Co-signer on student loan

Private loans are not federally insured....that is why the DOE doesnt have you on file. There is also no disability discharge for these types of loans.

Word of advice.....these accounts do sue....

Thank you ,

I have been told that some of federally backed? So what about the statue of limitation?
Please advise.

:confused: One other thing is that it shows on credit report : filed with Government? That is what makes me think that this is backed by federal.

Thank you again

Who told you were federally backed??

Federal student loans do not require cosignors.....that is what tells me it is private loan.

As for the report time, there are limited comment lines for student loans in default. Filed with government is a generic comment.

Thank You again,

Does this loan meet the stature of Limitations in California? I believe that California is 4 yrs and I would also like to know if you could file Bankruptcy on these. I don't wish to do this because my credit is real good besides this loan , I always pay and wanted to keep my good credit. This amount with the interest is just to much money for me to make arrangments .

Has the other party been paying on these loans??? When was the date of the last payment? They generally sue on these accounts before the SOL has run out.

Thank you again,

The party has not been paying on this loan and my credit report has the last day of activity as July 2008. As far as I know this was the last date .

SOL on prom notes is 4 years so it is not out of SOL.

Student loans are non dischargable in bankruptcy unless you can show undue hardship. If you credit is good and you pay all your bills on time, you may not be able to prove that.

Ok , so this is a Prom note then? I know the 4 yrs r not up now , but it does fall under the SOL rules for this type? I'm sorry to ask so many questions as I don't have the original papers and can only go by my credit report.

Pay the bill the will settle put it on a cc and then file bankruptcy

As a general rule, you cannot pay for a settlement via a credit card due to this very reason. The credit card companies dont mind monthly payments, but they cracked down on larger payments years ago. It is called fraud or credit card abuse...plus most people dont have the available credit to pay these balances.

:confused: Still trying to find out if this will fall under the SOL? Once the 4 yrs r UP? Please advise.


Thank you for all your help ,
Nikki

As of 2005, there is no stat. limits on private or federal student loans regardless of what state you live in. You also cannot discharge them in bankruptcy court. either. The best thing that anyone can do is take a second job to get rid of the private ones. Private student loans are a nasty form of debt and balloon in principal very quickly if they were in forbearance while in school. Mine went from 8,000 to 29,000 very quickly. I tell people to stay far away from these if you can.. if you can’t then work a part time job and make payments on them while in school to prevent the principal from growing.

Another site reads that if it is not a private with a nonprofit ties. I wonder what is true and what is not.

Statutue of Limitations on private loans is somewhat grey.....my understanding is that if the loan was guaranteed by a non profit entity then it is non dischargeable. AES is non profit as was/is National Colligiate Trust. Most lenders however gotten into the habit of suing before the SOL runs out just to cover their butts...it is very rare that any will let the SOL run out.

Thank you again for all of your knowledge, it does sound like they certainly have their bases covered. I am not curtainlly working but do own my resideance and fear they will lien this. With the ever increasing interest of this not being paid there will be no equality left if I need to move. What about homesteading? Is there any protection for me as a cosigner ? Will I never get out of this? I am not able to pay and payed my other bills off with a divorce settlement. This was not late @ the time and was being paid.

I also would like to know if there is anything that could be done or help for a cosigner? I know that people need to pay their bills and that these company's would not stay in business long if they loaned out money and never got paid, but this increasing interest really seams crocked and have read many of stories about 15,000 dollar loan turning into 80,000 ? With this interest racking on this way if u r late then the amount gets to high to even start on a payment schedule. Again I live in California , is there anything I can do to get myself off of this loan?

Can u file any kind of disabled hardship on either of these like the government does or file bankruptcy under a disability to clear this off my record. I understand they can not garnish my wage as I'm not working but I am worried that they will lien property.

Similarly, your loan can be discharged in the event that you become disabled. Permanent physical disability that prevents you from earning a living will qualify you for loan cancellation. Your loan provider can assist you in the qualification process for any exceptions of this manner. I found this also on a website and it was not listed as government only but also private . Do you know if this is true? It does state physical because I was reading about a woman that tried to claim mental illness and they rejected her . My Disability is physical and not mental .

These are the risks you take when you sign for these loans....if they get a judgment, your home will end up with a lien on it.

Who was the student for this account? You havenet mentioned them. Why are they not figuring out how to get you out of this mess???

I don't think it matters much who I singed for does it? This loan nes/ and their subs are not working with many of their borrows . There is over a million complains filed, is what I have read and one blog states their attorney looked over their statements and called them crooks. She is even filing a class action suit.

My daughter has the same loan and she has paid faithfully for over 5 years ( not the one I signed for) and her loan only went down 600. dollars. They do have deceptive practives and I don't believe for one minute that this is not true.

Yes, people need to be responsible when applying or cosigning on a loan but who is overseeing the lenders dirty practices. As one person wrote earlier: that many of these loans are not even used for school and lenders don't care simply because their guaranteed. If they weren't they would have half way decent lending guidelines.

How are their practices deceptive? You signed a prom note which outlines all the terms. The agreement is pretty straight forward. It is a loan. As for your daughter, it all comes down to simple math...if you dont pay more than the interest, your balance is not going to go down. And as a general rule, you have to have unmet need for a school to sign off on a private student loan,. What the student does with the money once they get it is up to them....yeah some do abuse it but they are the ones who scream loudest when repayment time comes around.

Thank you SOAPLADY, I have learned a lot from you and appreciate your advice . These loans are different from any other loan and some things were not that clear. I will not sign again for anyone .

Private student loans are no different than any other consumer loan except for the in school deferment

What concerns me and why I say they are different then all other loans is that they constantly accumulate interest with no cap on this . I have read blogs of people borrowing 15,000 and owing 80,000 now regular loans or any loan that I have ever had does not do this.

THey are NO different to any other consumer loan. If you do not pay, your interest accrues. EVERY consumer loan will accrue interest without a cap it you are not paying. I dont know of ANY consumer or student loan that caps interest. Why should they? The only difference in student loans is that a) they do not require collateral and b) you do not have to pay while you are in school.

Blogs will not educate you student loans for the most part. Most of the people

I am in a similar situation where my husband has the same loan with AES and now it is showing up as National Collegiate Trust on his credit report. He is going to file bankruptcy and I just wanted to confirm that this loan can not be included in the bankruptcy. Please advise. Thanks!