Legal Question in Credit and Debt Law in Georgia

Bank took student loans

To be as specifically general as possible, I had a car loan through the bank I banked with. This account needs to be paid, however after numerous attempts to contact the bank to reach a settlement of some sort, I've been waiting for the collection letter. This weekend, I deposited my student loan money, which is supposed to be electronically debited to pay tuition on Monday. This bank took all of my student loans, plus money that was not in the bank at the time, to pay this account, which has not been settled, summaried, judged, etc. What are my legal options to recover this money?


Asked on 2/02/08, 9:51 am

1 Answer from Attorneys
Scott Riddle Law Office of Scott B. Riddle, LLC

Re: Bank took student loans

Reviewing your account agreements is the first step. You likely agreed to allow the bank to set off the debt with funds from other accounts. A bank will not generally need to discuss settlement with you prior to doing that. I don't know what you mean by "settled, summaried, judged"). Further, even if they did not have the rights under your contract, state law often allows creditors to set off debts.

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Answered on 2/02/08, 10:37 am


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