My DW has a tuition balance from the last semester at school. The financial aid department said the loan would go through fine. 2 weeks before the end of the semester, they said she was denied. It was a private school, so the initial balance was about $10,500. 5 years later, it is $18,000.

Is it a loan or not?

We did Chp 7 BK, 2 years. Of course they said it was a loan and they are nonprofit, so according to them it stood.

I would like to consolidate it with her stafford loans?
Is there any way to do this?

This seems to be so unique, I haven't found any concrete information on how to proceed.

Thanks.

No, they cannot be consolidated as they are not federally guaranteed.

Most schools are deemed nonprofit, and as such tuition bills are nondischargable in BK. This is not a loan...it is simply an accounts payable.

Are there any good options with this situation?
Or anywhere to look for help?

Thanks.

It is really too late to be going back for financial aid. Did he get any other loans, grants? Other than getting a private loan from a bank or borrowing the money from someone, there is not much else that can be done.

DW's situation isn't too unusual. Schools that are strapped for cash are now looking for those students.

Do you know why DW's loan was never processed or was denied? Is the school contacting her or a ca? Have you asked for a complete accounting of her old tuition bill to see where the additional interest and fees come in? This info might help in negotiating a settlement or payments with them. Is anyone reporting on her credit reports?

Additional info will help