Someone PLEASE help me with my sallie mae private student loan that's

Private loans don't offer rehab. You better find a way to come up with the past due amount and fast.

The only way to resolve a private loan default is to pay it off in full. You cannot bring a defaulted loan current.....the default clause in your prom note states that upon default, you agree to pay the balance in full.

Can you give me some advice. I co-signed for a student from Kenya several years ago, but he stopped making payments on his student loan. I made about $4000 monthly at the time. I am now about 60 years old--we have lost our home in foreclosure, lost employment since last August, lost the car and on and on. We have now no savings, no stocks or bonds, or property of any kind, had to cancell meical insurance and sell our furniture to survive. My husband (not a co-signer) is in his 60's and just got a job in a restaurant, but we are told it may not last. SallieMae calls night and day, telling me what "dead-beats" we are and how we make society suffer, etc. because we refuse to pay. I told them I would gladly pay, if I could, but they tell me I am "refusing". I feel sick evrytime they call. They even want "relatives" phone numbers to ask them to "pay". What can I do...it almost makes me not want to live anymore. sv in florida

I have read on some other forums that Sallie Mae will offer settlements of defaulted account of 30 percent. I would tell them you want to settle, agree on an amount, have them send it to your in writing before paying anything. Also, if they do write off anything you are responsible for the tax and will get a 1099 at the end of the year unless you can prove you were insolvent at the time of the writeoff. Good luck...I would not pay the full amount especially with the amount of defaults right now, they are more likely to agree to a settlement.

Yes, Sallie Mae and the CA's working for them will settle on private loans, although the percentage is not fixed....settlements are done on a case by case basis.

I am not yet in default but I have not paid them for a while I had defered then basically lost a job yada yada. Is there a way to settle with them now? I tried to go into a payment plan with them but for 10k to turn into 21K ant hen 40k at the end of the loan in 2021 that is simple rediculous to pay 40K for a 10K loan even if it took 12 years. Are there alternatives?
I feel like these people are thieves and capitolizing on the people that can't repay. Granted there are those who don't want to repay but to tack on 300 %. I am not looking for a free way out but a more resonable way than what they offered me. HELP!

Is this a private or federal loan?

Yes it is . Original loan amount was for 10K now ballance is 21.7K and if i take thier repayment option the payments are affordable but term ends in 2021. 12 Years!... Yikes that totals out to be 40.6K.
I am wonderign if there is a another alternative to have the ballance reduced or if I can't then what should I do?

What type of loan is it?? Federal or private??

Oops It is a Private loan

Are you sure?? Just re-reading this you said you hadnt paid in awhile due to deferment. Private loans do not have this option or at least very limited...like 6 months to 1 year max. Plus they do not offer a vast array of payment plans.

Either way, you wont have your balance reduced. If you default, you can get a settlement but generally they settle off only on the collection fees that are applied on top. The only way to reduce your costs is to pay it down fast.

Yes it is a Private loan the deferments were for 6 months at a time and i went through 2 of them. My issue is not to get out without paying for this debt but to pay for the original interest amount plus the original principal. They told me that the reason my loan is now 21.7K from 10K is because they have capitolized my loans and all the acruing interest has already been added to it. They do this every quarter and on and on so my loan is now double ehat I started with and if i take thier offer of 284/mo until 2021 then i would have paid 40.6K there must be a way to buy out only the original balance of the loan and pay for the fees without having to pay the full capitolized amount.

Unfortunately this is how private loans work and you are stuck with it. You agreed to capitalization in your prom note. Again to avoid paying $40k, pay down the loan as quickly as possible. I know serveral people who work a second job just to pay down there private loans.

I currently have a Sallie Mae loan for the amount of 50,000 and It is set to default this week. I am currently unemployed and have absolutely way to make payments or pay for the forebearance. I am stuck in a very bad position and was wondering what the most extremeconsequence of defaulting on the loan would be and what options I have to settle it.

Must be private since you have to pay for deferment. Unfortunately defaulting on these loans are not good. They will pursue you and any cosignors and they will take out a judgement. Then they can garnish wages and seize bank accounts.

If it is a private loan balance in full is due, it doesnt take long before it is sent to lawfirm and you are taken to court at which you are respondsible for any interest and attorney fees and they will subrogate.
If federal contact the collection agency and set up repayment in the Federal Rehabilitaton Program. Worst case scenario on a federal loan if you havent had income or below the federal minimum you can consolidate the loan through Direct Loans w. the DOE which is income contingent

Okay...so I have principle debt= $87,000, capitalized now debt is $136K...in private loans...
This is spread over 5 loans.
My parents have cosigned 2 of them.
So my question is, I'm having a very hard time finding professional employment (I know everyone is..).
I'm working at Whole Foods making $10...
I've been able to put my loans into forebearance ..but they are really insisting that I start paying, but the "lowest-apparently" they can make my monthly payments is $963 A MONTH..
I hardly even make that much..
I can't afford it at all, my rent alone is $550 a month, and that doesnt include all other expenses....
Any ideas??
Please help!
I live in Boston, Ma, went to school for animation/illustration...

Thank you!
Any help is appreciated!

