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  1. Not so good after all. The bank backed out and said 15 years max on 8 houses max (4 per spouse). It sounds like the lender was just uneducated but I haven't had a chance to find out for sure. Very disappointing for those involved. And honestly I feel bad for the lender watching all that commission go down the drain, too.[
  2. I wish I had seen that thread sooner! It does sound like your innitial loan was much smaller than mine, but it sounds like we both got them the same way- saying we had done our research and they were required to include "affordable." It seems like the idea we have spoken with someone outside the agency is what works. (In my case I never could get them to send me the form and I also took a long break before reentering negotiations). It seems like you did a great job! I'm jealous! I'm still pretty satisfied with my own success too . I'm just curious what happened with the original amount of under $50 per month? Did you fill out the form? I just went through the same process (here's the thread), and was happy to learn that I can make $25 monthly payments. The one thing I would stress to anyone attempting this is there is no minimum payment for student load rehab, it is based on what is reasonable and affordable. Also be careful what information you give the CA, if they ask for your assets request the D.O.E. Financial Disclosure Statement for hardship and say you will list all relevant info there.
  3. I should add 4 things. First, it's very hard to find a lawyer to help with defaulted student loans because legally there is so little they can do to help. Bankruptcy attorneys are really uninterested because student loans don't go away in bankruptcy. However, speaking with a tax attorney or real estate attorney if you had any assets would be critical to do as soon as you went into default (again, not my case). Second, don't let everyone get you down. Everyone from your best friend to the CA will make you feel like dirt- more even than for cc debt, mortgage problems, or anything. If you can't help the situation you are in, don't pay attention. It won't do anyone any good for you to listen to that. Third, depending on state law, private loans (directly from your university) may actually go away after many years, whereas federal loans (like Perkins, etc) will never go away. Universities seem to be more likely than federal loan collectors to sue because they can lose their opportunity to collect from you, whereas the federal people can chase you right through social security. I have heard private loans (through banks or universities) will be most likely sue right before the SOL runs out. I don't know if that's true or not. Fourth, when I sent letters to my private and federal loan collectors asking for verification, I did receive threatening letters back from both. Neither took action (yet) but it did trigger them to run my credit (it showed upon my monitoring system) so they could see if I paid other debts, if I had a mortgage or car loan, etc.
  4. For the OP it's probably too late but for others here is my experience. I have been fighting this battle a LONG time. I finally wondered whether I had a "high collection score" because I was contacting them and not visa versa, and I was actively trying to find a way to pay. Mindful that I literally did not have the money they were going to require to rehab it and that anything short of rehabbing would not help me at all, I decided to sit back and chill. This only worked because I had NO income, assets, tax refunds, or ANYTHING to sue me for or seize. Of course, I told them all this up front but they stuck fast to their number of $18000 over 10 months (I think- I don't remember exactly now). They asked for all my assets etc, but still stuck fast to that number. I called and several times trying to work it out. I called the Dept of Ed Default Resolution Group (who instantly report to the CA). I called everyone and nobody was budging. I contemplated all sorts of horrible things. They were asking for more money than I could possibly make in a month. I know someone will chime in and say I should have thought of that before I got the loans, but my response is there is always more to the story than meets the eye and I will leave it at that. So I chilled for about 3 months which meant I had been with the CA for about 7 months. I'm not sure when I "defaulted." Over this chill period I did a lot of research. I called the Dept of Ed Default Group several times, the secretary of the person who is supposed to help with resolution (but I never escalated because I didn't want to be shut down), The Dept of Ed Direct Loan people. Sometimes I called 4 times in a day with more questions and sometimes I went a month without calling. I called so sporadically because I wanted more than one person to answer my questions. Those people don't know their jobs that well (some do but not all) and while some are friendly and helpful, some are NOT. So I would call back over and over and ask for answers to the same questions. Some people were hateful with me but it allowed me to find a few helpful souls. Some refused to answer my questions and said I needed to call so and so. I just insisted that I knew that but I wanted to know a certain thing from them. Remember, they keep a log of all their calls and I KNOW the default resolution group immediately reports to the CA- I think they are on the same computer network. I'm not sure if the Direct Loan phone number reports or not. My particular loan is still owned by the dept of ed, but they hired the CA to... knock my kneecaps in if I don't pay... kind of. I am no dummy, and recorded every single phone call (which is legal where I live). Everyone told me I needed to speak with the special assistance department of the CA who was set up for people like me. When I called the CA the agents would say they Were the special assistance department, or as managers they had full authority, etc. I now know this is because they make direct commission and wanted my account themselves. They ranged from super friendly to making me want to die (yes, I am not mincing my words because it's true). So, after about 7 months of no payment including 4 months of no contact (but contact with other people) I called the CA and said I had spoken several times with the Default Resolution Group and with Direct Loans and I know they are supposed to work with me. I said I understood their job was to get as much money as possible out of me (which is true) but