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I would like advice if anyone has heard of or been in this situation.
Around 10 years ago I made a huge mistake. I went to a university that I could not afford and ended up dropping out due to mental health issues.
I took out a 10k private student loan from the school. I avoided paying it back since I could not make payments on the loan, had around 6-8 other debts that I have paid off since then.
The reason why the issues with this loan came up again is because I applied to another university and I could not get my transcript from the school I owed this money to because they were basically holding my transcript hostage until I can pay the debt. I contacted the school a few times in order to settle the debt. They did not want to accept my offer and I was not able to get them to agree to a payment plan or settlement that I could afford.
They have sent to the debt to a collection agency at this point. I am not sure how to go forward. The collection agency does not even have my address because I have moved many times since then. No account has shown up on my credit report (I'm assuming cause the debt is too old).
I am not sure if I feel comfortable trying to settle with the collections agency as my repeated attempts to settle with the OC did not go well for me. I'd like to get rid of this debt for good. Any ideas?
I would like advice if anyone has heard of or been in this situation.
Around 10 years ago I made a huge mistake. I went to a university that I could not afford and ended up dropping out due to mental health issues.
I took out a 10k private student loan from the school. I avoided paying it back since I could not make payments on the loan, had around 6-8 other debts that I have paid off since then.
The reason why the issues with this loan came up again is because I applied to another university and I could not get my transcript from the school I owed this money to because they were basically holding my transcript hostage until I can pay the debt. I contacted the school a few times in order to settle the debt. They did not want to accept my offer and I was not able to get them to agree to a payment plan or settlement that I could afford.
They have sent to the debt to a collection agency at this point. I am not sure how to go forward. The collection agency does not even have my address because I have moved many times since then. No account has shown up on my credit report (I'm assuming cause the debt is too old).
I am not sure if I feel comfortable trying to settle with the collections agency as my repeated attempts to settle with the OC did not go well for me. I'd like to get rid of this debt for good. Any ideas?
You are going to be dealing with a collection agency one way or another, it is what happens when you fail to meet your obligations that you agreed too.
Start reading everything on this site, the CFPB is a governmental department with a-lot of info. You will also need to check your state law to see what it says about debt collections. Basically whatever way this turns out by ignoring the debt you have created more work and hassle for yourself.
This is a pretty common practice, and completely legal. How is your credit? It may be in your best interest to take out a personal loan and make payments to the bank, if that's an option.
At this point you really don't have any choice as to whether or not you deal with the collection agency. I would suggest that you keep communication lines open with both the collection agency and the university to make sure that your transcripts get released if and when you pay this off.
This is a pretty common practice, and completely legal. How is your credit? It may be in your best interest to take out a personal loan and make payments to the bank, if that's an option.
At this point you really don't have any choice as to whether or not you deal with the collection agency. I would suggest that you keep communication lines open with both the collection agency and the university to make sure that your transcripts get released if and when you pay this off.
Good luck.
My credit is above average but not spectacular. However, I did not even consider this as an option so thank you for suggesting that.
I could try to negotiate a settlement with the collection agency, take out a personal loan for that amount....
They have sent to the debt to a collection agency at this point. I am not sure how to go forward. The collection agency does not even have my address because I have moved many times since then. No account has shown up on my credit report (I'm assuming cause the debt is too old).
I am not sure if I feel comfortable trying to settle with the collections agency as my repeated attempts to settle with the OC did not go well for me. I'd like to get rid of this debt for good. Any ideas?
Depends on your exact state, but in most anything over 7 years old is technically gone for good (Statute Of Limitations - On Debt, By State | Bankrate.com). Sure they can try contacting you, but that's all they can do. It won't even go on your credit report, and you've stated that's it not as it shouldn't be.
Depends on your exact state, but in most anything over 7 years old is technically gone for good (Statute Of Limitations - On Debt, By State | Bankrate.com). Sure they can try contacting you, but that's all they can do. It won't even go on your credit report, and you've stated that's it not as it shouldn't be.
All true, but completely beside the point in this case.
Quote:
Originally Posted by citylover89
The reason why the issues with this loan came up again is because I applied to another university and I could not get my transcript from the school I owed this money to because they were basically holding my transcript hostage until I can pay the debt.
While they can't initiate a judgement if the SOL has past, it doesn't change the fact that the OP won't get the transcript until the debt is paid.
That's up to the OP, they said they'd "like to get rid of this debt for good". They've already tried dealing with the college, which apparently didn't care. After all, why would they? They've already been paid by the collections agency.
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