I am here because my girlfriend is so upset, she doesn't want to deal with it and I hoped I can get some answers for her. I'll include any details I have.
A while back (? years), my girlfriend cosigned a student loan for her brother. It was understood he would pay it back after graduation (isn't it always like that?). I'm not sure how long this has been going on, but my girlfriend is 38 and her brother, I believe, is 33-34. She has had her share of problems, married/divorced/2 kids, an ex-boyfriend who ran her into bankruptcy 3 years ago, etc. He has had his problems also, short sale on his condo, mom bailed him out so much she's out of money also, etc (he is unwilling to share all his problems, which is his choice). She knows she is just as libel for the loan as if she took the loan out herself (though she didn't know the implications when she cosigned). I sat down with him and it was understood that if couldn't make a payment a particular month, he would at least call and just let her know. My girlfriend has even paid a fee to have the loan put into forbearance (last summer) so he can get himself together (between jobs). He never even said 'Thank You', or offered to pay her the fee back (she didn't ask for it). The balance, as of now I believe is in the $28000-$30000 range.
I have a few questions I hope can be answered here before it actually goes to collections:
1. At what point will Sallie Mae come after HER? He has a full time job, making decent money. Would/should they garnish (if it gets that far) HIS wages first?
2. We are doing some minor renovations to rent or sell her town home. She will be moving in with me, allowing her to bank about $1000/month. Eventually, we want to sell/rent my town home, get married and buy a single family home. At what point will they be able to go after her bank account and/or paycheck?
3. If we did end up buying a home TOGETHER, will this affect ME in any way? Can they put a lien on the home (again, assuming it got that far)?
4. There's no talking/reasoning with him. We can't even get a phone call when he's short and can't make a payment. He called his mom (whom he took money from and she ended up claiming bankruptcy), who called my girlfriend to relay a message that he was late making a payment, but even that turned out to be a lie.
I am not willing to let her get a loan to pay off the loan. He is careless with his money and still very childish in lots of ways. Thank you in advance for any info you can give.
Added: This is in Colorado, if it makes a difference.
Full Version: Sallie Mae
QUOTE (TheJackal @ Feb 23 2009, 02:35 PM) 
I am here because my girlfriend is so upset, she doesn't want to deal with it and I hoped I can get some answers for her. I'll include any details I have.
A while back (? years), my girlfriend cosigned a student loan for her brother. It was understood he would pay it back after graduation (isn't it always like that?). I'm not sure how long this has been going on, but my girlfriend is 38 and her brother, I believe, is 33-34. She has had her share of problems, married/divorced/2 kids, an ex-boyfriend who ran her into bankruptcy 3 years ago, etc. He has had his problems also, short sale on his condo, mom bailed him out so much she's out of money also, etc (he is unwilling to share all his problems, which is his choice). She knows she is just as libel for the loan as if she took the loan out herself (though she didn't know the implications when she cosigned). I sat down with him and it was understood that if couldn't make a payment a particular month, he would at least call and just let her know. My girlfriend has even paid a fee to have the loan put into forbearance (last summer) so he can get himself together (between jobs). He never even said 'Thank You', or offered to pay her the fee back (she didn't ask for it). The balance, as of now I believe is in the $28000-$30000 range.
I have a few questions I hope can be answered here before it actually goes to collections:
1. At what point will Sallie Mae come after HER? He has a full time job, making decent money. Would/should they garnish (if it gets that far) HIS wages first?
They will start to pursue her as soon as he is late, usually prior to default. Once a default happens, collectiions get wicked. Even if payments are being made, they will sue both parties. They will pursue whoever is the easiest to get the funds from.
2. We are doing some minor renovations to rent or sell her town home. She will be moving in with me, allowing her to bank about $1000/month. Eventually, we want to sell/rent my town home, get married and buy a single family home. At what point will they be able to go after her bank account and/or paycheck?
For private loans, they have to sue first. When that will happen is unknown.
3. If we did end up buying a home TOGETHER, will this affect ME in any way? Can they put a lien on the home (again, assuming it got that far)?
