68K TERI student loan debt

[direstrates]

Hi, urgently in need of help and no very little legal jargon. I am 68K in debt from graduate student loans. I graduated in 2002 and accepted a business offer in Ireland. I was assured a net income of 3300 euro per month which would have covered student loan payments. It turned out to be only 500 euro per month. I was told it would pick up in a few months. It didn’t but I tried my best for a year to build up the business again but there were too many existing problems.

I left and set up my own business, living off of a client base I had built up in the past year and a bank overdraft. I leased a building with two small rooms upstairs where I have lived for the past 3 years. Business has grown but expenses still outweigh earnings so my account has been in my overdraft for 3 years steady. I am taking a class (one weekend per month, 3year program) that may help to increase my income.

In other words I have done everything I can short of moving to a larger town but that would be costly as well. On top of all this, I can no longer live above the business and have to find another place to live. The cheapest apartment was 150 euro per week.

I sent a letter explaining my situation to the loan institution. I didn’t receive a reply but collectors started calling; one threatened I would never practice again, another asked if “I ever wanted to see my family again?” A credit counsellor suggested I refuse calls until I could afford monthly payments. I thought of bankruptcy but that is only possible 7 years after graduation. As well I attended an American school with an American loan, TERI (Education Resources Institute); however, I am a Canadian citizen. You can only apply for bankruptcy on an American loan if you have American residency?

Jan.31st I received a letter from a solicitor (Irish firm) for full settlement of the total sum or they will obtain judgement and recovery pursuit proceedings. Any help would be appreciated, I really don't know what to do.

Dire strates

[Recovering Attorney]

If this is a guaranteed student loan, you may be eligible for relief, including payments to match your income. Check out the US DOE site.

Student loans, like the poor, are with us always

[LynnInMN]

Originally Posted by direstrates

Hi, urgently in need of help and no very little legal jargon. I am 68K in debt from graduate student loans. I graduated in 2002 and accepted a business offer in Ireland. I was assured a net income of 3300 euro per month which would have covered student loan payments. It turned out to be only 500 euro per month. I was told it would pick up in a few months. It didn’t but I tried my best for a year to build up the business again but there were too many existing problems.

I left and set up my own business, living off of a client base I had built up in the past year and a bank overdraft. I leased a building with two small rooms upstairs where I have lived for the past 3 years. Business has grown but expenses still outweigh earnings so my account has been in my overdraft for 3 years steady. I am taking a class (one weekend per month, 3year program) that may help to increase my income.

In other words I have done everything I can short of moving to a larger town but that would be costly as well. On top of all this, I can no longer live above the business and have to find another place to live. The cheapest apartment was 150 euro per week.

I sent a letter explaining my situation to the loan institution. I didn’t receive a reply but collectors started calling; one threatened I would never practice again, another asked if “I ever wanted to see my family again?” A credit counsellor suggested I refuse calls until I could afford monthly payments. I thought of bankruptcy but that is only possible 7 years after graduation. As well I attended an American school with an American loan, TERI (Education Resources Institute); however, I am a Canadian citizen. You can only apply for bankruptcy on an American loan if you have American residency?

Jan.31st I received a letter from a solicitor (Irish firm) for full settlement of the total sum or they will obtain judgement and recovery pursuit proceedings. Any help would be appreciated, I really don't know what to do.

Dire strates

TERI is a private non profit loan company. They will sue you in whatever country you are in. I am aware of several TERI judgements filed in Canada for Canadians borrowing to attend US schools. I would assume that they could do the same think in Ireland.

TERI is exempt from BK discharge as they are deemed a non profit loan institution.

[direstrates]

Thank you Lynn. I plan to request debt validation. I am hoping to determine the SOL and go from there. I am not certain if they even have an FDCP here in Ireland. They also don't have student loans. I would like to find the equivalent of a NACA atty here but so far NACA has not been able to help.

If the SOL is not up, I will have to try to "win the judgement". What does the creditor have to prove to win the judgement? I have no property and I am self-employed so they can't garnish wages.

DireStrates

[LynnInMN]

Originally Posted by direstrates

Thank you Lynn. I plan to request debt validation. I am hoping to determine the SOL and go from there. I am not certain if they even have an FDCP here in Ireland. They also don't have student loans. I would like to find the equivalent of a NACA atty here but so far NACA has not been able to help.

Debt validation wont slow anything down. TERI will have a copy of the prom note.

If there is an SOL in Ireland, TERI would already of looked into that before hiring counsel.

If the SOL is not up, I will have to try to "win the judgement". What does the creditor have to prove to win the judgement? I have no property and I am self-employed so they can't garnish wages.

