Ok, I was attending college last January and I had to drop out mid-way due to health problems. A few months ago my college sent me a letter saying since I dropped down to under full-time hours they sent my student loan back to the lender (who I have already contacted and worked out a plan with) BUT my college is saying I owe them the difference of $1,191. I went into the hospital before I could respond and set up a payment plan. So, fast-forward to this week I receive a letter that my college has assigned my debt to General Revenue Corp.
My thing is this, I worked out a plan last night to pay on this debt and have 0 desire to deal with the CA. They have not showed up on my report (neither has my college) but I was wondering;
Would it be a good idea to contact my college, explain myself and my payment plan and ask them to pull me from GRC?
Anyone ever done that before.
Also, the company that is collecting seems to be a big collector of student loans, this is not a student loan though. It is (I guess) an education account. If I had to deal with them I didn't want them to try to scare me with "This is a government loan, We can freeze your bank accounts" talk like I have seen some student loan CAs have.
I have all my student loans on deferment with Nelnet and they have never been late to date.
What should I do?
Full Version: Help with university account
QUOTE(Jennersbean @ Mar 26 2008, 01:36 PM) 
Ok, I was attending college last January and I had to drop out mid-way due to health problems. A few months ago my college sent me a letter saying since I dropped down to under full-time hours they sent my student loan back to the lender (who I have already contacted and worked out a plan with) BUT my college is saying I owe them the difference of $1,191.
This is standard procedure with student loans. They are required to return any funds you are not entitled to. You no longer owe that portion as a student loan....it is now a tuition account.
I went into the hospital before I could respond and set up a payment plan. So, fast-forward to this week I receive a letter that my college has assigned my debt to General Revenue Corp.
My thing is this, I worked out a plan last night to pay on this debt and have 0 desire to deal with the CA. They have not showed up on my report (neither has my college) but I was wondering;
Would it be a good idea to contact my college, explain myself and my payment plan and ask them to pull me from GRC?
Your school is under contract with GRC.....so the answer is no.
Anyone ever done that before.
Also, the company that is collecting seems to be a big collector of student loans, this is not a student loan though. It is (I guess) an education account. If I had to deal with them I didn't want them to try to scare me with "This is a government loan, We can freeze your bank accounts" talk like I have seen some student loan CAs have.
I have all my student loans on deferment with Nelnet and they have never been late to date.
What should I do?
This is standard procedure with student loans. They are required to return any funds you are not entitled to. You no longer owe that portion as a student loan....it is now a tuition account.
I went into the hospital before I could respond and set up a payment plan. So, fast-forward to this week I receive a letter that my college has assigned my debt to General Revenue Corp.
My thing is this, I worked out a plan last night to pay on this debt and have 0 desire to deal with the CA. They have not showed up on my report (neither has my college) but I was wondering;
Would it be a good idea to contact my college, explain myself and my payment plan and ask them to pull me from GRC?
Your school is under contract with GRC.....so the answer is no.
Anyone ever done that before.
Also, the company that is collecting seems to be a big collector of student loans, this is not a student loan though. It is (I guess) an education account. If I had to deal with them I didn't want them to try to scare me with "This is a government loan, We can freeze your bank accounts" talk like I have seen some student loan CAs have.
I have all my student loans on deferment with Nelnet and they have never been late to date.
What should I do?
If this was a public school, it is deemed state debt. They can report as can the CA. They could sue you...it does happen. But for now your transcripts are frozen.
Ok, I know anyone that you owe a debt can sue you, but it is my understanding that government loans (IE student loans) do not have to have a court order to garnish wages. This is a tuition account, so it is not a government loan, that makes me feel 1% better.
It was a public university, so I guess it would be deemed a state debt, but they would still have to serve me and everything if I am correct.
Ok, well deep breath, what would be a good first contact with GRC?
I do not wish to talk over the phone. I want this done through the mail I read someone online that dealt with them that sais they communicated via the internet and you could set up you account and pay online that way.
I can start paying in mid-April so should I even start communication now or closer to Mid-April. I am really worried they will "force" me to do huge monthly payments that I cannot afford at the moment.
It was a public university, so I guess it would be deemed a state debt, but they would still have to serve me and everything if I am correct.
Ok, well deep breath, what would be a good first contact with GRC?
I do not wish to talk over the phone. I want this done through the mail I read someone online that dealt with them that sais they communicated via the internet and you could set up you account and pay online that way.
I can start paying in mid-April so should I even start communication now or closer to Mid-April. I am really worried they will "force" me to do huge monthly payments that I cannot afford at the moment.
Is it possible for you to get a letter from a doctor stating you had health issues that caused you to withdraw?
Some colleges will not expect you to pay them the tuition if you had a medical reason for withdrawing.
Some colleges will not expect you to pay them the tuition if you had a medical reason for withdrawing.
QUOTE(Jennersbean @ Mar 26 2008, 02:08 PM)
Ok, I know anyone that you owe a debt can sue you, but it is my understanding that government loans (IE student loans) do not have to have a court order to garnish wages. This is a tuition account, so it is not a government loan, that makes me feel 1% better.
It was a public university, so I guess it would be deemed a state debt, but they would still have to serve me and everything if I am correct.
State debts will seize your state income tax return.
Ok, well deep breath, what would be a good first contact with GRC?
