Collection Notice/ Merchants & Medical Credit Corp

[KKP]

I need some serious advice, I received a collection notice from Merchants & Medical Credit corp for a past due tuition bill from my school. After researching, I found out that a student loan I was granted was paid out so therefore the account went to collections. But of course this is all happening at the point where the university says that nothing can be done on there end I have to deal with the CA. So, the accounts are not on my CR at this point. I know I probably have a very short window before it does appear. However, the paperwork states only 1 option to pay an absurd amount of money per month to satisfy in three months. I am not sure what to do, should I contact them to find out if other options are available or is there anyone I can take this to court where I may come out getting a better payment option by way of mutual agreance in front of a judge? Please give any advice... I have to move pretty quick on this one.

[tralston3838]

Ok, just breath. Don't panic. Couple questions. Who granted the student loan? Was it the school, or a different company? Is the original student loan showing up on your reports?

 

Sent from my SAMSUNG-SM-G900A using Tapatalk

[KKP]

Thanks for the calming words... 😩 The student loan was granted by the school through financial aid. No it's not on my report either.

Ok, just breath. Don't panic. Couple questions. Who granted the student loan? Was it the school, or a different company? Is the original student loan showing up on your reports?

 

Sent from my SAMSUNG-SM-G900A using Tapatalk

Thanks for the calming words... 😩 The student loan was granted by the school through financial aid. No it's not on my report either.

Edited June 17, 2017 by KKP

[tralston3838]

No problem. If the school granted the loan, it sounds like a Perkins loan. I'm wondering who was the servicer, or guarantor of the loan? Do you remember taking out the loan?

 

Sent from my SAMSUNG-SM-G900A using Tapatalk

[ICANHASMUNY?]

and how long ago did you default on the loan

 

and What state was this in

 

is it the same state you live in Now?

 

if not list both states.

[KKP]

and how long ago did you default on the loan

 

and What state was this in

 

is it the same state you live in Now?

 

if not list both states.

So, I never actually received the loan. I received the collection notices for the actual tuition that was due. I applied for a student loan to help me with the tuition and I completed my part of the paperwork which left the school to finish their part. But to my knowledge the school did not process the loan requirements in time and basically just left my account in the negative and then sent the account to collections.

[ICANHASMUNY?]

was it a state or private, and what state and how long ago?

 

 

need to consider statute of limitations.

[KKP]

was it a state or private, and what state and how long ago?

 

It was a state and it was in the winter semester of 2016.

 

need to consider statute of limitations.

[tralston3838]

Ok, so there's no actual loan that was taken out? You're getting a collection notice for past due tuition? And if it was for this last year, still well within the SOL for any state. Are you still going to that school?

 

Sent from my SAMSUNG-SM-G900A using Tapatalk

[KKP]

Ok, so there's no actual loan that was taken out? You're getting a collection notice for past due tuition? And if it was for this last year, still well within the SOL for any state. Are you still going to that school?

 

Sent from my SAMSUNG-SM-G900A using Tapatalk

Well, I did apply for a loan but the school didn't process paperwork in time and they didn't pay out the loan but I wasn't aware of that until I received the letter from the collection agency. So, I need some guidance as to how to approach the situation. I've contacted the schools financial aid office as well as their cashiers office with no luck of course. They won't even provide the information as to who they use to disburse loans because I wanted to contact that company to find out if the loan can still be paid out. However, the CA is demanding a ridiculous payment plan for the amount due and it is not within my financial budget to pay it in that manner, heck I don't think anyone would unless you were rich, lol. So, while I am in pursuit of the school and what they did not do, I do not want this to ding my CR. So, I my original question was should I contact the agency and try to make different arrangements for the balance due, or should I have the matter presided over in court if that is an option. The bill is for $9,464 and they want it paid in 3 months. I am a graduate of the school as off the winter semester in 2016.

[ICANHASMUNY?]

answer the CA just as you stated above

 

 

this is the Schools own fault, they didn't process the loan paperwork when I applied, let me take the classes and now they come around and state that I owe them for classes I wouldn't have taken if I didn't get the loan.

[tralston3838]

I'm surprised the school continued to let you take classes, let alone graduate, if you still owed money for tuition. Personally, I would ask the CA for DV. Have you contacted the school to make payment arrangements to them? They should be more willing to work with you, since it was their error. Do you have copies of the loan application you filled out?

 

Sent from my SAMSUNG-SM-G900A using Tapatalk

[KKP]

answer the CA just as you stated above

 

 

this is the Schools own fault, they didn't process the loan paperwork when I applied, let me take the classes and now they come around and state that I owe them for classes I wouldn't have taken if I didn't get the loan.

Upon contacting the CA they are asking me to pay the balance in 3 months, over $3,000 each month, which is not going to happen, I can't afford that. And the school is basically saying "tough luck" deal with the CA. I've contacted so many departments with no luck. So, now my question is for the CA with these unrealistic payment plans, should I file so type of document with the courts to present the case in front of a judge and bargain for a better more realistic payment plan or do you have any other suggestions?

[ICANHASMUNY?]

sue the school for failing to process the loan, and not telling you about it before classes began,

 

consult a lawyer.