All they have to show is a contract with your signature. Since your default date, your balance has been due in full. I am assuming that by sueing you they could seize your bank accounts. You would have to look into Irish law.

DireStrates

[direstrates]

Thank you, Lynn. I have contacted a couple solicitors to get more info. I wish they had the NACA equivalent here. I am surprised they can seize my bank accounts. I was certain I had read that TERI didn't have the power to garnish wages, etc.

[direstrates]

Another question if they seize my bank account, for how long can they seize it? until the SOL runs out?
Thanks again,
DireStrates

[LynnInMN]

Originally Posted by direstrates

Another question if they seize my bank account, for how long can they seize it? until the SOL runs out?
Thanks again,
DireStrates

TERI cant garnish wages or bank accounts without a judgement. However they do file judgements on most accounts in default before the SOL runs out.

Judgements are good for 10 years in the US and can be renewed. You will need to check the laws in Ireland.

[Fightback]

Originally Posted by direstrates

Hi, urgently in need of help and no very little legal jargon. I am 68K in debt from graduate student loans. I graduated in 2002 and accepted a business offer in Ireland. I was assured a net income of 3300 euro per month which would have covered student loan payments. It turned out to be only 500 euro per month. I was told it would pick up in a few months. It didn’t but I tried my best for a year to build up the business again but there were too many existing problems.

I left and set up my own business, living off of a client base I had built up in the past year and a bank overdraft. I leased a building with two small rooms upstairs where I have lived for the past 3 years. Business has grown but expenses still outweigh earnings so my account has been in my overdraft for 3 years steady. I am taking a class (one weekend per month, 3year program) that may help to increase my income.

In other words I have done everything I can short of moving to a larger town but that would be costly as well. On top of all this, I can no longer live above the business and have to find another place to live. The cheapest apartment was 150 euro per week.

I sent a letter explaining my situation to the loan institution. I didn’t receive a reply but collectors started calling; one threatened I would never practice again, another asked if “I ever wanted to see my family again?” A credit counsellor suggested I refuse calls until I could afford monthly payments. I thought of bankruptcy but that is only possible 7 years after graduation. As well I attended an American school with an American loan, TERI (Education Resources Institute); however, I am a Canadian citizen. You can only apply for bankruptcy on an American loan if you have American residency?

Jan.31st I received a letter from a solicitor (Irish firm) for full settlement of the total sum or they will obtain judgement and recovery pursuit proceedings. Any help would be appreciated, I really don't know what to do.

Dire strates

TERI does not care about your financial or personal problems.
They just want your money. TERI is a non-profit private loan guarantor.
You must use the law where you live to protect you such as debt collection practice act and so on. Make a log of all of your converstation with them.

What is the statute of limitation in the county where you live?
It is best to get a lawyer who know about law of the county where you live. US laws don't help you with your situation here because you live in a foreign country. In the US, they must sue you first and win before they can get a judgement against you.

[direstrates]

Thank you for your reply. The statute of limitations is 6 years in Ireland, 4 years in California where loan commenced. It is almost 4 years now, however, it sounds like SOL of residence takes priority. I wrote a letter to Teri asking for debt validation and am waiting for a reply.

And have spoken to a couple solicitors here in Ireland...but need to continue. They do not have a debt collection practices act here. What do they need to prove to win a judgement? I am required to pay back the debt BUT I can only make small payments...which was not enough for the collectors.

I'm about ready to give up and just let them have the judgement. I have no assets and what more can I do? well I will continue to look for a lawyer.

Any information / advice you might have, I'd be happy to hear it.

[Fightback]

Originally Posted by direstrates

Thank you for your reply. The statute of limitations is 6 years in Ireland, 4 years in California where loan commenced. It is almost 4 years now, however, it sounds like SOL of residence takes priority. I wrote a letter to Teri asking for debt validation and am waiting for a reply.

And have spoken to a couple solicitors here in Ireland...but need to continue. They do not have a debt collection practices act here. What do they need to prove to win a judgement? I am required to pay back the debt BUT I can only make small payments...which was not enough for the collectors.

I'm about ready to give up and just let them have the judgement. I have no assets and what more can I do? well I will continue to look for a lawyer.

Any information / advice you might have, I'd be happy to hear it.

TERI will most likely to sue you where you live, so the SOL where you live will apply. They will have to take you to court to get a judgement that is if they can find you to serve you the court paper. They have to properly serve you with the court paper. Improper serve may give you an advanatage.

The bad thing about judgement is not what they can take from you, since you don't have much to take from , but what they can do to your credit reports. Not sure if they can renew the judgment in Ireland.

Check out your local law to see what things are non-exempt for the judgement. If they serve you with the court paper and your SOL has not expired, then I don't think you can get out of the judgment. Sorry.