Legal Question in Credit and Debt Law in California

I made a stupid decision to take out a student loan and forge a cosigner. I was convicted of id theft and have had that expunged. The co signer was released from the loan, and Im still responsible for it. My life is completely different now, and I'd like to begin repayment.

Most lenders will default the loan as a result of identity theft and then file a claim with the loan guarantor to pay it. Then the guarantor can sue you. After trying to set up a payment plan with the loan servicer, they denied allowing me to make a payment. They are reporting the loan as current to the CRA's.

I found out the loan guarantor filed bankruptcy and I think they can't pay it. I think this is why the loan servicer is not defaulting it. I want to avoid default and pay it back. The loan is accruing interest. What can I do? Is this legal? Its been 5 years


Asked on 1/25/12, 6:42 pm

1 Answer from Attorneys
Scott Jordan Jordan Law Office

This is a difficult question since the loan servicer appears not to want to accept payment.

I suggest you continue to talk with the loan servicer and request a repayment plan. Was their a repayment plan included in the original loan documents? If so, make the payments according to that plan. If the checks are sent back, keep them and any paperwork sent to you. If the loan servicer sues you, you will then have evidence you tried to pay them back.

If all else fails, you could file for Chapter 13 bankruptcy and force them to accept payments.

Good luck!

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Answered on 1/26/12, 8:30 am


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