If you dont make the payments, you will default. With your balance, they will sue you and your parents....quickly.

This is just how private loans work.....they are not that much different to normal consumer loans.

And also with private loans, using up your forebearance right away really hurts because most private loans only offer a certain amount of time (generally 12 months for the life of the loan) and once those are used up, you have to pay or you're screwed.

...I understand..
But maybe I don't.
Is it really that black and white though??
I mean, if I'm not even making that much a month, how can I pay it??
Are there any organizations that can help me?
Anything??

I appreciate all your advice!

There are no organizations to help with private loans...they are just like normal consumer loans in that respect. All you can do is increase your income by working a second job. Or getting your parents to help pay as they are part of it now too.

Some of my friends have mentioned that if I call Sallie mae, and tell them I can only afford to pay $____ a month, like $100..something is better than nothing.
They tell me that lenders are usually good about this?
Is that true?
Because I'm under the impression that if I send $100 and tell them that's all I can afford to send, they'll say, you still owe $863...

My friends seem to be pretty sure -because they've done this..
Are you familiar with this?
(these are private student loans)

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leave the country

Really smart advise...they cant afford to pay their student loan, so how are they going to afford to immigrate to another country.

The private student loan industry has become quite unfair for the consumer. I am certain that in time, the tides will change, offering more protections for the consumer, such as allowing the automatic discharge of private student loans in bankruptcy. I say the heck with it, do not pay the private loan sharks if you feel you have been treated unfairly. Let them ruin your credit and rack up the unfair late fees. Hopefully, sometime in the near future, you can claim bankruptcy and in time your credit score will improve.

Why are they unfair? They are offering loans to people with little to no credit, with no job, that they do not have to pay back right away. Nobody forces anyone to take a private loan....or to go to school for that matter. There are there to bridge a gap for some.

There are now very few lenders left in the private loan industry.

The reason why there are now very few lenders left in the private loan industry, is because of the liability. Eventually, much needed consumer protections will be enacted, turning the tide against the private loan sharks. EOM.

you put the consumer protections is place and all the remaining lenders will fold up. Then what will people do?

Again higher education is not a right but a privilege. People choose to go take on these debts...nobody forces anyone to borrow. Options are working your way thru school or going part time. Or attending an affordable school. Interest on private loans are credit based and range for 3-16%...hardly loan shark rates. Funny thing is I see people taking $30k out at high interest rates for car loans but bitch and default on their private school loans....the loans that got them an educatiton for life. A car maybe lasts 10 years???

I agree, an education is a good investment.

However, the powers that have been granted to the private student loan industry are unfair to say the least. Over and over again, I read of horror stories on this and other blogs. For instance, if one becomes permanently disabled, Federal loans can be discharged or forgiven through a formal process outside of bankruptcy. For those that become permanently disabled and have private student loans, besides of an expensive adversary proceeding in bankruptcy, there are no such provisions for loan discharge or forgiveness.

Basic consumer protections are needed, especially with the private student loan industry, EOM.

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I have 3 individual private student loans (Tuition Answer Loans) from Sallie Mae totalling approx. $26K (not including interest). I was laid-off at the end of May 2008 and I have been on unemployment since August 2008. Sallie Mae got wind that I had dropped below half-time status in the spring of 2009 and began demanding payments on my first loan. I spent approx. 3 months trying to negotiate some sort of payment deferral arrangement with them due to financial hardship, but they were always unwaveringly unsympathetic. According to the Sallie Mae reps, my type of loan did not qualify for extended deferral nor for a forbearance. At one point I asked the supposed supervisor I was on the phone with "So, I have no other options available to me? I'm just screwed?" and her response was "Yes". Several months later, Sallie Mae sent me a letter stating that they had reviewed my account and that I may qualify for a forbearance. Of course, I would have to pay the $50 processing fee before they would tell me whether I qualified or not, and the forbearance only covered a 6 month period - which by that point had already passed! So my forbearance would only cover the 6 months I was already in arrears and the terms of the forbearance stated that I would have to start making payments immediately after my forbearance ends - which of course I couldn't do because I am still unemployed. Now they are stating that my loan will go into default if they don't receive the full $13K of the first loan by 9/25/09. I am still unemployed, I have no immediate prospects for employment, and no means to pay this loan. The whole reason I'm not in school right now (and for the past year and a half) is because I lost my job and couldn't get another one due to the recession. And I couldn't qualify for any more student loans and I couldn't afford to pay for school myself because I'm unemployed.

I am 40 years old and I have been working steadily since I was 16 and, in all that time, I have never been unemployed longer than 3 months at a time. I am not a "deadbeat". I have also had federal student loans before (in my 20's) and I paid them all off. But, right now, I am between a rock and a hard place. And the prospect of possible future wage garnishment is entirely unacceptable to me.

Is there no federal agency that provides oversight to Sallie Mae that I could contact to get these wolves off my back? Should I contact an attorney? My Congressional representative? I need advice of some sort other than "just find some way to pay them in full". If I can't afford payments, I sure as heck can't afford to pay them in full!

