New here, overwhelmed!

iVillage Member
Registered: 02-17-2010
New here, overwhelmed!
Wed, 02-17-2010 - 10:43am

I was so glad to stumble upon this community. I'm a 23 year-old who had to take a medical leave of absence from college. I found full-time work a year ago, but there were a lot of start-up expenses. In the last year, my student loan payments also came due. I have been paying two of them, but neglected to pay one small private one, which has gone to collections. The original amount of the loan was $6,000, but the agency insists I owe $14,000, after interest, "penalties" and "fees." The loan is in default, and I just paid 5% of the $14,000 balance; they are requiring another 5% by the end of this month, then want me to start massive payments on the remaining $13,000. I'm worried about getting in over my head with these payments, and also want to negotiate the balance if possible--more than doubling the initial amount of the loan doesn't seem fair, no matter how you slice it!

I have some additional debt--the two federal loans, and about $3,500 in CCs, which are manageable. It's just this latest situation that's thrown me for a loop.

If anyone has any feedback, it would be so appreciated. In the meantime, best of luck achieving your goals, everyone!

iVillage Member
Registered: 02-11-2010
Wed, 02-17-2010 - 6:59pm
Hi! I'm new here too. We can work our way through this together!
iVillage Member
Registered: 01-16-2010
Wed, 02-17-2010 - 10:41pm
Hi there! There is a debt Q&A board on this site that may be able to help too. I am by no means an expert, but maybe there's a way you can consolidate your student loans? Are you able to go back to school & if you do, could you defer payments again? Just throwing some ideas out they may or may not be feasible. Good Luck!
First Debt BUSTED 2/12/10

First Debt BUSTED 2/12/10 Second Debt BUSTED 2/26/10 Third Debt BUSTED 3/19/10