Long reply:

I chose to default my private loan after the last 4 years of them playing games for my Disabled Veteran discharge. They sent my account to a law firm in Miami and I just sent my Debt Validation Letter last week certified return receipt. I am waiting on the reply for the next step. Once I defaulted (Feb-Mar) they seemed to move quickly for a legal firm for collection. My original amount was $18k and I tried to negotiate Income based repayment but at that time they said I don’t make enough money but would be willing to setup 2 years of direct checking withdrawal and I declined. At the time I was struggling and if they hit the account Chase would send funds, overdraft me with a fee and if I didn’t correct it they have extended overdraft fees and lock the account out.

I went back to school for a year and got it deferred. I applied multiple times since 2020 I would send my VA paperwork and then it goes to Minnesota Life Insurance (last year I think they changed to another company) and then they say they require the Physician paperwork. During Covid the VA was closed, no non-emergency appointments and remember in 2020 everyone. Was scared to death over covid, the VA didn’t even have Telehealth in place. SLM and MLI didn’t care, denied claim closed. The Veteran discharge explicitly states we are not required to send a Physicians statement. But they would deny, close the claim and NEVER answer me why I was denied, and they said since they use 3rd party they have no control over requiring the physician statement.

So last year off to the VA I got the statement letter filled out, applied again went through the process and was placed in 90 day forbearance no payment due. 30days they went ahead and hit my credit reports as delinquent. Then 60 days delinquent while I spent weeks calling demanding escalation and passed around and around until ultimately I went to CFPB and BBB and had it reversed. Then they closed my claim again after sending me a portal link to upload my Physician statement. Filed complaints again, uploaded my letter and was denied but finally got a reason. Failed to prove worsening conditions or along those lines. I am 100% and designated permanent and total. Worsening would be death. So at a loss I login to check payment options after the account reset from forbearance and the payment was double! I couldn’t afford the original payment now I really can’t afford it. I got so sick of the games I decided to default and hope for settlement payments of a reduced debt. I’ll go to court if required, I have no assets and pay child support. They can’t touch my VA Disability. I went to work during this time otherwise I would be homeless so I may be subject to partial garnishment with a judgement but it won’t be much after the child support payments. Those are current no arrears. I don’t care much about my credit score I have been paying off and fixing it since covid when I went through a divorce and to avoid alimony I took debt accounts. They all settled low and I paid them off so with no fear of credit reporting I am willing to settle this, but I can’t make a large payment it has to be monthly. Over 4 years they have been jerking me around and nothing like being told I don’t make enough for income based repayments!?