I work with one of the online colleges in their financial aid department, so I do know a bit about the different types of student loans. If you have any subsidized or unsubsidized Stafford Loans, they can be deferred for a year. The private school loans do not offer those advantages. I do believe that the people you spoke with were sincere.

You mentioned that you cannot afford to go back to school. Unfortunately, until all of your Stafford loans are in good standing (do a web search for the website: National School Loans Database Systems--where you can check the status of your loans) you will not qualify for Federal Student Aid (so don't waste your time filling out a FAFSA). I really hate being the bearer of bad news, but I believe that it is better to be informed than surprised later on.

As an independent first year student you are entitled to a combination of subsidized and unsubsidized loans of up to $9,500 per academic yr. Second year independent- $10,500. Each year it continues to increase. For the master's degree and up levels, there is no longer eligibility for PELL grants. Instead you are eligible for up to $20,500 per academic year.

Recently there were some changes that took effect this summer. Some lenders, such as Sallie Mae, made some changes. You'll want to do some serious research on MPNs (Master Promissory Notes). So that you'll be armed with plenty of information to

Check out the www.FAFSA.ed.gov website for more information. There are also ways to eliminate student loans. For this I'd refer you to an attorney. In today's economy, it might be an option to consider. If you are considering this option, please do some additional research to see if you would ever be eligible for financial aid again. If things are really bad, you just might want to wipe the slate clean. Also another resource would be the DOE (Department of Education, located in Iowa City, IA). You might also consider making small (anything over a dollar) payments on these accounts. It shows that you are making an effort and maybe after time they will work with you. Good luck!

SoapLady works for Sallie Mae!

Don't pay the crooks. And don't trust the anyfurther than you can trhow them. Neverever talk to them on the telephone. Write them letters and demand written replies.

For crying out loud, we are saving people who borrowed 200% more than their annual incomes for house they could not afford. But people who made the mistake of borrowing money that they needed to go to school are left to suffer under the tyrany of the monster called Sallie Mae, sometimes for years, ofter paying something like 300% or more of the amount they borrowed.

Write to your congressmen. Write to your senator. Email the White House. Demand that this monster be stripped of the unparralled power it has to destroy lives and futures. Our taxes have been used to propel this monster to staggering profits as it has been paid in full for the many loans that it put in defualy and still it squeezes the life out of those within it's clutches. It is pumped up with the steriod like abilities of being able to collect debt via powers that NO other kind of lender (in any setting) has.

You must act to keep this monster from growing more influential and making those ruthless hogs that run it richer still. Do not let them intimidate, scare or shame you. Stand-up and tell the people who you have sent to Washington that Sallie Mae must be stopped!

I am unemployed and my student loans was went to salie mae collections,But I want to know what are my options until I recieve a full time job?

Are these private or federal loans? Have they defaulted?

yes they will do all of those things. iam dealing with them aswell.. just make payments of most amount that you can every month.. to show at lest you tryed.. even if you go to court it will show you had good faith in paying an amount that you didnt even have.. Close all accts

Showing that you 'tried" will not prevent a judgement going thru. If you are not paying as agreed, you are in breech of contract.

soap lady is a troll for sallie mae

Please....I havent work in the student loan industry for 7 years plus I really don't think Sallie Mae has thought about putting an office in Naples Florida.

I would think about bankruptcy. Look at trying to get a settlement and borrowing money from your parents to settle your loans.

Personal attacks are not permitted here. Understand? - Uncle Wulf

you need to start by calling SLM and discussing options. They are not all as mean as Soplady.

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I have a private loan for Salliemae and I have been trying to get some kind of documentation showing that I aggreed to any of this!! I originally borrowed 3500, now they are saying that I owe 6500!! wow! I ask for a settlement, Nope, No settlements can be made on private loans they say....yes, I have called various times, I have been hung up on so many times it's hard to count....I feel I keep making payments and every month when I get my bill it's way higher than the previous month, and yes, I do understand interest but good grief, I just want to be finished with Salliemae...What can I do? Oh and by the way I finally got the prom agg. in, NO SIGNATURES ANYWHERE, they didn't even send me what I ask for. And the said they wont talk to me unless my account is current. whew!!!

I have a private loan for Salliemae and I have been trying to get some kind of documentation showing that I aggreed to any of this!! I originally borrowed 3500, now they are saying that I owe 6500!! wow! I ask for a settlement, Nope, No settlements can be made on private loans they say....yes, I have called various times, I have been hung up on so many times it's hard to count....I feel I keep making payments and every month when I get my bill it's way higher than the previous month, and yes, I do understand interest but good grief, I just want to be finished with Salliemae...What can I do? Oh and by the way I finally got the prom agg. in, NO SIGNATURES ANYWHERE, they didn't even send me what I ask for. And the said they wont talk to me unless my account is current. whew!!!

What about if your student loans are Federal with Sallie Mae, i.e subsidized and unsubsidized? I have one of each. Can one settle on these if you default?

If your loans are currently with sallie mae, you are not in defaullt. Federal loans are in default when the guarantor pays the claim, thus the loan is no longer with sallie mae.

Defaulted lloans will settle, but not like other debts. They usually will only waive a portion of the collection fees and you will receive a 1099 for anything over $600 waived.