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Oh, I agree, but he was waiting to talk to her. (Not my advice, trust me) Didn't have a clue what was going on, if there was a chance it was a mistake and I think he was a little afraid of what to do. I of course have no ability to help him. Though, he quickly realized how serious this was when I showed him the updated Experian report showing the claim was filed with the government. He put 3 calls into her at home and her cell and then this morning. He did call SM, and it was transferred to some other company. I think what he did was get it rehabbed. Not sure what the terminology is, but he had to pay a big payment (assuming the past due?) and now scheduled for $100 per month payments. They said they hold the loan for 9 months and after good payment history will transfer back to SM. Is this "rehabbing"?
ivyalmighty wrote:He really, really, really needs to call SM instead of you looking for answers on here. Every day that he hasn't contacted them is another day closer to them seizing his bank accounts or sending it into REAL collections, where there won't be ANY hope of rehabbing.Please please please have him take over this issue and call ASAP.
UpUpUp wrote:Thanks, Lynn. I got ya, and while yes, technically it would be his responsiblity, but this is not a dispute about where the bills were sent or having a correct address. This is a crappy situation between him and his mother. He NEVER had a handle on this loan from day one. She applied for it, she paid the payments from day one and has for years. He never had account information or anything the entire time. I don't understand why it was financed in his name to start since this was clearly a typical parent paying for college type of arrangement. Though all of that makes no difference - the damage is done.
Message Edited by UpUpUp on 06-19-2008 10:17 PM
ivyalmighty wrote:UpUp & Lynn,I was in the same boat. When I went to college, my parents put all kinds of papers in front of me and I signed. I heard FAFSA tossed around, and I knew I was getting student loans but had no idea my parents would put them in my name. Honestly, I didn't even know I could get credit at that point. I think they should make the process so that a student has to sign the paperwork in a bank office, or somewhere where an outside entity can ensure the student realizes what they're signing.I had no idea I had SLs to pay back until I started getting late notices from SM.Ivyalmighty, that really sucks. I am so sorry this happened to you too. I agree, it seems too easy for this to happen. It should have to be done in an outside entity such as a bank. I hope that your credit was able to bounce back from the lates and the damage wasn't too bad.
@LynnInMN wrote:
@Anonymous wrote:Thanks, Lynn. I got ya, and while yes, technically it would be his responsiblity, but this is not a dispute about where the bills were sent or having a correct address. This is a crappy situation between him and his mother. He NEVER had a handle on this loan from day one. She applied for it, she paid the payments from day one and has for years. He never had account information or anything the entire time. I don't understand why it was financed in his name to start since this was clearly a typical parent paying for college type of arrangement. Though all of that makes no difference - the damage is done.
Message Edited by UpUpUp on 06-19-2008 10:17 PMSounds like they or she did a FAFSA application and these were the loans awarded. However, did he sign the prom note? (Electronic signatures have only been around since about 2000...the school I worked at was a test site for electronic signatures for the DOE so most lenders didnt start until after 2001 or later. ) I hate to say it but I have seen this happen many times...parents take over the borrowing process on the student loans....the student signs on the dotted line but never bothers to read their rights and responsiblities. Loans show up in their student account each year and they dont question it. They graduate and are clueless. I would get these borrowers when I was working in collections and they would say "my parents took them out...they are suppose to pay them." However we would pull prom notes and there would be the students signature. Right above the signature is a statement in bold print...."THIS IS A PROMISORY NOTE. I WILL NOT SIGN THIS NOTE UNTIL I HAVE READ AND UNDERSTAND IT" Sad but oh so true that not many bother to read over the note.Yeah mom did a crappy thing and not telling him that she was stopping payments was even worse. But yes, the damage is done and he now needs to work on damage repair.