Student loan with Allied. Want to set a payment agreement

Please don't put yourself in troubles. You said your owe this debt, please talk with someone else in the company and get the arrangement done. Pay that much that you can afford now. This will prove that you are not avoiding the payments. Make sure that you have every communication in writing. If they ever take you to the court, you need to have a proof of your defense

If this is a government student loan they are collecting on it will never go away. Contact the dept of education and ask for written paperwork on your loans showing amounts owed and any fees added to it. Send collection agency cease and desist letter with clause to contact you by mail only. Ask them to send you written proof of debt.

After you have everything in writing contact dept. of education again and ask what you need to do to get in a rehab/defer program. This is basically a program to allow you to bring loan out of default status.Good luck and remember the government never will go away so don't ignore student loans.

Please try your hardest to stay out of court..It's always bad enough to be in debt; you don't need a judgement on your credit report on top of it! :(

Pay what you can afford, but pay consistently. I think you'll be able to work something out easily.

If you default on this student loan then they will garnish your paycheck! Try to work something out. And it is NOT illegal for you to be in school with outstanding student loans, you just won't get any federal grants or federal loans. I'm in nursing school and about to graduate, and I'm in the same situation you are in, and that is a false statement on her part. They actully garnished my check when I had no option but to default, I got garnished for 3 pay periods before my BK 13 was filed. Stay in school, it isn't illegal and they won't kick you out unless you don't pay the tuition.

Actually what the CA is not completely false. If you are in attendance at a school and you default on a loan that you took out to attend that school, they can and often do put a hold on registration. I used to work as a Financial Aid officer for a major university. Defaults affect the schools rating and if a currently enrolled student defaulted, we would put a hold on transcripts and a block on registration until the default was resolved.

Student loans do not have to take you to court to garnish wages. They can also seize tax returns, lottery winnings and can garnish gov't payments such as disability and social security.

How are you paying for school now??

Best bets are to get into a rehab program. Quickly.

I don't think how this person is paying for school now is anybody's business, that would be personal and to share if they felt the desire.

I agree that finances are poster's personal business.I would definately call the dept. of education and explain what is going on and ask for help.

Cajun is right. Call the DOE and ask about their Loan Rehabilitation program and cut Allied completely out of the picture. They can set up affordable payments based on your income, or whatever situation you are in. Almost everything this person told you is in violation of the fdcpa.
California Law Student

Nope. Since the account is assigned to Allied, the OP must work with Allied. Doe will not get involved with a CA's account.