Sallie Mae Collection

[skymaga]

I received a call today from Financial Management Systems on behalf of Sallie Mae - Private Student Loans that are showing charged off right now (SOL starts Aug 2009).

They offered to make $120 payments a month and will update credit to show making partial payment after 3 months of payments, as well as will reduce the interest rate to 0.001% from 3.75%.

They claimed that I had two dispursements at $9,000 and $8,000 and the amount owed now with interest is $24k.

I just checked with my school and one of the dispursements was $4,500 and not $8,000, so I disputed the debt with the collection agency over the phone and they are going to sent debt validation.

What are everyone's thoughts on the above program.  How will that improve my credit?  Right now, two sallie mae loans are reports CO every month.

Thanks in advance.

[SCF]

Seems like they are in a negeotiating mood - do you have enough funds on hand, or the possiblity of borrowing money for a lump sum settlement?  Setting up a pay-for-delete would have the most benefit to your credit, and I would guess with an offer like that you are already or are very close to being out of SoL, so suing you is no longer their best option for collecting.

I don't know how they would report "partial payments" on your CR - either they report it as "pays as agreed" or "late."

While the are sending the DV, do some research on the applicable SOL and also on your own options for a lump sum payment so you're ready with that infomartion when they get back to you.