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Need Advice for Old Student Loan Debt

Date: Mon, 02/04/2013 - 10:21
Submitted by on Mon, 02/04/2013 - 10:21
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I signed for a student loan in 1988, loan amount 2500.00. The amount with interest was 2800.00 which I have paid in full, but now the amount is 3400.00 including interest. I have requested an itemized statement of payments and copy of Promissory Note. I was 18 yrs old at the time of loan, my mother is/was a widower. She signed as an endorser (responsible for payment if loan default). Well the loan did go in default but then again I have paid the loan in entirety through the years.They want their interest. How is this fair? No one ever attempted to collect any debt from my mother through the years. The Dept of Ed states their copy of the PN does not include an endorser. I requested this information from them 6 months ago and have yet to receive it. And if their PN shows different than mine, what is the discrepancy and what are my rights? What do I need to do?


As with all loans, the interest is paid first then principal. With defaults, you also have collection fees to as well. So what you owe is principal and interest. This is what you agreed to pay so yes, it is fair.

Your mom might have been a cosignor...but you are still the responsible party. They have no obligation to go after her if they are getting the funds from you.

FYI...you are not going to get an itemized statement of all your payments. Your loan would have originated as a FFELP loan. It is now in the hands of the Department of Ed. If you want record of the payments, you would have to request it from your individual holder. i.e...your original loan servicer, your FFELP garantor. Department of Ed would only have record of payments or offsets you made to them.


Submitted by SOAPLADY on Tue, 02/05/2013 - 04:30

SOAPLADY

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