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Unpaid tuition now in Collections, need some advice!





Sub: Unpaid tuition now in Collections, need some advice!
Thu, 02/02/2012 07:16

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?

Any advice would be helpful!



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Sub: #1 Quote:I have a couple of questions. I just got a letter in the Thu, 02/02/2012 - 07:16



Quote:
I have a couple of questions. I just got a letter in the mail saying that i still owe my university $1800, and i have to pay it in 30 days

This is standard. Tuition and fees are due the semester you attend.

Quote:
. Financial aid only covered the pell grant part and did not give me the other loans because i did poor last semester.

This does not make sense....a Pell Grant IS financial aid and if you were on academic probation, you would not have qualified for grants either.

Quote:

There is no way that i can come up with $1800 in 30 days. What will happen if I cannot pay it? Is there a way i can get a loan to pay it? Payment plan? Can they keep charging me if i dont pay it?

Well you cannot register for school until this is paid and your transcripts will be frozen. Also, if this is a state school, they will submit your debt for tax offset.
Read your student handbook for details on late fees and collection fees. When I collected, tuition accounts charged anywhere from 25-50% for collection fees.

How to Deal with Illegal Loans..OhioGal's Primer
http://www.debtconsolidationcare.com...allenders.html
PDL's are ILLEGAL in the following states...
AR, AZ, CT, GA, ME, MD, MA, NJ, NY, NC, PA, VT AND DC
OH AND NH have very restrictive low cost interest rate laws.

SOL for all states
http://www.debtconsolidationcare.com...imitation.html


Sub: #2 I have a couple of questions. I just got a letter in the mail sWed, 02/01/2012 - 23:40



I have a couple of questions. I just got a letter in the mail saying that i still owe my university $1800, and i have to pay it in 30 days. Financial aid only covered the pell grant part and did not give me the other loans because i did poor last semester. There is no way that i can come up with $1800 in 30 days. What will happen if I cannot pay it? Is there a way i can get a loan to pay it? Payment plan? Can they keep charging me if i dont pay it?


SOAPLADY
SOAPLADY


Debt Samaritan
Posts: 17110
Credits: 377833.18840875 Send message to SOAPLADY

Sub: #3 Debts such as tuition owed to a public or nonprofit private haveThu, 10/27/2011 - 09:57



Debts such as tuition owed to a public or nonprofit private have no SOL either. Public debts can be collected by tax offset.

How to Deal with Illegal Loans..OhioGal's Primer
http://www.debtconsolidationcare.com...allenders.html
PDL's are ILLEGAL in the following states...
AR, AZ, CT, GA, ME, MD, MA, NJ, NY, NC, PA, VT AND DC
OH AND NH have very restrictive low cost interest rate laws.

SOL for all states
http://www.debtconsolidationcare.com...imitation.html


poptart
poptart
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Credits: 230.05 Send message to poptart

Sub: #4 I am in a similar situation as well. I just received a called tThu, 10/27/2011 - 07:42



I am in a similar situation as well.

I just received a called today (10-25-11) regarding unpaid tuition from Sept 2000. Eleven Years ago!! I never took out a student loan, ever. I attended college on a scholarship. I didn't pass my classes, so my scholarship didn't renew. I couldn't afford college, so I didn't enroll the following semester. I spoke to the college, and they said that they retroactively billed me for the classes since I didn't pass. I have never heard of that practice and I had NO idea I had a balance. Now 11 years later a collection agency is trying to collect.

My question is, is there an SOL of the unpaid tuition. I haven't been able to get a straight answer from anyone. They all say student loans have no SOL, which I understand. However, this is NOT a Student Loan. This is a public school.

Also, if you could point me towards some legal documentation that clearly spells out any exclusions to the SOL, it would be much appreciated.


SOAPLADY
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Debt Samaritan
Posts: 17110
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Sub: #5 No such thing as not officially registered during attendance. YThu, 04/14/2011 - 18:26



No such thing as not officially registered during attendance. Your tuition was put on a hold status...which means you were in fact officially registered. If you were not registered officially, the VA would have said NO a long time ago since you did not qualify as you would not have been in school.