that I simply didn't and wouldn't have what they were asking for (which is true). I had actually only called to get an address and had my letter written out, so my thoughts were very in order. My thoughts included the fact that this money was a gift and if they didn't like my number I would pay other bills with it immediately (so they couldn't sue for it in hopes of getting more, because there would be nothing worth suing for). I said I could pay $200 for 9 months. She was gone for a long time conferring with her manager (or so she said). Then she shocked me by coming back and counterproposing $207 for 10 months. I asked why 10 when rehab is a 9 month program and she said yes technically 9 unless I miss a payment. So... I'm about to mail a letter and get a human signature and dot every i on my agreement with them. However, I still won't be able to afford my payments once I'm out of default, rehabbed back to the dept of ed, so I am trying to figure that out. If desired, please feel free to copy this and sticky it- I would have loved this information a year ago. If anyone wants to ask me anything, reply to this conversation, which I'm watching. i won't neccessarily notice a personal note sent to me. I don't want to say who my CA is, but it's not NCO. Also, my loans are consolidated into unsubsidized and subsidized already, so I can't consolidate. My advice would be to consider tax due dates when trying to negotiate. They can simply take your money from your tax returns, but a rehab is only 9 or 10 months so you want to be rehabbed before you get tax returns if you get very substantial tax returns (which i do not). Also, consider whether you have assets or an income before you try to draw this process out. Because I was so utterly bereft of assets they could take or income they could garnish or tax returns they could take, or any reason to sue me at all, their only other option was to publish my name in the paper (which is apparently legal for student loans but not for any other CA reason). They had already called everyone I knew and told them why they were calling, so be prepared for that, too. That wouldn't get money from someone without money, so I was in a good negotiation place, once I cooled my heels. Well- good for lowering the price. I'm still broke, but there's my wisdom for you! My breakthrough came when I quit thinking of them as student loan collectors and started thinking of them as a CA. Trust me- if you ask for a breakdown of your bill, you will see you are paying for the "service" of a CA!
  5. As an update and in case it helps anyone else, it took a LOT of work to find one, but they did find a bank that meets their desires. I did the footwork for them. I called tons of local banks, credit unions local and national, and lending agencies. Almost every single one would only do 4 mortgages per person and most of them would only do 5 year balloon loans. The winning candidate will do a 30 year loan at 4.25% (I may be wrong on the exact decimal percent) and allow 10 houses. They require either 20% or 25% down, I can't remember. No other bank could touch this- in fact their reactions made me suspicious of this loan but the investors have done their homework and I have too on their behalf, and it seems legit. They use a private investment group instead of Fannie May / Freddie Mac and apparently are a little happier to loan out money so they can make more money. It is a local bank.
  6. Hi Ashlia! It's been a while because I've been away from my computer. I am making progress on my student loans! As I have been working on my honey's credit report time has been helping it too. We still have a long way to go though. Thanks for saying hi. Did you go to court and kick a**?
  7. It takes even longer to cancel your services. On the phone now. Still. Dum dum dee dum. PS They are happy to let a wife set up this program for her husband and set his password, but it violates privacy for her to end the program. Ironic.
  8. Thanks Dawn! I have posted about this in the student loan forum, but it's more focused on staying out of this situation. Once you are dealing with a CA, the student loan forum isn't very helpful. I appreciate your input! Do you mean you just sent your letter to the DOE? Perhaps I should try that... I don't see what it would hurt...
  9. This involves student loans ($70,000, CA demanding a $10,000 up front and $700 per month payment plan) but I am posting it here because I am actually dealing with a straight up CA right now. They don't own the debt, the Dept of Ed does, but they can handle the debt however they want until I rehab (I've researched it). In the student loan forum, the advice is always the same: "pay your loans, you owe them and will never get out of them." I get that, and I know interest is accruing, but I really can't pay $17000 in one year so that advice is kind of useless. What I am seeking is advice and opinions on negotiating with the CA. We have been in a stalemate. I called the Dept of Ed as soon as I heard about the Rehab program and they sent me papers to fill out, but that very day they had previously turned me over to a CA so it was too late. I contacted the CA, they offered the deal listed above. We both refused to budge for months, then they came down a TINY bit. They called twice a week until I told them to quit calling and now send a letter with my balance and my "payment plan" of over $700 to me once a month. I thought as time passed the offer for my rehabilitation would get lower, but it has not. That is the background. I would like input on this letter I am considering sending. July 27, 2011 REGISTERED MAIL number: ### From: Me Address Address To: Scum of the Earth 7th Layer of Hell Hades, Molten Lava Dear Scum of the Earth, I have attempted several times to arrange a payment plan with you that I can afford. Please be assured I am writing with respect and in an attempt to help you understand my position so we can mutually benefit. I would welcome a similar letter from you. You hold to your price that you know I can’t pay and refuse to negotiate. While you feel you are offering a reasonable price, I know it is an impossible one for me to pay. You continue to completely ignore my attempts to negotiate, probably because you hope to gain money from me on an involuntary basis. I ask you to consider lowering your asking price substantially so that you can receive some money as opposed to none. Your plan to garnish my wages and tax returns are not helpful to you or I because I have no job and anticipate I will receive