04-12-2013 04:59 AM
I posted this in the student loans forum but didn't get any feedback yet. Just wondered what my fellow rebuilders think...
Ok so here's the deal...
I filed Chapter 13 in 2007. My loans went into default 1/2009. I didn't even know until like last year that they were in default. At any rate I've been fighting and fighting to get Nelnet to repurchase the loans since I was in the 13 at the time they defaulted my loans. NONE of my efforts were successful.
So....today my DH goes to get the mail and there are two repurchase letters from NelNet. Starting off in all caps GOOD NEWS! So while I wanted to be excited I was thinking how is this possible when they kept telling me NO, NO NO. I called them up to verify the validity of letters and they were ma'am your new loans haven't hit our systems yet. Give it 7 - 10 biz days. I'm like I don't have 7 - 10 biz days. If you are in fact repurchasing my loans I need to cancel the Direct Consolidation I did to get them out of default status. They reviewed notes and didn't really see anything that indicated my loans went through the process necessary to have them repurchased. However, they kept saying well if you got the letter it must mean they are repurchased.
Then she looks and sees I called in 4/3/2013 inquiring yet again about the possibility of them repurchasing the loans. The rep basically said, I can send you some forms to fill out, give me a sec while I find them. I'm thinking this guy generated repurchase letters instead of sending me forms.
This is so darn unfair...I wish they had to abide by the letter by the mere fact they sent it to me. They said they'd investigate and get back to me....
04-12-2013 07:35 AM
I saw this, but to be honest it's a little hard to know what to do until Nelnet comes back with an answer. Also, neither this particular forum nor the SL forum is adept at the ins & outs of student loans and bankruptcy. We know they're generally not dischargeable, of course, but in terms of the automatic stay on collection activity the real experts are likely in the Bankruptcy forums.
I can tell you that my experience, the student loan system is a bureaucratic nightmare, with different policies by different lenders complicating things. It's a baroque mess at the best of times. Keep us posted; I'd love to hear when you get a good outcome. My fingers crossed for you, and I wish you luck.
04-12-2013 07:52 AM
Thanks a ton - I kind of figured no one was responding because I'm almost positive this is not a common occurrence. It just seems if they put something in writing, error or not they should have to honor. More importantly, I need something definitive so I know what to do about this consolidation. We shall see. I will defefinitely keep you guys posted.
04-12-2013 08:03 AM
You do have a rare situation. And honestly, dealing with the student loan folks can be maddening. Case in point: I got a call last week from someone looking to set up a payment plan, on a loan I already rehabbed. Apparently the paperwork got sent to the wrong department, and thank heavens I knew that I did not have another separate debt, because the agent INSISTED that this was not a student loan, it was my student loan plus some tuition mixed, and I hadn't rehabbed anything as far as she knew. I had to escalate the call three times before someone was able to confirm that yes, there had been an error. Best part? "Well, if your rehab paperwork's been messed up, we can just set up another payment plan and you can pay it off through us." Um, no. I entered into an agreement, and y'all need to honor that or I swear I will be calling every consumer advocate I can find to holler about this.
Long story short - they have no idea what they're doing sometimes. And frankly, I have to wonder if you couldn't make the argument that the loans should have never gone into default in the first place while your Ch13 was brewing....but I'm not versed in bankruptcy, so I can't answer that one.
04-12-2013 08:08 AM
InvincibleSummer3 - my original argument was the fact that they should have never gone into default. That's why I was fighting for the repurchase. But every phone call I've made they said no dice. So when I got this letter, I was like ok....did it work or is this a mistake. I'm gonna be making more calls today. I'll keep you all posted.
04-12-2013 08:13 AM
Who did you talk to? If I were in your shoes, I would ask for a supervisor. Often, the front-line CSR's are not versed in the intricacies. You also might try written communication if you haven't already. There's a special address on their website for any issues related to bankruptcy claims. Might be worth a shot.
04-12-2013 03:53 PM
Talk with them today. It sounded like good news but want to see it happen first. Will update when I know more.
Forums posts are not provided or commissioned by FICO. Forums posts have not been reviewed, approved or otherwise endorsed by FICO. It is not FICO's responsibility to ensure all posts and/or questions are answered.Advertiser Disclosure: The listings that appear on myFICO are from companies from which myFICO receives compensation, which may impact how and where products appear on myFICO (including, for example, the order in which they appear). myFICO does not review or include all companies or all available products.
IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more
FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.