You would be responsible for the cost of collections....that is usually in the student handbook. That can be up to 50% of the balance.

How to Deal with Illegal Loans..OhioGal's Primer
http://www.debtconsolidationcare.com...allenders.html
PDL's are ILLEGAL in the following states...
AR, AZ, CT, GA, ME, MD, MA, NJ, NY, NC, PA, VT AND DC
OH AND NH have very restrictive low cost interest rate laws.

SOL for all states
http://www.debtconsolidationcare.com...imitation.html


Unregistered

Sub: #6 My question is about tuition. I was placed on a veteran's hold aThu, 04/14/2011 - 17:05



My question is about tuition. I was placed on a veteran's hold at my school until the VA approved and paid for my tuition, and I was also considered not officially registered to the school at any point of time during attendance. Due to school officials not doing their job and turning in paper work and the VA I ended up having to drop out of the school. I am currently being harrassed by a collections company for 12000 dollars, 7000 of that being actual school fees. My student loans were returned and the VA is still deciding on if they are suppose to pay or not. My question is is it legal for them to charge interest on tuition alone?


Unregistered

Sub: #7 I am in a very similar situation to everyone here: I owed my scThu, 04/07/2011 - 15:24



I am in a very similar situation to everyone here:

I owed my school the full tuition ($4400) of fall semester and because I did not pay, my account was sent to a CA. After discussing the matter with them I found out that I have until April 15th to pay the debt or settle on a repayment plan or the matter will be reported. Is it possible to take out some kind of loan to pay the debt back or is my only option to make monthly payments until the debt is settled which would take about a year and money that I don't honestly have. I'm in up to my head and I have no idea what to do. I would really like to be able to enroll back in school but there's obviously no way of doing that until this hold is settled. Please any info would help


SOAPLADY
SOAPLADY


Debt Samaritan
Posts: 17110
Credits: 377833.18840875 Send message to SOAPLADY

Sub: #8 State has no SOL.Mon, 03/21/2011 - 18:50



State has no SOL.

How to Deal with Illegal Loans..OhioGal's Primer
http://www.debtconsolidationcare.com...allenders.html
PDL's are ILLEGAL in the following states...
AR, AZ, CT, GA, ME, MD, MA, NJ, NY, NC, PA, VT AND DC
OH AND NH have very restrictive low cost interest rate laws.

SOL for all states
http://www.debtconsolidationcare.com...imitation.html


Unregistered

Sub: #9 Debt from 2005-2006Mon, 03/21/2011 - 09:10



Is there a time line for instance after 7 years they can't come after you for that bill or since it is state that it can be on forever?? Thanks


SOAPLADY
SOAPLADY


Debt Samaritan
Posts: 17110
Credits: 377833.18840875 Send message to SOAPLADY

Sub: #10 As with most educational debts, the CA does not add the fees, thMon, 02/21/2011 - 19:56



As with most educational debts, the CA does not add the fees, the school does. You agreed to pay the cost of collections and the school tacks it on to your balance. At this point in time, the school has a contract with the collection agency..usually in these contracts the school agrees that all funds submitted to school will be forwarded to the CA as a pay direct. The school also agrees to keep there hands out of the collection process. Thus you would not have the option of dealing with the school...the are contractly bound to pay the CA, so why would they want to use their resources.

Usually these types of accounts will settle off on a portion of the collection fees if you are making a lump sum payment. THey will not waive fees if you are just making payments.

If this was a public (state) school, they can seize your tax return

How to Deal with Illegal Loans..OhioGal's Primer
http://www.debtconsolidationcare.com...allenders.html
PDL's are ILLEGAL in the following states...
AR, AZ, CT, GA, ME, MD, MA, NJ, NY, NC, PA, VT AND DC
OH AND NH have very restrictive low cost interest rate laws.

SOL for all states
http://www.debtconsolidationcare.com...imitation.html


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