Contacted Edfund today

[howard23]

I finally got the courage to contact Edfund today. After they asked me lots of questions gave me a payment of $450 per month for 9 months so that I can get rehab.

 

Should I have asked where this $450 will apply?

Are there any questions I should be asking them?

My balance with them, as they say is $34k.

 

Thank you all for helping with your valuable experience and opinions.

[howard23]

I have to call them back tomorrow and give my checking account number, they say it is a federal program and they can not do the payments without the checking account. I offered to send payment via money order, but they did not accept that.

Would there be a problem if I gave them the account number over the phone?

They said they will send me the paper work that I have to sign and they will start the payments from the 1st Feb.

 

Thanks

[LynnInMN]

I have to call them back tomorrow and give my checking account number, they say it is a federal program and they can not do the payments without the checking account. I offered to send payment via money order, but they did not accept that.

Would there be a problem if I gave them the account number over the phone?

They said they will send me the paper work that I have to sign and they will start the payments from the 1st Feb.

 

Thanks

 

Your payment will be applied to collection costs, interest and principal, in that order.

 

You are fine doing autodrafts with Edfund.....they are a semi state agency.

[howard23]

LynnInMN,

 

Thanks for the reply.

 

Does Edfund provide a statement on how much is in interest and can I negotiate to bring down the fees?

 

Thanks

[LynnInMN]

LynnInMN,

 

Thanks for the reply.

 

Does Edfund provide a statement on how much is in interest and can I negotiate to bring down the fees?

 

Thanks

 

I really dont know if Edfund does monthly billing or statement...you would need to talk to them.

 

The only way to get fees waived is to do a settlement up front. Otherwise nothing will be waived for rehab.

[ebddr93]

The federal laws that governs Student Loan Rehabilitation do not require the payments be made in any specific form. Nor does it require your to sign any paperwork upfront, although it is a good idea to get the payment plan/schedule in writing.

Read the papers carefully before signing. The collection agency may mislead you as to your rights and responsibilities under federal laws(HERA of 2005 and HEA of 95/98). Or they may be trying to collect additional personal information on you.[/size]

Do not be bullied!!!

Federal loan rehabilitation is your right. Your responsibility is to pay the agreed upon amount within 20 days of the due date.

(It is customary to resign a promissary note after you have made your 9 payments and the loan is sold back to the lender to complete the rehab processs. )

 

 

Good Luck.

[LynnInMN]

The federal laws that governs Student Loan Rehabilitation do not require the payments be made in any specific form. Nor does it require your to sign any paperwork upfront, although it is a good idea to get the payment plan/schedule in writing.

 

You wont get a payment plan in writing from Edfund. Since the balance is due in full due to the default, putting payment plan in writing would contradict the original prom note, which they will not do.

Read the papers carefully before signing. The collection agency (This loan is being handled by Edfund, a guarantor, not a CA) may mislead you as to your rights and responsibilities under federal laws(HERA of 2005 and HEA of 95/98). Or they may be trying to collect additional personal information on you.[/size]

 

Bull. Any CA for a federal loan only collect whatever information that the DOE/state agency requires. CA's are not permitted to send anything that has not been approved by the guarantey agency.

 

Do not be bullied!!!

Federal loan rehabilitation is your right. Your responsibility is to pay the agreed upon amount within 20 days of the due date.

(It is customary to resign a promissary note after you have made your 9 payments and the loan is sold back to the lender to complete the rehab processs. )

 

 

Good Luck.