Friday, April 17, 2015

Department of Education to Throw Troops Under the Bus?

The Department of Education is negotiating a deal with Navient Corp, which used to be called Sallie Mae.  related to claims that the lending giant defrauded active duty soldiers. (I love how these hucksters are always changing their company names, but I digress). It's all about their orientation, which is towards the lenders. 


Anonymous said...

If anyone is trying to "throw the troops under the bus," it's the scumbags who are trying to charge off $1 trillion in student loans to Ma and Pa Taxpayer. Where do you think they would cut the federal budget to make up for that? Defense, maybe? That $1 trillion sure wouldn't be getting cut from Social Security or Medicare, that much is clear.

Cryn Johannsen said...

Those who created the problem - like Sallie Mae - should have to pay. They are the criminals. Period.

Anonymous said...

I actually do not blame 'anonymous' because years ago, I probably would have held the same opinion. However, years ago, I was entirely ignorant to the real situation. Unless you are actually IN student loan debt (or very close to someone who is) you do not know how insidious this debt really is. Facts, dirty, dirty facts, are hidden from the public and are so heinous that nobody believes you when you tell them about how bad it is. I have had online discussions with people trying to help them to see what is really going on (for instance, lack of truth in lending, schools secretly taking out loans in students' names without notifying them, no ability to refinance, etc). Even when I directed people toward credible sources proving my claims, they called me a liar.

I, for one, was being prescribed medication by a well-meaning doctor while I was in school. I lost about 2-4 years of most of my memory. I happen to be one of the rare cases that experiences said side effect. I "woke up" one day (several months after stopping the medication) to discover that I had student loan debt. I did not realize how much I had until I finished school and the bills started coming due. I had an obscene amount of debt in private loans (as well as some in federal loans) and only recall requesting the first loan of those, which was $3,000. Since I do not remember where those loans came from or where the money went, my natural inclination is to believe that my loan servicers or school (state university) or someone else requested those loans in my name without my knowledge.

You'd think I'd be able to say, "Hey, wait a minute! This is fraud!" Their answer? "Prove it." I somehow have to prove that I DIDN'T electronically apply for loans. How is this even possible? I have spent too much money consulting with a number of attorneys who are scared crapless of the student loan mafia. They won't touch the issue and tell me to just pay.

(Continued below)

Anonymous said...

(Continued from above)

After years of research and paying on debt that I do not believe is mine, I have learned so much. I (and 40 million others) have no rights, period. They're gone. When lawyers tell you that courts won't even help you, you start feeling like this is no longer the United States of America and that while murderers and criminals are allowed due process, you are not, because you have student loan debt. Then you read snarky comments from ignorant, self-righeous individuals and you just sit there and pinch yourself because you feel like this could not be real.

Student loans have wrecked my life in a very real way. I am in my thirties and cannot afford a house or a car. I cannot afford children. I have no hope of ever being able to. I have been homeless twice, because, gosh darn it, those student loan payments HAD to be made. Please remember, as you read this, that I do not have any recollection of taking this debt burden upon myself and I have no idea where the money went. I live with this reality every. single. day. You'll read this blog and go on your merry way and maybe come back in a week or a month to make another rude comment after you think about it again but I will never forget about it. It determines what and where my next meal will come from. It makes all of my decisions for me. My freedom is gone. I feel like a prisoner.

The thing is, anonymous, whether or not you have student debt, you have been scammed if you are a taxpayer. Those of use who DO have debt have been double scammed because we are both debt slaves AND taxpayers. You will/are losing money. I am/will lose both money AND many years of a decent quality of life, something I will never be able to recover. If you knew how truly absurd these laws are and the backdoor deals and payoffs that go on behind the scenes between student loan servicers and Congress to take YOUR money, you might be pointing your finger at the 50/60-year-old scammers/banksters instead of the 18-year-old victims.

Or maybe you won't, in which case I believe you'd be evil to the core.


Cryn Johannsen said...

B- I understand your frustration, and I continue to try to work for change on this crisis, because this system is beyond cruel. Ignore these comments. These people, like this anonymous person, have hardened hearts. It's too bad for them. It's their loss.