Good lord, that is a foregone conclusion for any student loan borrower. Even me, and I used to collect the infernal things.

I consolidated my student loans with educational direct. All of them or so I though. Just yesterday I get a bill from Sallie Mae for a completely differnt loan that I was a month behind on. The bastids!

__________________
Once you start down the dark path, forever will it dominate your destiny.

Hey Ari,
Have not seen you in here in a while.The ole cajun was starting to get lonely On to topic,All I know from my student loan for a short tragic mistake as a college student is they are like taxes.They never ever go away so work out what you can and pay them. If collector is being abusive,contact dept. of education and let them know about since they are the customer.

It has been a week now. I get a call from the agency (different rep) stating that now I have to fill out some kind of application.

I am concerned as I read some of thses posts about the CA's and what they represent when talking to me. I had this ca give me an exact $ figure to close this out and pay it in full. The figure she gave me covered the loan and most of the interest, but none of the additional ca fees. I had been working with some family members about getting together the cash to pay this out as it would save us thousands over the other option. Now I am concerend as to whether the ca was or is able to do that or even if it was just a way to try and get a lump sum payment and then come back a week or two later and say.."oh sorry, that amount was not accepted by the DOE as full payment, you still need to make additional payments".

Any help would be appreciated.

BTW, I appreciated the advice from soaplady about our IRA. It is sound advice. Even if we still consider it an option in an emergency, it is best to keep any retirement intact if at all possible.

I finally get to log back in. LOL

That last post was mine, for those who were wondering who the heck that was.

I thought the payment process had been taken care of a week ago, they got all our payment information and even the first payment....now there is more before it can move forward?

On paying it out...should I call this particular CA back and get her to give in writing the amount of the payout she gave to me over the phone as well as some type of written assurance that this will settle the account in full before I fork over any lump sum payment based on what she stated on the phone? Seems to me that would be a reasonable course before I commit to borrowing this lump from someone else, only to stuck with two loans to repay not just one.

Guest,
Everyone on these boards are volunteers.I spend on average of 10-12 hours a day helping when I can,researching when I am clueless.I jumped on you with
the comment that was directed at soaplady. I just want you and everyone else that comes to the the student loan
section to realize that she and Jedi mistress Ari are some of the most experienced in this stuff. My parte
is in credit repair and keeping collectors on the narrow line of legal collecting. I would add if you are uncomfortable about ca,have them put in writing what you owe and what is being applied to balance.Once that is done,call ed dept. and get their opinion.

The CA basically operates as a proxy from the guarantor. If they offering you a settlement, which it sounds like with no collection fees, they should have no problem faxing you a settlement letter. The settlement amount is usually good for 10 days or so. The settlement letter will state the name of the guarantor and if you pay within the time frame is totally enforceable. Several times when I was in collections, borrowers had settled accounts with previous agencies and had the proof. We would then immediately close out the account and send a notation to the guarantor with copies of the settlement paperwork. (Occasionally these accounts are simply not closed out properly, hence they are sent to a new CA.)

Thanks soaplady.

That sounds like what I will do. When I know I am able to put my hands on the cash within 48 hours of getting the letter, I will get this particular CA to send me that letter. In the long term we can save more $ this way. It is hard running around hat in hand, but getting back on your feet is never an easy process. If we can a few thousand over the entire process, then it is a good investment. We can use that savings to go towards retirement.

I do appreciate your advice about our IRA. I am not sure who that other person was, but I understood exactly what you meant and what your intentions were.

Hi! I found this post tonight after searching on student loan info. I am in a similiar position as Mike H in his post. Except 2 things are different... I am on my 3rd year of rehab and they keep wanting me to sign and send a new rehab agreement. Now they want the 4th rehab contract signed and returned. This is the last time I am buying there lies and now I am looking to just get away from them and get back to normal. I have 36 on time payments of 1%. Any advice? I need to get away from the collection agency and go in circles between them and Sallie Mae.
Thanks!
The other guest (hehe)

i have dealt with the Direct Loan Program, with some defaulted student loans. They DID help me out.....they helped me make payments ( depending on my income) AND brought my Student Loan 'current' ( out of default). The Direct Loan Program, in my opionion, has really helped me.