Law Professors Propose Regulations to Help Protect Private Student Loan Borrowers

Prentiss Cox, Judith Fox, and Stacey Tutt are professors of law at various law schools. They’ve taken a look at our very broken private student loan system in America and presented some needed changes to help provide relief for consumers. Their published paper begins with: “Private student loan borrowers arguably have the fewest protections of … Read more

I Tried to do the Right Thing With My Private Loans and Was Sued Instead

Question: Dear Steve, I went to a for-profit school, over 10 years ago and in the process took out private loans. Since then, I have been contacted by a debt collector who I wasn’t aware I did not have to pay (the debt was over 10 years old and was beyond the statute of limitations). … Read more

I’m Being Sued on Private Student Loans But We Are Poor With Special Needs Daughters

Couple math adding serious

Question: Dear Steve, Being sued for private student loans. Paid on them for 11 years balance never went down. Say I owe 4 loans totaling $8937.49. Family of four only makes $31,325 a year and has 2 special needs daughters. My husband is our primary income. I work as an independent contractor for DoorDash and … Read more

More Private Sallie Mae – Navient Student Loans Discharged in Bankruptcy for Bar Review Courses

Crocker v. Navient Solutions, a recent Fifth Circuit decision, is a small win for student-loan debtors. Essentially, the Fifth Circuit ruled that a private student loan obtained to pay for a bar review course is dischargeable in bankruptcy. (The opinion also includes extensive analysis and ruling on a jurisdictional issue, which will not be discussed … Read more

My Sister Passed Away and Was My Private Student Loan Cosigner

Question: Dear Steve, Hi I’m 37 years old and have over 100,000 dollars in private student loans that my sister co-signed with me on she passed away a long time ago and I have noticed that after defaulting on the student loans for over ten years the loans do not show up on my credit … Read more

The Holder Rule – A Way to Eliminate Private Student Loans and Service Contract Loans

It has been frustrating watching debtors stuck with loans from private student loans to finance contracts for services that were sold in a deceptive or fraudulent manner. Consumers get left on the hook for unfair and deceptive practices while the underlying companies who profited laugh and the lenders say they have no responsibility. But that … Read more

Can I Just Ignore My Private Student Loans passed the Statute of Limitations?

Question: Dear Steve, I took out two private student loans around 1995/1996 for veterinary school. I did not complete my degree and was paying on the student loans until I was laid off from my job as an automotive engineer in 2009. I contacted the creditor and was unable to negotiate any kind of temporary … Read more

2005 Bankruptcy Reforms “Failed Miserably” to Help Students

It’s official, bankruptcy reform in 2005 totally sucked for people with private student loans. Academic research shows lenders won and consumers lost. Here is the abstract from a paper in the Harvard Law & Policy Review by Alexei Alexandrov and Dalie Jimenez that looks at the data of how the 2005 Bankruptcy Abuse Prevention and … Read more

Class-Action Case to Discharge Navient Private Student Loans Takes a Big Step Forward

Back in October of 2017, I published a post about a nationwide class-action suit against Navient. The case targeted an issue I first wrote about in 2013 regarding the eligibility of certain private student loans to be discharged in bankruptcy. Attorney Austin Smith and others have been participating in this case. As you can imagine, … Read more

I Can’t Afford the Private Student Loan Payments Navient Wants and Don’t Know What to Do

Question: Dear Steve, I defaulted on my private Student loans with Navient due to not being able to pay! I already pay 900 dollars in Federal loans. My private student loans were sent to collections due to missed payments. The collections agency wants to settle for 40,526- which I still can’t afford. We cannot seem … Read more

After Years of College and Federal and Private Student Loans, I Just Can’t Make It

Question: Dear Steve, So, I had both private and Federal loans for my 4 years of college. I didn’t get a job right out of school, it took a few months and then when I did get a job it was a tiny amount. I struggled financially for a while, and then when it came … Read more

5 Ways to Kick a Private Student Loan Lawsuit in the Nuts

The New York Times published this article which does a great job of covering major issues that can be very helpful when dealing with a private student loan collection lawsuit. The major headings they focus on are: The creditor cannot prove that it owns the debt. The creditor’s business records are not admissible. The debt … Read more