School Closed Trying to get Refund Sallie Mae
Date: Sat, 07/22/2006 - 10:22
School Closed Trying to get Refund Sallie Mae
My son started a computer training school. School closed after 6weeks. They said students had to attend class 1 hour away or do self study. Both were impossible. Loanis 10,000..and of course going up daily. Grandfather cosigned and we are making 200 a mo payments. Any way to get refund or are we stuck?
Thanks in advance,
Kris
There is a whole forum on here devoted to Student Loans---check
There is a whole forum on here devoted to Student Loans---check it out.
I think you are in it. That is a tough question. Maybe Ari
I think you are in it.
That is a tough question. Maybe Ari will know.
Kris, did you get the loan amount credited in your bank account
Kris, did you get the loan amount credited in your bank account or it was disbursed to the institution directly? If you discontinue your training, you should inform your school and perform the required procedures. When did all these happen?
Polly is right; Ari might help you with this. She is familiar with student loan industry.
I am not sure if you are sayine your son STARTED(create) a schoo
I am not sure if you are sayine your son STARTED(create) a school or that he attended one that closed. Anyhow if he attended than this pertains to him otherwise if he got a loan to start a school and the school closed then he would need to approach the loan as he would any other debt
The loan can be discharged if you were enrolled when the school closed and couldn't complete the program because of the closure. If you were on an approved leave of absence, you are considered to have been enrolled at the school. If your school closed within 90 days after you withdrew, you are also considered eligible for the discharge. However, your loan cannot be cancelled because of personal circumstances that caused you to withdraw more than 90 days before the school closed.
also here is some other discharge information regarding student loans
Discharge/Cancellation
It's possible to have your student loan debt discharged (canceled) or reduced, but only under certain specific circumstances:
You die or become totally and permanently disabled.
Your school closed before you could complete your program.
For FFEL and Direct Stafford Loans only: Your school owes your lender a refund, forged your signature on a promissory note, or certified your loan even though you didn't have the ability to benefit from the coursework.
You work in certain designated public school service professions (including teaching in a low-income school).
You file for bankruptcy. (This cancellation is rare and occurs only if a bankruptcy court rules that repayment would cause undue hardship.)