How do you resolve a defaulted school loan that is held by a law office? Please helppp!!!!!!!!!!!?
Recently I found out I missed a loan that was suppose to be consolidated. That loan originally started off with the university, which then moved it to the collection agency, and then moved it a law office. I want to bring this out of default, but dont know how. The University says they have nothing to do with the loan anymore (and will not advise me in terms of what to do – actually wont even take my phone calls anymore), but any checks I send to the law office are made to the university. The collection agency says they have nothing to do with the any of the parties anymore. The law office says that they do not hold the office and instead act as an agent for Syracuse University. I spoke to the department of education and they say I can bring this out of default but have no idea who I should be dealing with. I really want to take care of this so I can get funding for grad school. Also, I spoke to the lawyer about bringing this out of default and he has no clue nor does he care.
Okay, a loan is in default. Where is this actually causing YOU pain???
Is it your credit report? If that’s the case you need to dispute it with the credit bureau, which will then in turn pass that dispute on to the last creditor of record. If there’s no response within 30 days, then it has to drop off your report. But removal from the credit report doesn’t stop the creditor from being able to sue you before the statute of limitations on the debt runs out.
Loans, utility accounts, and so forth get passed around quite a bit when the debts get so old. I’ve had this experience myself. Now here’s a scenario. If you can’t locate a creditor but know how much you owe, why not just put some money away, over time, in an interest bearing account somewhere? if the creditor comes forth either by contacting you or via the courts, then you have the money to pay them off with and be finished. If the creditor DOESN’T come forth before the statute of limitations runs out, then the debt is cancelled and the money is yours.
In the first situation (putting the money in an account), if you are sued, you actually have a better chance to have the claim dismissed and avoid a judgment being on your credit report for ten years, because you will ACTUALLY HAVE some money saved to bargain with. Matter of fact, the creditor may be willing to settle for less than the full amount of the debt. But this strategy works only as long as you save the money, and don’t touch it.
Whatever the case, if you pay ANY party on this debt, which has been travelling around, you need to get a “satisfaction of debt” notice IN WRITING and keep it around for a few years. It will keep you out of hot water later — i promise!!!
Best of luck.
