Van Ru collection question

[mojokitty]

I called Van Ru to schedule repayment. They had previously sent me documentation regarding my debt, but I missed placed it. Everything was going well until they asked for a "good faith" payment. Actually he called it an "involuntary" payment. He told me I wouldn't be able to receive any more documentation or begin the rehabilitation unless I submitted a payment. Thanks to CB I knew there was no legal obligation to pay so I told him that. He agreed and sent me to his SMOOTH talking manager. (I mean like butter) These professionals are so hypnotic. He gave me the run around with all this pseudo-legal mumbo-jumbo and "almost" accusations (very very subtle, so smooth) that was just effective enough to erode my confidence to stop pressing as adamantly as I had initially started. He agreed that I was not obligated but somehow got me to agree to receive an email as a "meet in the middle" and got off the phone with me.

 

So, all I want is them to send me the paperwork to verify my income and read the agreement in writing before I pay. I know paying "good faith" would expedite this process and the payment is low, I mean really, really, low but it's the principle of it. I don't want to be pushed around by CA's. This is the beginning of my journey to fix my credit so I see this as a practice run. Am I correct about the good faith payment? Any suggestions about dealing with smooth talking CA's? I'm not a d**k and I don't want to be one. I just don't want to do what I don't have to do. Simple. Any advice is appreciated. Thanks.

 

I'm calling the ombudsman to verify this as well. Dunno if thats the right person to call. Guess I'll find out.

[mojokitty]

I got my info about the down payment form this thread...

 

http://creditboards.com/forums/index.php?showtopic=530452

 

And this response from hodap2001

 

"It is also important to note, that the CA may request an initial down-payment to begin rehabilitation; however, there is no federal regulation requiring such an act, but they are allowed to ask for it; therefore, if they are persistent, please hang-up and try another CA rep to assist you or escalate the call to a supervisor and inform them of this fact."

 

Guess I just needed to find that again to make sure. Hodap2001, you are my SL rehab hero! Thanks for your great posts.

 

Still any advice with dealing with CA's is appreciated.

[hodap2001]

Sounds like you are on the right track and yes, I still stand by those words! They can ask for a down payment; however, there is absolutely no federal regulation that requires you to pay a down payment or good faith payment to begin rehabilitation. As soon as you say "rehabilitation", they must immediately begin the process in setting you up with a reasonable and affordable repayment plan.

[Sandscrit]

I called Van Ru to schedule repayment. They had previously sent me documentation regarding my debt, but I missed placed it. Everything was going well until they asked for a "good faith" payment. Actually he called it an "involuntary" payment. He told me I wouldn't be able to receive any more documentation or begin the rehabilitation unless I submitted a payment. Thanks to CB I knew there was no legal obligation to pay so I told him that. He agreed and sent me to his SMOOTH talking manager. (I mean like butter) These professionals are so hypnotic. He gave me the run around with all this pseudo-legal mumbo-jumbo and "almost" accusations (very very subtle, so smooth) that was just effective enough to erode my confidence to stop pressing as adamantly as I had initially started. He agreed that I was not obligated but somehow got me to agree to receive an email as a "meet in the middle" and got off the phone with me.

 

So, all I want is them to send me the paperwork to verify my income and read the agreement in writing before I pay. I know paying "good faith" would expedite this process and the payment is low, I mean really, really, low but it's the principle of it. I don't want to be pushed around by CA's. This is the beginning of my journey to fix my credit so I see this as a practice run. Am I correct about the good faith payment? Any suggestions about dealing with smooth talking CA's? I'm not a d**k and I don't want to be one. I just don't want to do what I don't have to do. Simple. Any advice is appreciated. Thanks.

 

I'm calling the ombudsman to verify this as well. Dunno if thats the right person to call. Guess I'll find out.

Is this debt for a private or federal student loan? Are you making a payment without a written contract between you and Van Ru?

[mojokitty]

This is a federal loan and I haven't made any payments and wont until I have signed a rehab agreement with Van Ru. They told me they can't start the process until I pay. They also told me I'm not signing a "contract" because it's not a promissory note, just an agreement to repay the original note. Anyways, they are not getting a cent without some paperwork.

 

Another question, It looks like they are charging me a 19.55% collection fee. Is there going to be an additional fee once they sell my loan back? I've read 16% on top of the unpaid principle.

 

Thanks

[hodap2001]

The current collection rate is 19.58% and this is added to the balance of the account, including any other fees, late charges, and legal expenses as outlined in 34 CFR 682.410((2).

[hodap2001]

The current collection rate is 19.58% and this is added to the balance of the account, including any other fees, late charges, and legal expenses as outlined in 34 CFR 682.410((2).

[uood8]

I had a student loan in default and they offered the rehab program with them for 6 months and it would go back to the original lender with all negatives erased from them and the oc....I agreed and after 6 months everything was as promised.

[hodap2001]

That's good!