Not exact matches
A
collection agency, whether through the US government or
private lender, won't usually settle a defaulted
student loan debt if it's less than the amount that the lender is likely to receive over the life of the original
loan — so negotiation is essential during settlement talks.
With
private student loans you may either settle them for a fraction of what's owed, or you may fight the
debt collection company by challenging their legal authority to collect on your alleged
debts.
Debt validation for third - party
collection agency
private student loan accounts is a common approach.
Private student loan debt settlement options are available, however it is more efficient to first challenge the legal authority of a
collection agency's right to collect on a
debt prior to just settling, similar to if you were to get a speeding ticket, often consumers hire an attorney to fight the ticket and get it dismissed.
You fell behind on your
private student loan payments (by more than 90 - days); to the point where your
private student loan account was «written off» and sold to a third - party
debt collection company (where the bank — and whoever else is involved — can now remove the account from their balance sheet).
Finally, enough
students actually attended court, opening the eyes» of enough judges where they are now seeing that there's a national epidemic of illegal
collection activity on
private student loan debt.
As explained in this post, your
private student loans start out one place but end up — who knows where... There is NO paper trail following the history of a
private student loan, so do you expect the
debt collection company to validate the
debt once challenged?
My credit is horrible and im in default for 53,000 in
private student loans plus 20,000 in
collection debt...
During that time period, the Bureau handled about 7,700
private student loan complaints, and 2,300
debt collection complaints related to
private and federal
student loans.
Why settle a
debt, where the
collection marks will stay on your credit report, before first using
debt validation for
private student loan third - party
debt collection accounts.
With so many people unable to pay off their
student loan debt, the federal government has hired
private debt collection companies to go after those with delinquent
student loan debts.
The Bureau already supervises
private student loan origination and
debt collection practices.
When you fall behind on
private student loan payments, within about 4 - 6 months the bank will write the
debt off and sell it to a third - party
collection company.
There are programs available for all types of unsecured
debt including medical bills,
private and federal
student loans, third - party
debt collection accounts and credit card
debt.
If you defaulted on
student loans that you took out from a private lender, such as Sallie Mae, Navient, National Collegiate Student Loan Trust, then they will use their vast debt collection resources and teams of attorneys to sue you to collect th
student loans that you took out from a
private lender, such as Sallie Mae, Navient, National Collegiate
Student Loan Trust, then they will use their vast debt collection resources and teams of attorneys to sue you to collect th
Student Loan Trust, then they will use their vast
debt collection resources and teams of attorneys to sue you to collect the
debt.
A federal
student loan enters default when a borrower fails to make a payment on it for 270 consecutive days.9 When this happens, the borrower's
loan is transferred from the
student loan servicer — a
private contractor responsible for collecting payments on behalf of the federal government — to the
Debt Management
Collections System.10 Borrowers then have 60 days to come to a repayment arrangement with the Education Department.
Once a
student loan is in default, that is when
debt collectors will start being more aggressive with
collection efforts and threaten to do things such as garnish your wages, intercept your tax refund or possibly even sue you (for
private student loans) for not making your
student loan payments.
Make sure that before you pay a third - party
debt collection account, including
private student loans and credit card
debt, that you first use
debt validation to challenge its validity.