no tax returns. I can also save you the effort of checking on property, because I have no property that you could take. Suing me would be expensive but fruitless because I have no savings and no foreseeable job in the very long future. Your desire to garnish my social security is unproductive to both of us. If social security is still around in 40 years, the interest you will be trying to collect will have risen so high that you would have been better off taking money 40 years prior (now). I have very little contributed to the social security program anyway. Finally, you suggested I get a loan to pay off my student loans. I checked with several banks and credit card companies. None of them would give me a loan because my credit report shows I’m in default on a huge student loan (and because I have no income or collateral I can pledge). It would be in your best interest to reach an agreement with me on terms I can afford so that you can get some money out of me because I have no foreseeable income for a very long time. It would be in my best interest to reach an agreement with you so that I can rehabilitate my loan as soon as possible. As long as I’m in default on my student loan, a chain of events is in place preventing me from making an income. Let’s try to reach an agreement. I want to reiterate, I have no income and no savings. While I am married, my husband has told me he will not be paying my student loan bills. He also plans to file as a grieved spouse if you garnish his tax returns from his earnings. I do have a personal allowance each month of $50 which I have said repeatedly I am willing to pledge to you for loan rehabilitation. In addition, my parents have given me a generous gift of $150 per month as a belated birthday gift to help me pay off my student loans in a rehabilitation program. They were clear that they would not increase this number. Therefore, I offer you this agreement. I will pay $200 per month for 11 months, fulfilling my rehabilitation obligation in 9 of those months. After that, regardless of who holds my loan, even if it is your agency, I will go into an income based (?????) repayment plan. I will set up a direct withdrawal so you are guaranteed of your funds each month. Notice I have included two extra months because I know this number is lower than you would like. This plan will benefit both of us because after getting out of default I will have the opportunity to earn a reasonable income again and while I’m paying my rehabilitation your agency will earn money. The Department of Education will also benefit because I will be able to pay them money once I have a job again and have a payment plan I can afford. Please consider that while you are currently earning nothing and I have no money that you can involuntarily take, this plan will bring you $1200 before the Department of Education (or another lender) resumes my loan. Please respond to this letter with a letter, not a phone call. Please give this letter a personal response, as I have gone to a great deal of effort to find money and to compose what I consider a detailed letter to you, and an agreement I feel would mutually benefit us. Thank you for your consideration. My name
  10. What does it mean: actual chop occurs two days later? I get that it's processed one day and then two days later it falls off, but in those 2 days are inquiries ignored, does bumpage happen, how does it affect us?
  11. On my husband's reports, he has several mortgage inquiry pulls but I believe those never come off. He has several other ones as well (from credit card companies, collection companies, etc), but those are all February of this year or before. Is there any reason to stay in this bumpage/ choppage game or had we may as well sign out of it and save the money? We will spend the money if it will help us get a good mortgage (we are on the line where we will get one but how good is another story) but not if it only matters for credit cards. TIA.
  12. I missed the part where you discovered it's alphabetical. Cool find!
  13. Yes- thank you. It is CSC. But I can't find any way to talk to them on the phone!
  14. I am dealing with one that was reported (for my husband) 10/05 according to Equifax. According to USSA it was reported 10/01. It is only on my Equifax report. Some debts in MO are no longer reported after 7 years, some after 10. I'm not sure what this is. The credit report shows it as an installment account, but the actual listing calls it a real estate account. It was an apartment's rent. Trying to decide my next step. We had decided to put house hunting on hold until some of his stuff just fell off, but a FABULOUS opportunity is being given to us if we act within just over a month. We are qualified if we pay this off, but I'm thinking if it's not on their at all our rate will be much better. According to USAA this would be almost 8 years old, but according to Equifax it's only 5 1/2. What is my next step? I've already called the apartment. It appears it was my husband's and that they do have records. That said, given that they kept his first and last month deposit and he had a room mate who bailed on him, there may be some accounting error. Still, they have records and he doesn't, so they will probably be right. They don't seem to have any intent to sue. Try to negotiate? Pay up even though it was his roomie who bailed? He is no longer friends with the guy and the guy definitely will not pay. It was in both of their names. Dispute? What do you all recommend? Account # #### Account Type: Real Estate High credit: 440 Date Opened:08/2003 Balance: $770 Date Reported:10/2005 Amount Past Due: $770 Date of Last Payment:01/2005 It is only reporting on Equifax, and it doesn't show as much information as I remember it showing... but I thought it was reporting in such a way that it would come off in November of this year. but now I'm not sure because all the info reported is above. It's like some of the info is gone. I am not sure what happened. ETA This account is "negative" but not in "collections." It is being handled by the apartment complex itself.
  15. I have called Equifax multiple times to ask a question. Each time, they try to cell me a service (which I already have). After they find out I don't want to buy it, they say they can't service my account because someone else holds it. Then I call that 800 number but all it has is the address to write to. I would like to ask a question to a live human. Has anyone else had this happen?

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