Hi I hope someone on here can answer these questions!
I have unpaid tuition that is now being handled by a collection agency. I have learned from Soaplady's posts that
1) tuition has no SOL
2) they are not "sold" to the CA, they are just under contract
3) the fees that are added on are "collection fees" (up to 50%), not "interest".
My question is this - is the 50% "collection fees" supposed to based on the Original Amount owed for tuition (in my case about $1500), or the amount after years of interest added on (in my case, the University had added about $1400 in past due charges totalling $2900 - before it was sent to a collection agency).
Also, if the collection agency can't charge interest, why did the collection lady tell me that I need to pay this ASAP otherwise I will keep accruing interest to what is owed (and true to this fact - each month statement I get from them is about $40 more than the month before)? Does that mean the university is still adding on monthly interest & fees even while the account is with the collection agency?
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