Going to call about my student loans for the first time, need help.

[BM3]

So I stopped paying in 2009, and forgot about them. I got a letter saying they were transfered to Pioneer on 12/12/17, and I had 30 days to "debate" my debt so to speak if I wanted to. On credit report they are shown as closed, as I assume Pioneer didn't report them yet. These are FAFSA loans through great lakes originally. (subsidized public)

So in fear of them reporting a CO on my report, I want to call them. I know I can qualify for low IBR, but what do I actually say once I call? What do I definitely not say? I want them to keep the stuff off my credit report, and go into IBR, that's my plan. I am currently overseas so paperwork will be tougher to do. 

One thing is, I went from basically 40k/yr as self employed to 20k to 5k. I plan to go back to 40k in a year or two. 

And also, some years ago I got a hefty IRS tax refund taken and applied to my debt, can I do something about this? 

thanks to the great memebers of this board!

[RobertEG]

Most federal student loans are exempted under provisions of the Higher Education Act from the normal FCRA exclusion of derogs.

Even though you became delinquent more than 7 years ago, they likely can still report derogs to the CRAs that will continue to be included in your credit report.  What are the provisions of your loan agreement?

Additionally, federal student loans have their own form of "charge-off" that is termed "default," and normally a default occurs and can be reported once the loan has reached 270 days delinquent.  Have they placed the loan into default?

[BM3]

Robert, sorry I don't understand, what provisions? The new agency just sent me the letter, so they haven't done anything to my credit report, I still have a few days to mail them an dispute validity if I want to. On the report loan is closed, but still shows up.

this is what I got from them:

https://imgur.com/a/fUeOM

I was more looking for what I should say - as in "Hey, this is me, I want to do IBR. Don't put anything out to CRA about me owing this. Thank you." kind of thing?

[Anonymous]

This is a collection agency.  Your loans have defaulted.  Not sure if you can rehab these at this point or not, but it is worth a try.

[BM3]

Well, that's kind of the reason for this thread - I was hoping to get some insight into what I can do. I don't know what the collection agency's BS is and what isn't - if they say you have to pay $300 and I say "I can't, and I don't want to pay more than 0 right now" then we're at a stalemate. Them having the extra ace in the pocket of reporting it on my CR which I don't want them to. 

[Anonymous]

My experience with getting loans out of default was quite painless.  I had been in the process of starting a new job and was trying to do IBR with Great Lakes, but didn't know how to fill the paperwork out.  I technically wasn't making any money at the time, but soon would be so I waited until I officially started my job and knew more about the pay structure.  By the time I sent the paperwork in, my loans had been sent to a collection agency.  I actually contacted the collection agency before they even contacted me!  I told them I wanted to rehab my loans.  They asked if I could pay in full, no.  They then offered to make monthly payments but with a higher amount.  I told them that I didn't think I could afford that, so I had to provide them with a copy of my tax return and they came up with a monthly payment based on my income.  I believe that there is a pretty set routine for handling defaulted student loans for all collection agencies.  Mine never reported to the CRAs, but some people do have their rehab payments report, not sure how that shows up though.  I would say to just be honest with them and be polite, I am sure they get yelled at for most of the day!  If you don't think you can make the payment then let them know!  I can't think of anything that you shouldn't say to them.  

As far as your tax return, I'm not sure what you are asking.  I would guess if you are not in a rehab agreement, they would take your tax return again.  I was making my payments during tax time so I never had them take my tax return.

[Anonymous]

My loans were defaulted and with a collection agency. I was able to set up rehab and after 9 months derogs will be cleared and I can go back to paying with Great Lakes.. hopefully at a lower amount. 

It will go off your most recent 1040 and if you don't like the amount you can go through a hell process to get it lowered. 

[BM3]

What if you never filed your returns the last 2 years because the income was under the minimum amount required?