When a Sallie Mae student loan defaults, will they sue? Or, do they just keep trying to collect? Will they turn it over to a collection agency? If so, will the collection agency sue? If they do sue, how long does the loan need to be in default before they do? And, can you still rehab the loan after you have been sued, but before judgement? Thanks
I do not know about sueing but they will turn it over to a collection agency and the CA will add 25% to your bill automatically. It really really sucks because if you cannot pay your loans I am not sure how they think adding another 25% will help.
they don't have to sue... they can garnish you without a court order... i suggest you contact them immediately. You can get forbearance (retroactive to date of delinquency) rather easy or may qualify for deferment. I found them easy to work with if you initiate the contact.
Quick question: is USA group now Sallie Mae? I have student loans that defaulted under the name USA group and would like to do something about it. -Sal
They could also turn them over to the Guarantor who can then come after you. If this is a federally guaranteed loan that's been charged-off, I'd look into rehab.
You should sue Sallie Mae Sallie Mae uses gorilla tactics to collect. It would not surprise me if they do sue. The call family, friends and neighbors. I recently saw a web page that told how to sue them for FDCPA violaitons. suesalliemae.com
They will definately garnish your wages. I had this same situation a few years ago and fortunately I had a great boss who got on the phone with them himself and guaranteed that we would keep the payments up to snuff.... Never been late to them again ever!!
