Quick SOL question for Student Loans

[valley_man0505]

Quick question which should only need a quick answer.  I am sure the answer is out there already, but I had a surprisingly difficult time finding it when I searched the Board.

What is the SOL for student loans?  Since they are government backed, I assume these are handled differently.  Does the state SOL still apply as with normal loans or is there some sort of Federal SOL for student loans?  Or perhaps no SOL at all?

My sister-in-law just got a call from a CA regarding a student loan debt from 6 years ago that was through Citibank.  She is "almost positive" this was paid already unless this is a different loan that she had forgotten about.

I am working on getting more info from her, but, for now, I am just curious about the SOL.

Thanks.

[SCF]

Federal loans have no SoL, the CA can continue to collect on them all the way up to garnishing your social security check.  They are very sticky and nearly impossible to discharge even in bankruptcy or due to permanent disability.

Private loans are generally subject to a SoL according to the laws of your particular state.  I believe it is the state of current residence rather than where the loan was originally obtained, but I would get better advice on that before you take any action.

[b_seeker]

Since the loan is from Citi, it isn't a federal loan. Because it is a private loan, it does have a SOL, which you'll need to research. You should have your in-law pull her reports and see what is on it and send debt validation to the CA. Don't pay them anything until she knows if the debt is even hers/exists. Sometimes scammers/CAs use scare tactics on old debt past the SOL to force payment (Going so far as the make up debt in some cases). Perhaps she even has a common name and debt got mixxed up somehow.

[SCF]

FWIW, Citibank did at one point (and 6 years ago might have been the tail end of it) service federal student loans through The Student Loan Company.  My loans through them were eventually transferred to Sallie Mae, but did report as Citibank on my credit report at one point.  I think you're probably right, the majority of Citibank loans are private, but it's worth investigating thoroughly to make sure the debt really belongs to her and what type it is.

You might have her go over to the National Student Loan Data System website and put in her information there.  That will tell you if she has any federal loans floating around out there, and who currently holds them.