Yes the home can be liened.
4. There's no talking/reasoning with him. We can't even get a phone call when he's short and can't make a payment. He called his mom (whom he took money from and she ended up claiming bankruptcy), who called my girlfriend to relay a message that he was late making a payment, but even that turned out to be a lie.
I am not willing to let her get a loan to pay off the loan. He is careless with his money and still very childish in lots of ways. Thank you in advance for any info you can give.
Added: This is in Colorado, if it makes a difference.
A while back (? years), my girlfriend cosigned a student loan for her brother. It was understood he would pay it back after graduation (isn't it always like that?). I'm not sure how long this has been going on, but my girlfriend is 38 and her brother, I believe, is 33-34. She has had her share of problems, married/divorced/2 kids, an ex-boyfriend who ran her into bankruptcy 3 years ago, etc. He has had his problems also, short sale on his condo, mom bailed him out so much she's out of money also, etc (he is unwilling to share all his problems, which is his choice). She knows she is just as libel for the loan as if she took the loan out herself (though she didn't know the implications when she cosigned). I sat down with him and it was understood that if couldn't make a payment a particular month, he would at least call and just let her know. My girlfriend has even paid a fee to have the loan put into forbearance (last summer) so he can get himself together (between jobs). He never even said 'Thank You', or offered to pay her the fee back (she didn't ask for it). The balance, as of now I believe is in the $28000-$30000 range.
I have a few questions I hope can be answered here before it actually goes to collections:
1. At what point will Sallie Mae come after HER? He has a full time job, making decent money. Would/should they garnish (if it gets that far) HIS wages first?
They will start to pursue her as soon as he is late, usually prior to default. Once a default happens, collectiions get wicked. Even if payments are being made, they will sue both parties. They will pursue whoever is the easiest to get the funds from.
2. We are doing some minor renovations to rent or sell her town home. She will be moving in with me, allowing her to bank about $1000/month. Eventually, we want to sell/rent my town home, get married and buy a single family home. At what point will they be able to go after her bank account and/or paycheck?
For private loans, they have to sue first. When that will happen is unknown.
3. If we did end up buying a home TOGETHER, will this affect ME in any way? Can they put a lien on the home (again, assuming it got that far)?
Yes the home can be liened.
4. There's no talking/reasoning with him. We can't even get a phone call when he's short and can't make a payment. He called his mom (whom he took money from and she ended up claiming bankruptcy), who called my girlfriend to relay a message that he was late making a payment, but even that turned out to be a lie.
I am not willing to let her get a loan to pay off the loan. He is careless with his money and still very childish in lots of ways. Thank you in advance for any info you can give.
Added: This is in Colorado, if it makes a difference.
Thanks for the response Lynn. Exactly what I thought would happen.
One question........If he defaults, can my girlfriend sue her brother for the money she would have to pay?
One question........If he defaults, can my girlfriend sue her brother for the money she would have to pay?
QUOTE (TheJackal @ Feb 23 2009, 09:18 PM)
Thanks for the response Lynn. Exactly what I thought would happen.
One question........If he defaults, can my girlfriend sue her brother for the money she would have to pay?
One question........If he defaults, can my girlfriend sue her brother for the money she would have to pay?
She could try but in all likelihood she wont be sucessful.
I know this topic is a month old, but Sallie Mae does have an online site for managing student loans. I'm not sure what rights a co-signer would have regarding access, but I would think since they are jointly liable, she should be able to access the account online to at least keep tabs and see whether payment is made each month.
Sallie Mae is so difficult to deal with. I have tried and tried and there are very strict in their rules. I wish you luck.
QUOTE (TheJackal @ Feb 23 2009, 03:35 PM)
I am here because my girlfriend is so upset, she doesn't want to deal with it and I hoped I can get some answers for her. I'll include any details I have.
