Seeking Advice
Posted by cluelessmoons@reddit | studentloandefaulters | View on Reddit | 11 comments
Hello! Some general information:
Age: 25
State: IL
Debt: Sallie Mae, $160k (sold to a debt company saying I have until May 23rd or they will sue me. I have received calls and I have answered, but I say I can’t pay, and only confirm my phone number).
Own: Car (2005) and I rent.
Job: Full-time as a Medical Assistant
Co-signer: None, he passed away June of 2024.
Anyways, okay. Now that I have that all out, basically I am partly worried, partly in the mindset of I don’t give a fuck. The only part I’m worried about is obviously being sued. It’s a lot of money, but I don’t make much. I pay all of my other bills on time and I’m not late on any other debt I have. I have tried to find ways to save up, but it’s not realistic. I went back to school in January to pursue Nursing, so I’m making monthly payments on that.
Basically the only thing they could take is my car and garnishing my wages. Not ideal because I support myself and that could make or break my stability. I have medical issues amongst just daily necessities so I can’t afford for them to just… take my wages. Also, I am horrified that they will contact and blowup my families phones. I lived with my ex-boyfriend and his family for a summer and I am very much terrified of said ex-boyfriend (they live in another state) and I do not want them getting a call. My Dad is also the Sheriff in my town and my family is well known, so the humiliation of it all is basically another thing stressing me out. My Dad and sister are aware of the situation.
So basically, I feel screwed. But I’m also like, the economy is so horrible right now. I’m so young, I want to live my life, get my Nursing degree, and try my best. I work hard. But, those things don’t matter to debt collectors or courts. So I’m just looking for advice or some sort of hope. Even words of encouragement.
If I need to drop any clarifiers let me know.
brotatochip4u@reddit
What state are you in?
cluelessmoons@reddit (OP)
I’m in Illinois
Commercial_Money_557@reddit
I believe they’d have to sue you and win to garnish any wages. You don’t own anything worth taking, they’re certainly not going after a 2005 car. If I were you I’d keep my savings out of the bank and otherwise go for the default. I wish I’d started the process much younger. You could be pretty much over this by the time you actually begin making good money! As for the phone calls, I’ve never had anyone I know called. I’ve heard the horror stories but I’m not sure how common that is. Anyway, don’t be embarrassed. You took out money to get educated. It’s not like you built up a credit card buying luxury hand bags lol. I always think to myself, do millionaires feel embarrassed when they file for bankruptcy for their bad company ideas? And then I feel better. Good luck!
cluelessmoons@reddit (OP)
Thanks so much :) That helps a lot. Yeah, basically I trust my sister with my life and she’s keeping my extra savings money. I just got into a financial position to start paying off my credit card debt and paying off my federal loans. Also when I get a new car I’m going to put it in my sister’s name. And I don’t think in this economy I’ll be able to buy a house so I’m good with that. But I’m just worried about them garnishing my wages, like, they’d actually screw me over entirely. But I don’t know if they’d win because of how little I make, it’s practically inhumane but they are inhumane so who knows
Commercial_Money_557@reddit
It’s pretty expensive for them to actually sue you. Just make sure if you ever receive any notice of suit that you take action in a timely manner.
You might also consider moving to a state that has laws protecting you to prevent any serious litigation. Some states have much shorter windows of time to sue. I live in Texas and they only have a 4 years to sue. After your four years are up they can’t take legal action. Texas also has a system that makes it very difficult to garnish wages. There are other states like this! Just a thought for the future.
brotatochip4u@reddit
Sounds like you're insolvent. They can't take what you don't have, and it might not be worth their time. Ride it out!
cluelessmoons@reddit (OP)
Thank you! I am at least for now. When I become a Nurse they might come after me, but that’s in 2-3 years so I’ll worry about it then lol
morbie5@reddit
If they actually do sue you then they will be coming after you now not in 2-3 years. What exactly did they say? Was it a vague threat about suing or was it 'we will sue'?
cluelessmoons@reddit (OP)
They just said they will be taking action and they will sue. That’s it. But I really have nothing for them to take. I answer the phone only because I don’t want them blowing up my relatives phones. But yeah, I just say, “I cannot pay” or “I’m at work, now is not a good time to talk.” But in terms of what they say, it’s just “we will sue” or “pursue legal action.”
morbie5@reddit
They can potentially get wage garnishments and your state income tax refund (depending on the state).
Have they offered a settlement or new payment plan?
morbie5@reddit
They can garnish wages. That said if OP can't pay there isn't really much OP can do even if they wanted to