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one admits, one does not admit


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:D:D

OK I'll do my best to make this a quick read:

I am listed as the co borrower on a private bank student loan that has gone into default (been there for about 13 years now).

Collection attorney's filed a complaint against both of us and we were required to file separate answers. My answer was neither to deny or admit to the debt. My co borrower admitted to debt. I filed a counter complaint for laws broken under Fair credit practices and kicked it up a notch by demanding trial by jury. Co borrower did not file any of these complaints.

I also demanded debt validation (which my co borrower did not) but have not heard a word from them.

They also requested a pre-trial conference date be set by the civil business municipal court.

Co borrower went back to OC and asked if they would get rid of CA and enter into some kind of agreement. They flat out refused because they said it is in litigation and they can not talk to us.

CA offered my co borrower an opportunity for repurchase if they make 4 monthly payments to rehab loan.

QUESTION #1: if the other borrower makes these payments to the CA when I go for my suit will it automatically default to that I admitted to the loan because the co-borrower entered into the agreement that I have nothing to do with? Basically are our actions and defenses considered wholly separate from the other?

QUESTION #2: What is a pre trial conference? - my co borrower says that a pre-trial conference indicates that they mean business (which is fine) and are setting up for the trial. But someone told me pre-trial conference is aimed at settling out of court and that its a good indicator that, that is really what they want to do.

QUESTION #3: I calculated that if the co borrower pays the monthly payments that by the time my trial came around the CA would have received something like 12 payments, can you really sue someone else for non payment on a loan if they have been receiving monthly payments from the other party?

WHEW - any help is well appreciated :D

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Hate to see people hanging here without an answer. Not sure I've got all the right ones, but here's my thoughts...

1. By "coborrower" did you mean "co-signer"? In other words, did you sign guranting to pay if the borrower did not?

2. If its a "private bank" student loan then it probably isn't governed by any of the US student loan laws. In other words, its just a personal loan type thing. As such (and assuming there was no collateral put up to make it a secured loan) it may be beyond the SOL for your state...therefore, uncollectable, even if they take you to court.

In answer to your questions...

#1...if you were required to file separate answers, then having separate answers shouldn't default to what the attorney wants to hear. You're basically saying, prove you have the right person, the right amount, the right to collect, etc...the fact that the other person wants to just cave shouldn't matter.

#2...pre-trail conference means "settle out of court". Sometimes, these are encouraged by the judge so he can get on with other things...sometimes, this mean the other side doesn't think they will win in front of the judge, so they want an opportunity to bully you without the judge present. If this debt is indeed SOL, then I bet the latter is the case.

#3...again, what the other person does shouldn't matter to your case.

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CreditSultan: Thanks for the kind words, but there are many, many others here more knowledgeable than I...

JustForKicks1: Okay, that confuses me more. If you are the "student borrower", then is the other party the "co-signer"? Doesn't really change my suggestions, but if that's the case than the other party has to realize the CA will come after them big time...much easier pickings.

And, again, see if you've got the original papers. If this is NOT an official government sponsored student loan, then its certainly beyond the SOL and therefore uncollectable. Even if the lawyers sues, you'd have an absolute defense.

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