A while back (? years), my girlfriend cosigned a student loan for her brother. It was understood he would pay it back after graduation (isn't it always like that?). I'm not sure how long this has been going on, but my girlfriend is 38 and her brother, I believe, is 33-34. She has had her share of problems, married/divorced/2 kids, an ex-boyfriend who ran her into bankruptcy 3 years ago, etc. He has had his problems also, short sale on his condo, mom bailed him out so much she's out of money also, etc (he is unwilling to share all his problems, which is his choice). She knows she is just as libel for the loan as if she took the loan out herself (though she didn't know the implications when she cosigned). I sat down with him and it was understood that if couldn't make a payment a particular month, he would at least call and just let her know. My girlfriend has even paid a fee to have the loan put into forbearance (last summer) so he can get himself together (between jobs). He never even said 'Thank You', or offered to pay her the fee back (she didn't ask for it). The balance, as of now I believe is in the $28000-$30000 range.
I have a few questions I hope can be answered here before it actually goes to collections:
1. At what point will Sallie Mae come after HER? He has a full time job, making decent money. Would/should they garnish (if it gets that far) HIS wages first?
As soon as payments are past due they will start calling. They could end up garnishing both if it is sued upon.
2. We are doing some minor renovations to rent or sell her town home. She will be moving in with me, allowing her to bank about $1000/month. Eventually, we want to sell/rent my town home, get married and buy a single family home. At what point will they be able to go after her bank account and/or paycheck?
The loan will have to be in default and a judgement rendered first.
3. If we did end up buying a home TOGETHER, will this affect ME in any way? Can they put a lien on the home (again, assuming it got that far)?
Yes they could.
4. There's no talking/reasoning with him. We can't even get a phone call when he's short and can't make a payment. He called his mom (whom he took money from and she ended up claiming bankruptcy), who called my girlfriend to relay a message that he was late making a payment, but even that turned out to be a lie.
I am not willing to let her get a loan to pay off the loan. He is careless with his money and still very childish in lots of ways. Thank you in advance for any info you can give.
Added: This is in Colorado, if it makes a difference.
Nope, reallyno difference.
A while back (? years), my girlfriend cosigned a student loan for her brother. It was understood he would pay it back after graduation (isn't it always like that?). I'm not sure how long this has been going on, but my girlfriend is 38 and her brother, I believe, is 33-34. She has had her share of problems, married/divorced/2 kids, an ex-boyfriend who ran her into bankruptcy 3 years ago, etc. He has had his problems also, short sale on his condo, mom bailed him out so much she's out of money also, etc (he is unwilling to share all his problems, which is his choice). She knows she is just as libel for the loan as if she took the loan out herself (though she didn't know the implications when she cosigned). I sat down with him and it was understood that if couldn't make a payment a particular month, he would at least call and just let her know. My girlfriend has even paid a fee to have the loan put into forbearance (last summer) so he can get himself together (between jobs). He never even said 'Thank You', or offered to pay her the fee back (she didn't ask for it). The balance, as of now I believe is in the $28000-$30000 range.
I have a few questions I hope can be answered here before it actually goes to collections:
1. At what point will Sallie Mae come after HER? He has a full time job, making decent money. Would/should they garnish (if it gets that far) HIS wages first?
As soon as payments are past due they will start calling. They could end up garnishing both if it is sued upon.
2. We are doing some minor renovations to rent or sell her town home. She will be moving in with me, allowing her to bank about $1000/month. Eventually, we want to sell/rent my town home, get married and buy a single family home. At what point will they be able to go after her bank account and/or paycheck?
The loan will have to be in default and a judgement rendered first.
3. If we did end up buying a home TOGETHER, will this affect ME in any way? Can they put a lien on the home (again, assuming it got that far)?
Yes they could.
4. There's no talking/reasoning with him. We can't even get a phone call when he's short and can't make a payment. He called his mom (whom he took money from and she ended up claiming bankruptcy), who called my girlfriend to relay a message that he was late making a payment, but even that turned out to be a lie.
I am not willing to let her get a loan to pay off the loan. He is careless with his money and still very childish in lots of ways. Thank you in advance for any info you can give.
Added: This is in Colorado, if it makes a difference.
Nope, reallyno difference.
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