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Served today help!


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I was served today for a 2014 debt from my old school because I did not withdraw in the proper manner (stop going to class) so the Unsub Stafford loan was returned to the Feds and the school ended up charging me full tuition for the courses. A copy of my prom note and account detail was submitted to the court.

 

Help please

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LynnInMN,

 

the loans are guaranteed, ,don't understand why the school sent the money back / canceled the loan instead of collecting their $$ from the Gov.

 

and letting the DOE go after OP ?

 

what's the deal on that ?

 

not arguing, just looking for the legal explanation .

 

 

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  • 1 month later...

LynnInMN,

 

the loans are guaranteed, ,don't understand why the school sent the money back / canceled the loan instead of collecting their $$ from the Gov.

 

and letting the DOE go after OP ?

 

what's the deal on that ?

 

not arguing, just looking for the legal explanation .

 

 

Schools get dinged by the DOE when a certain percentage fo their students take loans and then default. The school could lose its ability to get/give loans. They probably figured someone that dropped out wouldn't pay it back.

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The Federal Government does not serve litigation on a federal student loan debt that quickly, so the OP should check if this is a federal student loan or a private student loan. If this is a Federal Student Loan, then the only legal documents they would send him would be either a Wage Garnishment Notice or a Tax Offset Notice, but nothing related to going to court.

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