Student loan debt that’s 12 years old with a debt collector.
In 2000, i went to a private university in California. Last week I got a letter from a collection agency advising I am responsible for a debt that is approximately 11,000 dollars.
Tomorrow I'm going to send them a Debt Validation Letter to confirm that the debt is legitimate per your advise. This brings me to my two questions.
1. If this is in fact a student loan from said private university, isn't it past the Statutes of Limitations? I understand some loans are federally guaranteed by the government... but is there a chance that mine isn't and is now a 'zombie debt'?
2. Why isn't this debt on my credit report from all three credit bureaus?
I know some student loans may be federally backed, but how do I determine if mine actually is? Or are they all federally backed by the government? But if that's the case, then wouldn't they have garnished my wages by now? It's been twelve years.
I do have one last (silly) question. I don't recall stating "i admit to the debt", but it was more or less, "how do i verify who you are, and where the debt comes from?". If i did slip, and get confused with a different debt matter and said perhaps the debt is mine or something to that effect, does that constitute admitting to the debt and reinstating it's validity despite it being passed the 7 year statue of imitations?
Thank you for your time.
Patrick
Do I need to worry about a student loan that's 12 years old if it's off my credit report from all 3 agencies?
—Patrick
It wont matter if the student loan is government backed, or fully private investor backed. Student loans don’t go away and do not have a statute of limitations in the same way debt, like an unpaid credit card debt does.
I cannot recall having answered a prior question you have posted where it was suggested that you request validation of a debt on a student loan. You certainly can request validation of the debt. The result may even be that a third party debt collector wont obtain validation and will let the account go back to the debt owner. This may lead to another assignment of the account (the debt gets placed with another collector). You may even be able to start a game of “hot potato” by sending repeated debt validation requests. To what end though? Student loan debt can follow you longer than taxes.
Student loan debt does not go “full zombie”. Student loan debt could have the shelf life of a couple Twinkies – as far as how long it remains collectible.
The student debts not being on your credit report is a plus. You will have easier access to credit at fairer prices than if the debts were still reporting.
You can log in to the federal student loan database and check for your loan and confirm whether it is considered federally backed.
As far as admitting to the debt inadvertently – that is mostly done by more than a brief telephone call in most jurisdictions. You should speak with an attorney practicing consumer law and debt collection defense in your area to put this concern to rest.
Two informative on line resources for student loan debt would be:
Anyone with questions about really old defaulted student loans is welcome to post in the comments below for feedback.
About Michael BoveeMichael started CRN in 2004 with a mission to provide people in need with detailed debt and credit help and education. Michael has participated as an expert panelist in federal consumer protection rule making, collaborated on state law changes governing debt consolidation, has worked as an expert witness in court matters related to the debt relief industry. He is available to speak with you about your financial struggle and helps people resolve their debt problems daily.
Hello Mr.Bovee,
My name is Adam Mendoza, I have old debt that I’ve irresponsible for first I borrowed 20k when I was 19 back in 1998 for college and let it go now it’s up to 51k balanced that I’ve Been paying back religiously for 6 years now my apr is 8.25 and I got a call from student loan group stating that they would drop my apr by .25% and I would be paid in full in 15 years, however my existing maturity date would be nov 2036 with a current payment of 436.90, new payment would be 480 should I trust this new help? Or is there any advice you could give to me thanks
Who is it that is soliciting you now?
Who is your loan servicer?
Does anyone know what happens when a student loan is over 10 years in default. I had a loan for school. I finished school, started working, worked for 2 months then got hurt really bad. I was out of work for 2 years. I had not yet paid towards the loan.. I lost everything I owned being out of work that long. I went back to work too early and hurt myself even worse and spent another year unable to work. 5 months flat on my back then 7 months of rehab. I then went back to work, but the loan was already sent to collections. I struggle to work full time still to this day, i can only manage part time really. It has been 10 years now and I want to fix my credit as I finally am able to work part time but even at part time I make very good money. The loan says zero balance on my credit report and it has X number of missed payments of course. What can i do to resolve this. Other than that there is some hospital bills which are paid down to $2000, and 1 months rent i did not pay to a slum lord.
( I tried to fight it in court but in a small town where the slum lord knew the judge i had no chance. I will never pay that one. The neighbor did not pay electric so they shut me off, for 7 days, in the winter, then when they finally turned me on i found out the neighbors apartment was on my electric bill, 4 outlets in his kitchen where wired to my apartment so the neighbor ran his whole house on extension chords on my bill for 7 weeks. The owner locked the neighbor out, but my bill was $750.00 for one month. When the slumlord locked out the other guy he locked the basement so I had no heat for over a week in middle of winter. He would not come unlock the door because he wanted to keep the neighbors tools that were down there. i was so mad i took him to court and found out he had No Certification of Occupancy!! The judge knew him personally so I lost .. Unreal i will never pay him!!
So what can I do to fix the student loan program???
I will have to leave the judgement from the court/Slumlord as I refuse to pay it..