NWR: Student Loans

FH has a LOT of student loans but FFIL said that he'll pay them. But he's not. And now we're getting letters and phone calls from Citibank -- it's not good. FH says he'll speak to his father.

But, in the interim a letter arrived yesterday stating that a payment hasn't been made in over two months and they have the right to first send a collection agency after FH and if that doesn't work, garnish his wages. The thing is, FH works off the books so technically there are no wages to garnish. However, I work on the books. As his wife - if I take his name - can they take my money?

Help!

Re: NWR: Student Loans

I don't think they can take your money.. My mom remarried and my stepfather had a problem with the IRS in the past, they garnish his wages, but not my moms. There are 3 months where he doesnt work, and i know that she doesnt pay for it.... I would do anything you can from preventing it from going to the collections agency.. pay the minimum they'll accept, that way you don't ruin your or his credit!

Re: NWR: Student Loans

Are they federal student loans or private? They cant garnish your salary. He can call for a deferrment, esp. if he is not working on the books and does not show he has an income. My FI had problems with citibank and transferred his Federal Loans to a federal loan consolidation repayment lender. FM me if you need more help. We both have so many loans and I really understand the system. Please feel free to contact me and I will give you all the help I can. My Brother also has private loans and he was able to defer them too and he has a job on the books but out of his professional field. Good Luck.

Re: NWR: Student Loans

If the loans are getting to the point that they are calling a collection agency that can not be good for your FH credit. I would have him straighten this out right away, maybe he should take over the payments, at least until his dad can pay again

Re: NWR: Student Loans

They cannot garnish your wages however, if FH works off the books but you guys have bank accounts homes together etc. they can put leans on your property and accounts so look out for that and remove FH's name

Re: NWR: Student Loans

Collection agencies always do a scare tactic.

I suggest keeping track of all your conversation, date, time and names. Ask them if FH has already been reported to any credit agencies.

In reality you need to write them (certified mail) and tell them about the issue. That you 'want to pay' and if they can work with you. That way, you are saying in writing that you want to pay and want to work a way to pay what is owed.

Re: NWR: Student Loans

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Posted by robynlevy

FH has a LOT of student loans but FFIL said that he'll pay them. But he's not. And now we're getting letters and phone calls from Citibank -- it's not good. FH says he'll speak to his father.

But, in the interim a letter arrived yesterday stating that a payment hasn't been made in over two months and they have the right to first send a collection agency after FH and if that doesn't work, garnish his wages. The thing is, FH works off the books so technically there are no wages to garnish. However, I work on the books. As his wife - if I take his name - can they take my money?

Help!

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They may not ganrinish your wages but it goes on your FH's credit report and since it seems he'd be in default he can't get a gov/city job and he probably wont be able to get a loan. Look up student loans. Credit counseling companies/his bank about what he can do

Re: NWR: Student Loans

if he took out the student loans before you were married they can't. If he took out the loans while you were married, that may be a different story.

If they are stafford loans, i would have him call - they will probably set up a deferrment plan or a graduated payment plan - they will work with him.

That stinks that your FFIL did that to him

Re: NWR: Student Loans

IMO ..please take care of it right away, especially if you plan on buying a home!!!! FH and i have already been through the process of buying a home and believe me your credit rating is EVERYTHING!!! so just have him contact them...and work out a payment plan until you can resolve the situation with his family..goodluck!!! so even though it might not effect your name, when you go to buy something together in the future it indirectly does effect you, if you can't get the home/apt/coop/condo you want... best of luck! :)

Re: NWR: Student Loans

Is he unable to pay them? He has a job. If I was him, I'd pay the loans, because in the end, it won't be FIL's credit that is ruined, it will be his own.

If he doesn't make enough to pay the whole thing, then what he should do is call up the loan provider and work out a reduced payment plan with them. Anything is better than ignoring them and waiting for someone else to pay up.

Re: NWR: Student Loans

I say pay it as well. It's only going to get worse if he doesn't. It's not dad's responsibility, legally, to pay a dime if the loans are in your FH/DH's name. If you say to them, FFIL said he'd pay it, they aren' t going to call him and demand it...they might call him, but only to look for your FH/DH. Parents do evil things like that from time to time...doesn't make it right, but you guys have to rectify this for now or it could get worse.

Re: NWR: Student Loans

I would forget about FFIL and get this cleared up ASAP. This could ruin your FH's credit.

Re: NWR: Student Loans

At this point - don't wait! They could raise your interest rate and that will s*ck!!! I pay each month, but I pay over my min. so I can get rid of the loan. I highly suggest you get your butt ot FH's to a nearby citibank and pay for the 2-3 months you've missed b/c this will look bad on your credit report ratings!!!

Re: NWR: Student Loans

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Posted by robynlevy

FH has a LOT of student loans but FFIL said that he'll pay them. But he's not. And now we're getting letters and phone calls from Citibank -- it's not good. FH says he'll speak to his father.

But, in the interim a letter arrived yesterday stating that a payment hasn't been made in over two months and they have the right to first send a collection agency after FH and if that doesn't work, garnish his wages. The thing is, FH works off the books so technically there are no wages to garnish. However, I work on the books. As his wife - if I take his name - can they take my money?

Help!

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Until his dad can pay the loans, have him put them in forbearance. He won't have to pay anything for 6 months. You have to call $hittybank i mean citibank to do so.