Legal Question in Credit and Debt Law in California

Past Student Load

Dear Sir/Madam,

I'm inquiring about my rights in regards to a collection agency attempting to collect a past student loan. I currently live in Georgia and received the call at work, is that legal. The collection rep was trying to gather information over the phone. What are my options in regards to making an settlement offer? I would like to settle for the original amount of the loan which was approx. $600.00 back in 1984, but now they want over $4000.00.The rep.said that they won't settle for less than that. I know this doesn't matter but I'm a single person living on a limited income, so the demand for over 4k isn't doable. What are the statute of limitations? What happens if I refuse to pay anything? If I make an offer and they refuse it, than what are my rights? Help me please.

Thanks,

Ella


Asked on 10/13/06, 1:26 pm

2 Answers from Attorneys
Scott Riddle Law Office of Scott B. Riddle, LLC

Re: Past Student Load

It is legal for them to call you at work, though you can tell them to not do so. There is generally no statute of limitations for student loans. You cannot force them to settle, and they can file suit, get a judgment, garnish wages and bank accounts.

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Answered on 10/13/06, 1:33 pm
Robert Mccoy Law Office Of Robert McCoy

Re: Past Student Load

There is no statute of limitations only if the loan is government guaranteed and only if the loan has been turned over to the Student Aid Commission for enforcement. You may file a chapter 13 bankruptcy. You could pay back the loan in installments over the next 5 years and stop interest from accruing.

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Answered on 10/13/06, 4:59 pm


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