I have a couple SL from many years ago, 12+. Back in 1999 I have a series of surgeries and was not able to continue with my profession that I had been in for a few years because of the effects of the injury and surgeries. In a discussion with a gov Sallie Mae rep in early 2000 about what was going on with me and that I was not able to return to my job and that I also was not able to go into the profession I had been going to school for (I did not have my certificate yet as I was a 3-4 credits short) he had stated he would send me a form to have the loans go away (I forget the term he used) I did get it, did my part, Doc's office filled it out and it was received by SM, I did call SM and was told that.
Years go by now I find out after pulling a credit report last week that these have been active and defaulted. Many of my records of financial and otherwise were destroyed when a portion of our home flooded 4 years ago.

Is there a way of dealing with this? I am at a loss.

Thank you,

MnJ

Are you now permanently disabled??? Why type of program did you take??

In most cases, not being able to benefit from an educational program or actually work in the profession you studied for, is not grounds for any discharge of a loan. A lot of students to not work in the field they studied for.

Sounds like SM probably granted you a medical deferement.

What he spoke of was not a deferment, the loans were going to go away. I do realize that many work in fields different than their education. This was something I was not going to be able to fall back on for employment.

In any event I do recall that the form was received by SM and I was told that any related lenders would be informed and so on. This was 6 years ago!

I had forgotten to answer your first question. No, I am not perm disabled. I had significant issues from a shoulder injury and related surgeries. Outwardly I look fine but have been struggling to get strength, mobility, ect, back. Doc told me that it could take up to ten years of working at to make decent gains toward where I used to be. (Primary arm)

Well you might have done an application for permanent disability discharge. Those take months to process. It is also very difficult to qualify for this type of discharge...the qualfications are tougher than SSDI disability. Did you move in the year after submitting this paperwork?? They would have sent out notifications that you did not qualify or that they needed more information. If you not permanently disabled and are able to work, they will not discharge the loan. How long ago did you default?? You will probably need to contact the quarantor now to find out any answers.

Would it be possible the collection agencies in this matter might settle the separate SL's for a lower amount. I had received a letter from one CA wanting to rehab the SL. I am just thinking maybe, if I can get some money together from outside sources may I could settle these loans. Would they do that?

Thank you for your help.

MnJ

It would be great if I could get some feedback on whether or not I might be able to settle for a lower amount on my SL's given the situation. Background is above.

Thank you

You haven't gotten an answer because no one can predict what a lender will do. I would suggest you call them and find out, but I am reasonably certain that they will not knock any off of what you borrowed.