Ok..I am embarrassed to say that I have had a student loan for about 5 years that I just have not been able to pay on because of financial difficulties. Now I am in a position to make at least $50.00 monthly payments on the 4300.00 loan that I owe.
I was contacted by EdFund. They apparently paid off the loan to the company I borrowed from (Sallie Mae/Great Lakes)..and now they (EdFund) are after me hard! I have spoken to two reps there and they are just harsh! They offered three pymt options, all of which require one large chunk of money that I simply cannot come up with. They refuse to accept my offer as it is all I can do. Garnishing my wages 15%-25% will seriously hurt me each month. My credit is not good...so I can't figure where I am going to find a loan to save me! EdFund says they do not have to have a court order and that at this point, there is nothing I can do. They said that I can't even appeal! It's not that I don't want to pay,...because I do want to pay it off and get it over with! But I have a child to support too! I don't know what to do, where to start, or what my options are. Does anyone out there have some advice?

PS-It is EdFund who has been calling me..I have searched this forum for "EdFund" related inquiries. And yes, the people there who make the calls are just flat out rude and have attitudes galore! I can't believe that they are allowed to treat people with such disrespect! I have spoken with a supervisor. She was worse than the rep I spoke with who works under her.
Anyways..I see where people make reference to "CA"..which I am assuming that is short for "collection agency". I can't say that I know of mine going through a "CA". It is EdFund who is calling me..(800-367-1589). What do I do?

First of all, welcome to the SL forum. I hope you enjoy your stay here.

Secondly, do a search here and read all you can about rehab. Yes, you can appeal if they try to garnish your wages, and yes, you can make payments without having to put a large chunk of change down to do so.

I have a meeting to go to, but if you will read that, I will come back later to help you.

Thank you for the "Welcome". I have to contact EdFund back by Apr 24. If I have not come up with anything by then,...they will start the garnish process. I have read up on Rehab of loans..Am still a little confused about how the process works exactly. I wish I could just consolidate all my debts. I have a couple companies calling me on that. I have yet to speak with them. But I don't have a clue as to how long that takes. I need to get this one taken care of asap! Could you provide me with some insight? I have also been reading some posts that..I believe her name is Lynn...has been posting when it comes to EdFund. Any advice or direction would be greatly appreciated.

I called EdFund today about rehabilitating my loan. They said that when they offered me those three payment options, that was the offer to rehabilitate. She said that is what they were trying to do. But again, I have to come up with anywhere between 750.00-2100.00 right now..then pay the rest on payments which range from $50-$170.00 per month. I can't come up with that big chunk of cash..and I can't afford $170.00 per month either. I am lost as to what my options are. I still have till the 24th.

There is NO requirement for a down payment when you rehab your loans. And the payments must be reasonable and affordable to you and them. Considering that you only owe $4300, your payments should not be more than $50.

Is there somewhere that this is written in the law? I spoke with a rep and her supervisor, both of which were not pleasant to speak with at all, and they said I have NO other options. I offered $50 a month. They said No Way.

Well, then, it's time to get the Ombudsman involved.

But first, call back through their switchboard. Ask for the name of every person you talk to, from the operator all the way up the chain. Tell them you want to speak with a qualified supervisor. Then tell THAT person that you have made this offer and it's been turned down, and you're giving them one more chance to work with you before you call the Ombudsman. Be sure you get the name of EVERYONE you talk to.

When you call the Ombudsman, tell them that the CA refused payment (use those exact words) and then give them the chain of events.

EdFund will NOT enjoy the fallout.

Can I wait until they send the garnishment order and then challenge that? Should I put the rehab offer in writting?

No and No.

Do NOT wait for the garnishment order. You will not be able to deny knowledge of their intent to garnish and that will raise eyebrows. Why would you want to wait until the order is issued??

You can not negotiate rehab in writing; you will have to do it over the phone.

Well, I called a number to the Ombudsman. (the Federal Office) They gave me a number to the Ombudsman of EdFund. I have left two messages. One yesterday and one the day before. If I don't hear anything back by Monday, then I guess I am going to call the Federal Office back...

Sometimes it takes a few days for them to get back to you.

I have called the Federal Ombudsman who directed me to the Ombudsman rep who handles Edfund. I have called that office repeatedly only because they never answer nor do they ever call back. I spoke with a gal there once..and she said she will work on getting me $50 monthly payments. She said she'd push for it. That was almost two weeks ago. I have called and called, with no response back. I then called the Federal office back and told them the situation. They opened a case for me. They said if I get a letter from Edfund threatening wage garnishment, ..to call them back immediately (call the Fed Omb.) Well..I had till the 24th to get back to Edfund. I called Edfund that day and told them that I am in touch with the Federal Omb. office. Same heartless supervisor is who I spoke with. No budge. She said she is pushing for wage garnishment at this point. I got the letter in mail yesterday threatening wage garnishment. I called the Fed Omb this morning and let them know. Now I am just waiting to hear back from someone! I called the other Omb office yesterday that I haven't rcvd a callback from..left another message advising that I am in communication with Fed office at this point and advising of the letter I received from Edfund.
So again...just biting my nails and sweating now.