Legal Question in Credit and Debt Law in New Jersey

My child signed a college loan 17 years ago for $1,000 and apparently had my signature and that of another person as co-signers. Never went more than 2 months and left. Now divorced with 4 kids and practically homeless. Ignored the loan - never paid anything on it. They are now hounding me for $10 thousand plus. This never came up in all 17 years ... I disputed it and they said they sent me a total of 5 letters in that time - I never recall receiving anything. I have bought cars, credit cards, etc and this only came to light when I purchased a second home out of state. College won't settle - says it is in collections! I would hope so after all this time. At first the college said $3500; collection agency said $5200; and now the "collection" agency wants over $10,000. College is in NC. What can I do?


Asked on 11/18/09, 12:27 pm

1 Answer from Attorneys
John Corbett Corbett Law Firm LLC

The debt is well past the limitations period. First, ask for written validation of the debt including a copy of the contract. If and when that comes tell the collection company that the debt is unenforceable and that you refuse to pay. The purpose of the validaton information is so that you can write to the original creditor to notify them that if there are any additional collection effort on this stale debt, you will name them in a FDCPA suit. That will probably cure the situation. Whatever you do, don't pay or promise to pay anything without speaking with a lawyer. Their letters to you would not change a thing, but your promise to pay might. See http://info.corbettlaw.net/olddebts.htm.

See also: http://info.corbettlaw.net/lawguru.htm

Read more
Answered on 11/23/09, 2:14 pm


Related Questions & Answers

More Credit, Debt and Collections Law questions and answers in New Jersey