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Posted: Sun Apr 15, 2007 12:08 pm Subject:

I just saw a report today and it was regarding the government stepping in and handing out huge fines for corruption with this system. Sallie Mae was the biggest offender. The investigation showed that students and their families were directed towards loans with higher interest rates and if they chose certain providers then the financial aid officer received a bonus from the loan company. Stated that the colleges were involved. And the government is handing down fines in the multi-millions of dollars for the corruption activity. And corruption isn't my word, it is the federal governments.

Posted: Sun Apr 15, 2007 8:34 pm Subject:

I saw the report as well. Not only that, but several high ranking officials in the government are heavily invested in Sallie Mae. Schools were directing students and families to those loans because the lenders were giving the schools kick-backs. It'll be interesting to see how this develops.

Posted: Sun Apr 15, 2007 8:49 pm Subject:

Sigh...guess who my student loans are with? Of course, I have had my deferred until December 28th 2007...but that sure seems to be coming quick huh?

Posted: Mon Apr 16, 2007 12:38 am Subject:

One could only hope for one of the greatest acheivements of George Bush the first -- an amnesty for student loans.

Posted: Mon Apr 16, 2007 3:10 am Subject:

Yes, I forgot about that segment in the report stating that government officials had invested in these companies and didn't they also say that they uncovered that some of these financial aid officers were also given the opportunity for investment if they steered students towards their programs? That report absolutely disgusted me.

Posted: Mon Apr 16, 2007 11:16 am Subject:

Back when I was collecting, as a manager I used to go to a lot of conferences. Even back 15 years ago, there was talk of getting rid of the state guaranty agencies and going completely to Direct Lending thru the DOE. That would basically put Sallie Mae, Citibank and others out of the loop. I really think that this scandal will probably result in a bigger push towards direct lending.

By the way, Sallie Mae is being sold.
http://money.cnn.com/2007/04/16/news/compa...dex.htm?cnn=yes

Student loan amnesty...will never happen. Interest rate reduction is more likely.

Posted: Mon Apr 16, 2007 1:54 pm Subject:

Even with a reduction in interest rate could save a person thousands in the long run.

Posted: Mon Apr 16, 2007 7:02 pm Subject:

I heard a report today that Sallie Mae has just been sold in a multi-billion dollar deal. I didn't catch who bought it though.

Fermin · Posted: Mon Apr 30, 2007 12:22 pm Subject: Loan Consoildation

I contacted the agency garnishing my wages and asked about getting my loan out of default. They said i would have to make an additional monthly payment along with what the wage garnishments for 9 consecutive months to get my loan out of default, and that i would not be able to get approved for loan consolidation since my wages are already being garnished. If this is true I'm in some real trouble cuz i can't afford the 15% they are taking out already. I have to work overtime just to make ends meet.

Jantria · Posted: Thu May 24, 2007 8:51 pm Subject: Garnish

I received a phone call today at work from the student loan people. I was pretty irate that they called me at work but anyway they told me they could garnish over $400.00 from my paycheck. I make $11.00 an hour and work 37 hours a week. Are they serious? Can they garnish that much or just trying to scare me?