Who to turn to for correct info?
Date: Wed, 02/18/2009 - 08:44
Who to turn to for correct info?
A few ?'s:
1. The interest rate on the note is NOT the interest that DOE has me paying - how do I look into this? Thru the CA (I hope not!) The Prom. Note, the NSLD, the FSA letter and the CA all have different amaounts of interest due - some say I have a variable, some say I have a fixed. The Prom. Note does not say anything about fixed or variable.
2. The FSA letter said that I am responsible for collection costs as noted in the Promissory Note that I signed (and per the HEA 1998 blah blah). There is NOTHING in/on/over/under my Prom. Note that notes I agree to (usury) collection costs - NOTHING at all.
While 25% collection fees are possible, is there some way to avoid that, esp. if the CA does nothing but collect the $$? You know, like there was no need to skip-trace, spend hours and months on tracking me down....
3. My original note was $18,880 and the amount due is $23,003 plus 11,000 interest. Within the past, I paid over $9500.00 on this loan. Can you help me figure out why there is a zero reduction in any of this!?
Thanks again
1. Your interest varies depending on what year your borrowed it
1. Your interest varies depending on what year your borrowed it, thus if you have multiple loans you could have multiple rates. http://www.finaid.org/loans/historicalrates.phtml
This chart can help although the CA should be able to get to an interest rate breakdown.
2. It most definately says in the prom note or loan disclosure statement that you are responsible for all collection costs applicable by law.
The CA doesnt charge the collection fees...they are assessed by your guarantor at 60 days post default. The CA only earns about 9% on whatever is collected while they hold the loan. It is the cost of defaulting.
3. Without dates, amounts and interest rates there is no way to figure out what you are asking. Also with a note of $18.8k it sounds like you did a consolidation loan. However with accrued and capitalized interest, the balance adds up fast.
