Settling a private student loan (Dear SoapLady)
Date: Fri, 02/19/2010 - 13:41
Settling a private student loan (Dear SoapLady)
Hey there, long time lurker, first time poster. If it weren't for this forum I don't think I would have ever found the motivation and information to finally get my debts worked out. Anyway, here is my situation...
I have 3 student loans total, 2 federal loans (1 unsub stafford, 1 sub stafford), which I have applied for consolidation through Direct Loans. If that goes through, I will be able to manage that.
The third loan is a private student loan, that I honestly had no idea about until a week ago. The original loan was in the amount of $4,800, and it defaulted in 2003. The interest on the loan is currently $2,295. The total for that plus collection fees is now $10,677.83. To bring it current, and out of collections, they're asking $6,2091.43. The first settlement offer is $9,005. How low do you think I can actually get them to settle for?
I'm hoping that SoapLady will bless me with her wisdom here.
Thanks,
Cookie
I have 3 student loans total, 2 federal loans (1 unsub stafford, 1 sub stafford), which I have applied for consolidation through Direct Loans. If that goes through, I will be able to manage that.
The third loan is a private student loan, that I honestly had no idea about until a week ago. The original loan was in the amount of $4,800, and it defaulted in 2003. The interest on the loan is currently $2,295. The total for that plus collection fees is now $10,677.83. To bring it current, and out of collections, they're asking $6,2091.43. The first settlement offer is $9,005. How low do you think I can actually get them to settle for?
I'm hoping that SoapLady will bless me with her wisdom here.
Thanks,
Cookie
SOAPLADY is defo your best bet for an exact answer Signature L
SOAPLADY is defo your best bet for an exact answer
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Quote:Originally Posted by CookieHey there, long time lurker, fi
Quote:
Originally Posted by Cookie Hey there, long time lurker, first time poster. If it weren't for this forum I don't think I would have ever found the motivation and information to finally get my debts worked out. Anyway, here is my situation... I have 3 student loans total, 2 federal loans (1 unsub stafford, 1 sub stafford), which I have applied for consolidation through Direct Loans. If that goes through, I will be able to manage that. The third loan is a private student loan, that I honestly had no idea about until a week ago. The original loan was in the amount of $4,800, and it defaulted in 2003. The interest on the loan is currently $2,295. The total for that plus collection fees is now $10,677.83. To bring it current, and out of collections, they're asking $6,2091.43. The first settlement offer is $9,005. How low do you think I can actually get them to settle for? I'm hoping that SoapLady will bless me with her wisdom here. Thanks, Cookie |
Unless you are in garnishment, there is no reason why your Direct Loan wont go thru.
As for the private loan, you are settling it...you are not bringing it current and out of collections. Huge difference. And that is an excellent settlement. However you must keep in mind that you will be 1099'd on the settled portion next year.
