Re: rehabbing student loan held by CA

Posted by J (209.145.133.228) on August 20, 2002 at 12:36:29:

In Reply to: Re: rehabbing student loan held by CA posted by jm10101 on August 16, 2002 at 13:46:30:

First, here is how to initiate rehab: Use this exact language, "I want to establish resonable and affordable payments in order to rehabilitate my loans." Then let them talk. Don't offer any info unless the payment they give you is more than you can afford. By law (HEA section 464) they have to let you rehab, this is the language they respond to.

I'm now aware of Gulfstate, Pallisade and other OSI companies. Since they stuck a couple of accounts on my report since the rehab started. They deleted them, but it was obvious that they were trying to extort some small change from me.

The CA initiated the rehab as a last resort (couldn't garnish). PHEAA is Pennsylvania Higher Education Association A-something=The guarantor of my loans, who sold them to Sallie Mae and bought them back again. They are bastards all.

Oddly enough, OSI was easy to deal with, the problems occurred when PHEAA drastically "changed their policies" every month. Setting due dates that no one else knew about, telling me to fax and then telling me that they didn't accept faxes as of a date after my last convo with them.

Problem # 1: The date that I had set with the CA was too late in the month (if you can believe that) for PHEAA to register payment each month. So on the 12 th (13th) month when they were supposed to send out my rehab letter, they didn't have my payment, so I got no letter.

The CA did not know this was the case until after 14 months. So on the 15th month I had to pay earlier. Then I started talking only to the Debt Collection Services people at PHEAA. That still barely expedited things.

Obviously frustrated with their own policy shifts, CSRs would help me out one day, then be really rude the next. While OSI was always consistant, honest and respectful in their willingness to work. Ultimately, most of the problems were with PHEAA.

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