My ex-husband and I consolidated our students loans. My potion: $20,000, his portion, $40,000. We divorced. Our loan was with Educational Direct. Post-divorce, we refinanced(?) our loan and it now lies with American Education Solutions. In the divorce agreement, which we filed through We The People ourselves, we agreed to pay on the loan jointly. My husband hasn’t made a payment in over 17 months. According to AES, the loan was not a consolidation loan and only my name exists on the loan. According to AES, he is not liable in any way. I did seek help from a lawyer, who sent a letter to my ex insisting he pay on the loan or that he would be summoned to court. I cannot afford the $5000 retainer to take the next step and so am still struggling to make payments myself.
Any advice? I was under the impression that bankruptcy is not an option for student loans and I do not, as of yet, qualify for any loan forgiveness programs, even though I work in the education field. Is my only hope to obtain a lawyer and try to resolve it that way? Thank you.
I’d start a search through your papers to see if you can find anything that shows your ex-husband actually signed that consolidation with you. Do statements come in just your name or both names?
Unfortunately it might just be that the loan is in your name only, unless you can find proof otherwise.
The divorce decree issue is one that trips up a lot of people. Just because you and your ex-husband came to an agreement on how the loan would be paid, that has no impact on the lender. That’s just between you two. To enforce the agreement you’d either have to get him to pay or drag him back to court.
Bankruptcy would not be an option for the student loans but some people find themselves filing bankruptcy to get rid of their other debt so they can afford the student loan payment.
Even if you consolidated two different accounts what you need to look for besides the names is to see if only you guaranteed the loan. If that’s the case, then the prognosis would not be good.
First step, find those original student loan consolidation papers and let’s see what they say.
Please post your reply to me in the comments section below.AES Consolidated Student Loans in Divorce - Lori by Steve Rhode