How high can collection fees be on defaulted Perkins loan?
Date: Tue, 08/17/2010 - 07:00
How high can collection fees be on defaulted Perkins loan?
Hi,
I'm currently being sued by a university over a defaulted Perkins loan. The principal plus interest is around $8k, which I don't dispute. However, they're also asking for collection fees of about $7100. Is this kosher? I thought collection fees were limited to 25% of principal + interest. What is my recourse, if any?
I'm currently being sued by a university over a defaulted Perkins loan. The principal plus interest is around $8k, which I don't dispute. However, they're also asking for collection fees of about $7100. Is this kosher? I thought collection fees were limited to 25% of principal + interest. What is my recourse, if any?
Back when I was collecting, I used to see perkins fees as high a
Back when I was collecting, I used to see perkins fees as high as 50%, which was the cost of collections. They are working with smaller agencies and since the placements are smaller, fees higher. Could that include court and legal fees?
