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Old 02-06-2006, 08:02 PM
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LynnInMN LynnInMN is offline
Lynn no longer in MN....
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Join Date: Apr 2004
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Default Re: 68K TERI student loan debt

Quote:
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.
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Lynn Clark

Ex FFELP and USDE Student Loan Collector
Ex Financial Aid officer
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