Hi. Just curious as to what happened with your loan in collections with Windham. I am in month 7 with them and am hoping you can shed a little light on the stuation
Funny you should ask....I made my 9th payment to Windham about 2 weeks ago and received a letter in the mail today from Nelnet saying that they are now my loan servicer. I am guessing that means that the loans were successfully rehabbed and bought back by Nelnet. Now I just wonder what needs to be done to get the CA's updated....
So.....you did nothing to facilitate the process ?
The loan just reverted back to the original servicer ?
I'm curious to know if the terms of the loan are the same or if they have been modified with the rehab.
Thanks for posting back so quickly
No, I didn't do anything to facilitate the transfer of my loan. I checked, and I made my last payment on 12/10, I received the letter in the mail from Nelnet on 12/18 stating that they were my loan servicer. My payment amount didn't change much and I don't remember what the original terms were on the loan. The intrest rate seems high to me at 7.5%, and the term is crazy...something like 158 months.
If you have any questions about your Nelnet loan or anything about the interest rate/loan term, please call us at 888.486.4722. We'd be happy to answer any and all of your questions! - edited
Can any of you please post what your beginning Total debt was with Principal + Collection costs and then also list what your payment size was?
Right now I am at $67k + $16k, for a total of $80k, and for rehabilitation they say they want $1,040 a month for the next 9 months, and that is WITH them considering me a hardship.
Except that I make $2,200 a month.
This seems totally unreasonable to ask for half someone's monthly income, and there is no way my debt size calls for that big of payment. Rehab is my only option, and i don't know what else to do.
I think you're getting a raw deal here. My loan balance including penalties,etc., comes to more than the amount you have given for yours. My income is greater than the amount you have stated. My monthly payment is just about half of what you have stated they are asking of you.
There is a worksheet that they will provide you where you may list your income vs expenses. I would think that you should be able to reduce that monthly payment if you can show that a good amount of your monthly take home goes toward living expenses.
Always be gracious when dealing with them.
Best of luck.
I agreee with FICOnator, you should be able to negotiate a payment that works for your current income level. My balance is right around 30k, and my rehab payments were approx $260.
I haven't rehabbed with WP just yet. I just received the letter in the mail yesterday. I think in all my loans are coming up to 69,000 dollars. I talked to a rep today my father and I and they want 6900 by next week. But we told them we couldn't pay that. Now I only make around 1200 bucks a month and I have a car payement, car insurance and a but t loan of other bills. My pops def doesn't make alot he just got hired at a temp job. They are talking about doing equity on the house and everything. It's just alot. Not to mention other loans that I am paying through other providers. So my question to you guys when I call them back today should I ask about the rehabilitation program and then tell them what I can pay? I'm really hoping that they can work with me because I"m at work stressed the hell out to the max. Any suggestions or advice would be great to the ppl who have been through it already. I'm reading some of the post just crying. I hope I can have success stories like you guys.
I think you may be confusing some of the terms that are used in the loan business. Here's my take FWIW.
It sounds like you are in default on your loans ( for not paying them for whatever reason). The original lender or guarantor has now turned the loan over to a collection agency (Windham). They are trying to collect payment from you (and from your post maybe trying some strong arm tactics to scare you a little). Unless your father co-signed your loans then it would be best to not include him in the discussions with the collection agency. (they don't really care where the money comes from and will try to get anyone to pay)
If you do not pay they will seek whatever remedies they have available to get money including wage garnishment.
You need to let them know that you do not have the ability to pay the amount that they are asking based upon your current income. Ask them for their worksheet so that you can document your income vs expenses and prove to them that what you say is true. (if you're making a $500/month car payment on $1200/mo income, they are not going to be too thrilled b/c it shows poor money management)
Once you have negotiated a do-able monthly payment with them and have made that monthly payment for nine months (or longer) in a row without missing (which shows that you are responsible with your debt) then you will be eligible for loan rehabilitation which is where the loan is restored to the original lender (taken out of collections) and you resume with the monthly payments to the original lender instead of Windham.
Thus the main advantage of loan rehabilitation is that it removes the negative credit report item of having a loan "in collections" which should allow your credit score to improve with time.