Student loans

Published on: February 4, 2018

Student Loan Nightmare: Navient accused of misleading students about loan forgiveness

One of our PSLF class actions against the largest student loan servicer in the United States, Navient, was profiled by ABC Action News here in Tampa last week. Our clients are finding they have to basically start all over with their ten years of Public Service Loan Forgiveness because the servicers are telling borrowers incorrectly that their payments for the last ten years qualified when in fact, they did not. In the client interviewed for this story, Gill Cottrill, it’s all because he had the wrong loan type. He had an older FFEL consolidation loan as opposed to a newer Direct loan. That simple fact has cost him everything! He has now had to move across the country to a lower cost of living area in order to try to pay down his student loan debt — debt that should have now been paid after his ten years of payments.

https://www.onenewspage.com/video/20180201/9604344/Student-Loan-Nightmare-Navient-accused-of-misleading-students.htm

If you believe you may be eligible for Public Service Loan Forgiveness but are worried that you somehow may also be denied, or worse yet, have actually been denied, you should seek out a qualified student loan attorney. Our Navient case is seeking nationwide status. We have another case pending against Great Lakes. More may follow against other servicers who also misled their customers.

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Published on: January 16, 2018

Public Service Loan Forgiveness Class Actions

By Christie D. Arkovich, P.A.

CNN Money recently featured two of our clients, Amanda Lawson-Ross and Bill Cottrill, in a story Student Loan Nightmare: ‘I have to start all over’. These two clients filed Complaints seeking class action status.

One observation in the story: “They make it incredibly difficult to take advantage of [PSLF]; you have to jump through so many hoops just to qualify.” My advice: don’t rely on your servicer (Great Lakes, Navient, FedLoan, Nelnet, AES etc.) with $11/hour employees who are likely paid incentives to reduce call duration and work for the creditor for correct information. Seek Help Now!

A report was issued by the Consumer Financial Protection Bureau over the summer that spotlights the lack of accurate information borrowers are receiving about the Public Service Loan Forgiveness Program even after identifying themselves as a public worker.

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Published on: December 9, 2017

Have you received a postcard notice in the Navient case pending in the Southern District of Texas?

By Christie D. Arkovich, P.A.

One of our student loan attorney colleagues, Austin Smith, is the guiding force behind a class action filed in Texas that is pending: In re: Evan Brian Haas and Michael Shahbazi v. Navient Solutions, LLC and Navient Credit Finance Corporation. It may affect our Florida clients with private student loans as it is seeking a nationwide class.

I understand that postcards are now being sent out to potential claimants. While this class action is still in its infancy and has not yet been certified there are important things you should know right now about this:

First and foremost, the info below will tell you what the case is about and how to be a part of it.

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Published on: November 3, 2017

Rolling Stone Brings to Light The Great College Loan Swindle

By Christie D. Arkovich, P.A.

Matt Taibbi of the Rolling Stones just published a very enlightening piece “The Great College Loan Swindle” today. He explains just how universities, banks, and the government turned student loan debt into America’s next financial bubble — or as a client called it this week a “nightmare”.

He highlights a student who very nearly committed suicide over overwhelming student loan debt incurred at age 19. The spiral of debt began with colleges telling everyone who could, to go to school and get a college degree to remain competitive in today’s marketplace. That a high school diploma is no longer enough. But if everyone goes to college, this simply means that a bachelor’s degree is the equivalent of a high school degree 10 years ago. Kind of like 50 is the new 40.

Parents not wanting to stand in the way of their child’s future, either paid out the nose or went into debt themselves by signing Parent Plus loans. Kids were pressured to sign loan applications electronically semester after semester. The students we spoke with did not receive paper copies of the applications they signed. No one really knew what the total balance would turn out to be.

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Published on: November 3, 2017

Suffering with Parent Plus Loans? Get That Payment Lowered NOW!

By Christie D. Arkovich, P.A.

Parent Plus loans continue to be a big problem. Not only are the consumers unable to pay the loans that were taken out for their children, they are continuing to not take advantage of plans that would allow them to pay less without hurting their credit.

Case in point: (As an aside, this client found me by googling “student loan nightmare”. Sad, but true.)

