Speaking specifically to the Navient lawsuit, that doesn't involve you or any borrowers. Multiple state attorneys' general and the CFPB are suing Navient over their practices. If/when the case is over, there isn't going to be any forgiveness - just changes to their practices and likely some type of fine. And this will likely take years to resolve.
Last post by Jtruster12 - July 12, 2019, 12:44:36 pm
I spoke with a company today called Alum financial. They seem to be a legit company and the guy was very nice but I'm worried about it being a scam have you heard of this company? He told me navient is in a lawsuit and that why I'm eligible for forgiveness. I would really love for my loans to be forgave but I'm so scared of all these companies contacting me being scams.
I have $20,000 of very old Federal Student Loans that have long aged off of my credit report, but are being garnished from my wages. A Collections agency is constantly contacting me regarding the loans and I want to get rid of this problem, but fear taking the rehabilitation route as I think my payments would be too high due to my high income last year. Therefore, I'm wondering if offering to settle for a lower amount and payment in full is a doable and smart move.
Is it common for Collections Agencies to enter a settlement agreement on defaulted Federal Student Loans? If so, what can I expect and would entering such a settlement be a good idea? Would my credit remain unharmed? Or would a settlement put a new negative ding on my report?
Hello all, I am new to this board and hope you all can give me sound advice in my Student Loan repayment journey.
I have a scenario where I have very old defaulted Federal loans totaling about $20,000, that both defaulted and fell completely off of my credit report many years ago. A collections agency is handling the loans now, and have recently began to re-garnish my wages. I want to get this situation taken care of, but fear making payments via either rehabilitation, consolidation, or payment in full, will cause the negative trade lines to reappear on my credit report and cause my scores to plummet. Is this true? Will new payment activity trigger the loans (and associated negative trade lines) to reappear on my credit report for a new 7 year period?
What's my best course of action, with this scenario, to have the least impact on my scores? I can't afford to pay all the loans off in full, but I could manage to pay off a few of the smaller ones. Is any option better than the other in terms of maintaining a good credit score? Your assistance is greatly appreciated. I thank you in advance for your help.
It will not be pleasant, but once you default, you probably don't have to worry about a lawsuit for a year or so. You will be hounded by debt collectors, and see a lot of fees and collection costs added onto your loan.