You first port of call in this instance should always be the Default Resolution Group
Has any company sought "enrollment", "subscription" or "maintenance" fees from you to help get you out of default?
Yes, I have been contacted in this manner
Your first action here should be to walk away. Your loan can be moved out of default for free with the Default Resolution Group
I'd also like to learn more about Deferment and Forbearance for Student Loans. What if I choose deferment? Do you have any suggestions?
If that is the way you go consider paying the interest that accrues during that period, so that you can avoid some of the consequences.
I'd like to know more about money from wages. Is there a way for me to avoid having 15% of my wages garnished when dealing with loan collections?
One way to avoid this is to come to an agreement with the ED and negotiate better repayment terms for you which are acceptable by the ED or the private collection agency. You must ensure that the ED receives the first payment that is due no later than 30 days from the date of garnishment
I'd like to know something else. What can you tell me about repayment in full?
Well, a third option for getting out of default is to repay the full amount of your defaulted student loan.
Another question about my federal student loan. Is there a place where I can know more companies that wants to charge me fees to get my loan out of default?
You should read our blog post called "Don't Be Fooled; You Never Have to Pay for Student Loan Help"
Are there other collection costs applicable apart from the cost of placing my loan with a collections agency?
You may have other costs, such as Treasury offset processing fees. There may also be costs associated with potential civil litigation from the Department of Justice
How do collection agencies work when they take over a loan that is in default?