Dealing with student defaulted pell grant in collection

[Tvtechtx]

Hello everyone I need some help here

 

I have 3 collections account with conserve collection company due to college pell grant i had.

one for 2700$

one for 300

and last one for 285

 

back in 2010 i registered to go to school at a college, and was granted pell grant.

but i never attended any classes,I drop all my classes after the school distributed the grant and didnt return the money back to the school.

now it's send to collection with conserve, I was thinking about sending them a PFD letters but some of the people in this forums said they probably won't do that.

i already contacted the financial aid department at the school and they said they cant pull the loans back from collection i have to deal with them.

 

 

what do you guy suggest i do from here?

do you think i should just pay in full to conserve or should i make a offer to pay them a settlement amount?

i have the fulls amount owed to them in cash now to pay them off.

 

i am trying to rebuild my credit and now it's showing 3 collections from college and i want find a way to just get it off my back.

 

Also does anyone know the statue of limitation in Texas for pell grant?

 

thanks you so much

[Tvtechtx]

Also the original oc is listed lone star college

 

Does that means I owe the school the money or is pell grant a federal thing which doesn't have a sol date?

[LynnInMN]

Pell is a federal money. When the grant money was pulled back, you were left with a balance owing to the school. School has placed it with conserve. You now have to deal with the collection agency. It is highly unlikely the school with respond to a pay for delete....there is no benefit for them. The school you attended it is public so there is NO SOL and they can submit this for tax offset. See if they will settle off on some on the collection costs, pay it and get on with your life.

[Tvtechtx]

Thanks Lynn for your response

 

So you're saying its best for me to contact the CA and settle the amount and see if they will take off some of the collection fee?

 

Should I send them a DV first?

[Tvtechtx]

Thanks Lynn for your response

 

So you're saying its best for me to contact the CA and settle the amount and see if they will take off some of the collection fee?

 

Should I send them a DV first?

[Tvtechtx]

Do you have any suggestion on how to deal with the collection agency?

 

Should I DV? Then get an agreement on paper then send them the check and that's all?

 

Also do you think it's best for me to call the collection agency and talk to them or just do everything by letter?

 

I have the full amount to pay them off and move on with my life I just don't want to mess it up

Edited May 19, 2013 by Tvtechtx

[LynnInMN]

Really since the school has told you the account is with conserve, there is no point to a DV. The school still owns the account and can and will quickly send a copy of your student account.

Call and see if they will settle...if so have them fax you a settlement agreement.

[Tvtechtx]

 

 

I also have couple more question

Should I settle or pay in full or does it make a difference?

If I settle with the CA they put on my credit report as settled and not paid in full right?

Is there a difference between paid in full and settled when it show on my credit report?

 

I can pay the full amount off if its better for them to post on my credit report pay in full.

 

Once again Thanks so much for the reply Lynn

Edited May 20, 2013 by Tvtechtx

[Tvtechtx]

Bump

[hodap2001]

It always looks better on your credit report to pay it in full - if you have the money, then pay it in full, before further damage to your credit report.

[LynnInMN]

Default is as low as you can get...settling or paying in full will not make any difference to a credit score.