rate by ½ of a percent and sometimes you can avoid their additional collection costs. I believe Leno made a joke about finding Osama bin Laden one time: If you really want to find him, let the student loan collection people find him - they can track down anyone, any where. Just tell them he owes on a student loan and he has money to pay it.
Re: school loan help ASAP!!!! To answer your 'settlement' question - they will not delete/remove anything from your credit files unless you go thru rehab (unless the information they sent was incorrect) - even if you offer payment in full. If you go thru rehab - they delete the defaulted status. If you try to tell them (or the DOE) that they are violating the FCRA in some manner, they usually provide you with a number to the FTC to file a complaint. If you are dealing with Sallie Mae or the US Dept of Ed, they seem to have the 'system' down and work within the law (very few mistakes and they dont bend).
Re: school loan help ASAP!!!! They can claim they validated the debt by providing him with the original loan document he signed (proves he owes the debt) BAlZebub ======================= How does it prove that? According to the FDCPA just the orig. Doc contract, etc., alone does not constitute proper validation. THE END ** *** ** LB 59