One client I met with this week received a statement from her FedLoan servicer that the amount due was now $542.88. On an income of $35,000 with a husband unable to work, our client simply could not afford that. When she called her servicer, she was informed that she did not qualify for income based repayment and her only option once she came off forbearance was to pay $542.88. But we can lower her payment by more than 50%! And once she retires, her payment can likely go to zero.

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Published on: October 18, 2017

Outside the Box Bankruptcy Solutions for Student Loans

By Christie D. Arkovich, P.A.

How can a bankruptcy help reduce your student loan debt?

We’ve been making great strides in obtaining student loan debt relief in bankruptcy lately. Most people think only of whether their student loans can be discharged in bankruptcy. Usually the answer is “no”. But that’s not where the focus should be in most cases.

Our goal is simple: reduce student loan debt to manageable and sustainable levels with an end in sight. We do this for both our bankruptcy and non-bankruptcy clients. This may include discharging some private student loans in bankruptcy. It may include taking advantage of all income based/debt forgiveness opportunities for federal loans, both in and outside of bankruptcy. Just selecting the right program can make a huge difference. At least half the clients who come and see us are in the wrong program costing them hundreds more per month in some cases. Public service loan forgiveness is a huge mess. New grounds exist to object to private debt owned by NCSLT that can be used to strike their debt – called proofs of claim — in bankruptcy. All this can add up to hundreds of dollars of savings per month, and possibly tens or more thousands of dollars over a Chapter 13 bankruptcy plan.

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Published on: October 15, 2017

Reduce Your Student Loan Payment by 88%!

By Christie D. Arkovich, P.A.

This could easily be you! This is a word-for-word review posted this week by a satisfied student loan client:

Christie Arkovich and her team changed my life for the better. I went to her stressed because I couldn’t afford my monster student loan payment any longer (and getting a deferment or forbearance would give me temporary relief, but my already huge monthly payment would go up over 60% after the two year term). Christie assured me there were other alternatives and ended up getting my monthly payment reduced by an astonishing 88% AND emancipating me from having to deal with awful, %#@$ Navient. The process was very smooth, easy and inexpensive (she even offers a payment plan). If you are in despair over your student loans, give her a call – seriously. I’m NOT stressed about my loan for the first time in over ten years, it’s incredible – thank you, Christie!!!

Own your Student Loans — Rather than Owing them.

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Published on: September 26, 2017

CFPB Consent Order with NCSLT and TSI — Impact in Bankruptcies

By Christie D. Arkovich, P.A.

I’ve blogged about the new CFPB Consent Orders here, against both NCSLT and TSI which requires a halt to all collection activities for the vast majority of NCSLT trusts for private student loans, but what might it mean for pending bankruptcies?

First, the Consent Orders require the payment of millions of dollars in damages in some cases, so Schedule B must reflect the possibility of recovery against NCT, collectors and law firms. It may be awhile before the Judge signs off on the Proposed Judgment due to several Motions to Intervene filed by various involved parties on the collection side. But the Agreed Consent Order itself makes certain admissions of liability in the meantime.

The debt should be listed as disputed pending outcome of an audit (required to be completed within 180 days for accounts currently in litigation, within 365 days for all other accounts).

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Published on: September 19, 2017

Being Sued by NCSLT? – CFPB Order Halts Collections – How to Use To Your Advantage Right Now!

By Christie D. Arkovich, P.A.

Are you being sued by NCSLT as many of our clients are?

You should be aware that the CFPB just entered an Order requiring NCSLT to halt collections per the NYT. The Consent Order is effective immediately although the Judgment itself still needs to be approved and signed by the Delaware Judge.

This “halting of collections” is most assuredly temporary. The trusts “must suspend all further collection efforts until a compliance plan has been approved and implemented.” It’s unknown how long that may take.

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Published on: September 18, 2017

Are you being sued or threatened with garnishment on private student loans by Transworld or NCSLT?

By Christie D. Arkovich, P.A.

First, don’t give up. You may have numerous defenses available – we are a law firm that helps student loan borrowers.

Don’t let them get a default judgment against you where they can garnish 25% of wages and seize your bank accounts. Over 90% of these cases go to default judgment. Judgments last 20 years. They are normally bankruptcy proof. This does not need to happen.

There are many ways to defend these cases and we can help! Some or all of these defenses may be applicable to your case:

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