How to pay off old college tuition? please help?

Question

i attended a school back in 2007, i attented the school for one semester.i didnt know my financial aid wasnt gonna cover my whole tuition. so i had to withdraw from the school. the thing is i now owe the school about $8,000, for the time i attented. i now have collection people calling me and tellin me that i need to pay up or else they could take it to civil court or it can affect my credit. now is this true will they really take me to court? also ive heard about loans i can take out and stuff but i dont kno that much about all that stuff. i need advice please, how can i deal with this money i owe?

Answer 1

Yes they can take you to court, YES, it can affect your credit. however these are Last Resorts, they want money not court. Many times the collection people will settle for a lesser amount than you owe.........here is what happens, a delinquent Bill is sent to the Collections Dept. (in your case the schools), when it is unsuccessful it is then "sold" to a collection company for a lesser amount than is owed, the collection company will of course try to collect the full amount, the more they collect the more profit. However it is not unheard of for the debt to be re-sold a number of times and this will reduce the amount they will accept. There is nothing wrong in trying to negotiate a lesser amount, but be prepared for a bit of a fight, they will of course try to collect as much as possible, will threaten and cajole, and torment you with phone calls. There are Laws that govern their calls, and once you tell them to stop they are obligated, they are not allowed to call you at work. I hope this helps, you can also offer to pay an amount on a monthly basis, and it can be an amount YOU decide, not them. I would also suggest you contact your City's Consumer Credit Counseling.........unlike other Credit places, these people work for FREE and will do everything they can to help you.