I do not wish to talk over the phone. I want this done through the mail I read someone online that dealt with them that sais they communicated via the internet and you could set up you account and pay online that way.
Not for these types of account...you need to call. Due to the legality of the fact that tuition is due the semester you attended, they wont put a payment agreement in writing.
I can start paying in mid-April so should I even start communication now or closer to Mid-April. I am really worried they will "force" me to do huge monthly payments that I cannot afford at the moment.
It was a public university, so I guess it would be deemed a state debt, but they would still have to serve me and everything if I am correct.
State debts will seize your state income tax return.
Ok, well deep breath, what would be a good first contact with GRC?
I do not wish to talk over the phone. I want this done through the mail I read someone online that dealt with them that sais they communicated via the internet and you could set up you account and pay online that way.
Not for these types of account...you need to call. Due to the legality of the fact that tuition is due the semester you attended, they wont put a payment agreement in writing.
I can start paying in mid-April so should I even start communication now or closer to Mid-April. I am really worried they will "force" me to do huge monthly payments that I cannot afford at the moment.
Ok, I just talked to a family friend that specializes in debt relief and he told me that I can do everything through the mail if I prefer. That yes it is a state debt, but for the amount and the fact that I figured out I can pay the full amount off in May, I do not have to call and talk to anyone. He told me I have a legal right to ask for anything and everything in writing. I am not asking for a payment plan from them, I was just wanting to send them a check with my payment schedule.
The debt is not that old and not that much so he said not to freak out about it.
I prefer not to talk to debt collectors over the phone anymore due to the fact I tried to reason with a debt collector recently and was lied to, threatened and when I talked to the FTC and a lawyer I was told not to talk to any debt collectors over the phone anymore, so I am taking their advice.
Also, the debt place sent me a statement outlining the full amount and that I have 0% interest rate on the account. It was stating I do not owe any late fee's. I found a statement from my school and sure enough, they have not added any late fee's or collections fee's or interest. It is asking for the exact amount. I am happy I have found a way to pay this off in the next full months and thanks for the advice.
Curious question though, do CAs settle on tuition accounts. I could pay them more then half in the next 2 weeks if they wanted to settle it for full instead of holding out for the full amount.
The debt is not that old and not that much so he said not to freak out about it.
I prefer not to talk to debt collectors over the phone anymore due to the fact I tried to reason with a debt collector recently and was lied to, threatened and when I talked to the FTC and a lawyer I was told not to talk to any debt collectors over the phone anymore, so I am taking their advice.
Also, the debt place sent me a statement outlining the full amount and that I have 0% interest rate on the account. It was stating I do not owe any late fee's. I found a statement from my school and sure enough, they have not added any late fee's or collections fee's or interest. It is asking for the exact amount. I am happy I have found a way to pay this off in the next full months and thanks for the advice.
Curious question though, do CAs settle on tuition accounts. I could pay them more then half in the next 2 weeks if they wanted to settle it for full instead of holding out for the full amount.
QUOTE(Jennersbean @ Mar 27 2008, 10:04 AM)
Ok, I just talked to a family friend that specializes in debt relief and he told me that I can do everything through the mail if I prefer. That yes it is a state debt, but for the amount and the fact that I figured out I can pay the full amount off in May, I do not have to call and talk to anyone. He told me I have a legal right to ask for anything and everything in writing. I am not asking for a payment plan from them, I was just wanting to send them a check with my payment schedule.
The debt is not that old and not that much so he said not to freak out about it.
I prefer not to talk to debt collectors over the phone anymore due to the fact I tried to reason with a debt collector recently and was lied to, threatened and when I talked to the FTC and a lawyer I was told not to talk to any debt collectors over the phone anymore, so I am taking their advice.
Also, the debt place sent me a statement outlining the full amount and that I have 0% interest rate on the account. It was stating I do not owe any late fee's. I found a statement from my school and sure enough, they have not added any late fee's or collections fee's or interest. It is asking for the exact amount. I am happy I have found a way to pay this off in the next full months and thanks for the advice.
Curious question though, do CAs settle on tuition accounts. I could pay them more then half in the next 2 weeks if they wanted to settle it for full instead of holding out for the full amount.
The debt is not that old and not that much so he said not to freak out about it.
I prefer not to talk to debt collectors over the phone anymore due to the fact I tried to reason with a debt collector recently and was lied to, threatened and when I talked to the FTC and a lawyer I was told not to talk to any debt collectors over the phone anymore, so I am taking their advice.
Also, the debt place sent me a statement outlining the full amount and that I have 0% interest rate on the account. It was stating I do not owe any late fee's. I found a statement from my school and sure enough, they have not added any late fee's or collections fee's or interest. It is asking for the exact amount. I am happy I have found a way to pay this off in the next full months and thanks for the advice.
Curious question though, do CAs settle on tuition accounts. I could pay them more then half in the next 2 weeks if they wanted to settle it for full instead of holding out for the full amount.
Nope, no settlements on tuition accounts.
The university I work for will take a settlement of 75% of the balance owed, but you still wouldn't be able to receive any student records/transcripts or reattend school here.
Does the school know that you withdrew for Medical Reasons? At our university, Medical Leaves of Absences adjustments on accts are more forgiving of the tuition than regular LOA.
Good luck
Does the school know that you withdrew for Medical Reasons? At our university, Medical Leaves of Absences adjustments on accts are more forgiving of the tuition than regular LOA.
Good luck
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