What to do to prevent or resolve problems with Government Student Loans:

1. Document everything. Arrange a ongoing file of your circumstances. Keep or obtain copies of everything related to your account including promissory notes, collection notices, correspondences, payment records (which must include both sides of the canceled check and monthly bank/credit card statement demonstrating each transaction), and the envelopes notices came in to prove date of service. Although required by contracts, banking laws and Higher Education Statutes, the Department of Education (DOE) will intentionally keep account documents and payment records from you. They will later claim their known errors are justified because you fail to prove otherwise though denied access to account records.

2. Respond timely with written dispute of every collection letter or phone call. Within 30 days of Administrative Wage garnishment (AWG) or within 60 days of Tax Off-Set (TOPS) See below. Properly identify yourself in every written correspondence by including your name, social security number, current address, loan program if known, dates of loans/enrollment, copy of most recent collection letter and proof of your identity including your Social Security Card and your Driver's license or government-issued ID card and your Passport or Birth Certificate. With every letter request “access” to account records. Keep copies of everything.

3. Begin by contacting loan holder. This is often a private collection company representing themselves as a government agency. Always send copies of each correspondence directly to DOE. Best sent by registered or certified US Mail as are payments. See number 10 below for addresses. Request current information on the loan originator. To halt collections this must be sent within 30 days for AWG and within 60 days for TOPS. (Remember to keep the envelopes from DOE notices). Upon receipt of your written objection to the debt the collector must provide written verification of the debt, must discontinue collections until verification is provided (ceasing phone calls and collection notices) and provide you with current contact information regarding the loan originator upon request. With every correspondence request contact in writing as information received by verbal conversations are difficult to prove. Demand cease of phone calls to home and work stating that only written correspondences will be accepted. Keep copies of everything.

4. Contact Student Loan Ombudsman’s Office. This information will also be kept from you by DOE. Remember that they are employees of DOE so their actions on your behalf will be guarded by this allegiance. Keep copies of everything.

U.S. Department of Education
FSA Ombudsman
830 First Street, NE
Fourth Floor
Washington, DC 20202-5144
Phone number 1-877-557-2575 Fax number 202-275-0549

5. Contact your state and federal elected representatives in writing. They can do little on your behalf but keeping them informed of your problems will help with future legislation. Keep copies.

6. Request account review within the agency. This can be a written record review or an in-person review. This review is subject to additional Administrative Review, see below. Be specific on your claims. State that the amounts sought in collection notices are in error and that you are refusing to make payments because of specific account errors. Keep copies.

7. If and when your agency review is completed, chances are DOE will ignore your specific objections and decide against you. You must then send a written request for an Administrative Review of the agency decision. This request must be sent by registered/certified US Mail. Keep copies of these “received” receipts. Your remedy (money/correction sought) must be stated with charity. Be specific including supporting documentation were available. Again ask for access to account records including payments applied, interest/fees assessed and each releases of your account information to others. Describe dates as “on or about ...”. Do not expect a reply as DOE will not respond. Your request is deemed denied after six months. DOE will keep this process from you to later claim you have not exhausted your available(?) administrative remedies. Keep copies.

8. Initiate legal actions. This is not as scary as it sounds and will cost you less than the outrageous fees assessed against you by DOE. (Besides its your duty as a citizen). The most common is claims against the collector for violation of state and federal collection laws. See your state and federal Fair Debt Collection Practice Acts. There are attorneys who specialize in this area of law. This will not correct your account errors but may halt illegal collections especially Administrative Wage Garnishment (AWG) and perhaps Tax Refund Off-Set (TOPS). Many actions can begin in state court but expect removal to Federal District Court. Claims should include the collection company, DOE, the United States of America and the Secretary of Education specifically named and their successors in office. Expect five to ten years including appeals. Keep copies of everything.

9. Claims against the DOE maybe brought under the Administrative Procedures Act. You are entitled to judicial review of agency decisions, that their actions were arbitrary or capricious. Also under Racketeering Statutes, Civil Rights statutes under section 1983 and False Claims Act. For claims under $10,000.00 jurisdiction is with the Federal District Court. Claims exceeding $10,000.00 jurisdiction is under the Federal Court of Claims. Read the Federal Rules of Civil Procedure and published case law available online.

10. DOE mailing addresses:

For unsigned promissory notes or identity fraud, closed school, unpaid refund or False Certification of Ability to Benefit:

U.S. Department of Education
P.O. Box 422037
San Francisco, CA 94142

Loan disputes, disability or death:

U.S. Department of Education
P.O. Box 5609
Greenville, Texas 75403-5609

Bankruptcy issues:

U.S. Department of Education Unit
Educational Credit Management Corporation
P.O. Box 8809
Richmond, VA 23225

To make payments:

National Payment Center
P.O. Box 4169
Greenville, TX 75403-4169

Other DOE addresses for disputed collections:

US Department of Education
50 United Nations Plaza
Room 220
San Francisco, CA 64102

US Department of Education
P.O. Box 4222
Iowa City, Iowa 52244-4222

US Department of Education
General Council or Civil Division or Torts Branch or Secretary of Education (currently Margaret Spellings, remember to name her successor)
400 Maryland SW,
Washington, DC 20202

US Attorney Generals Office
c/o US Department of Justice
950 Pennsylvania Ave NW
Washington, DC 20530-0001

Must also serve the Attorney General of your state. Send everything registered/certified US Mail and keep copies of signed, dated receipt.

11. Check your credit report for free once per year or more often if disputed. Failure to contact them seeking correction may limit your rights under the Fair Credit Reporting Act. Provide each credit agency with written letters of dispute. The collector must respond timely or notations are removed. If corrections are not made you can request that notation of your disputing the debt be placed along with the collectors negative comments. Keep copies.

Credit Bureaus:

Equifax
www.equifax.com
PO Box 740241
Atlanta GA 30374-0241
1-800-685-1111
Experian
www.experian.com
PO Box 2104
Allen TX 75013
1-888-397-3742
Trans Union
www.tuc.com
PO Box 1000
Chester PA 19022
1-800-916-880

12. If and when your obligations are satisfied with any loans keep copies. Send copies of loan satisfaction to every relative, friend, accountant or attorney you have ever met. This may be necessary later in life. Without documentation you may be asked to pay these debts again. This would be especially frustrating when your Social Security, Retirement or even Black Lung payments are denied. Don’t believe me, then read on.

I am not an attorney nor should this information be regarded as legal advise. These recommendations come from over twenty years of personal hell including the last four years in Federal District Court proceeding pro se against Aman Collection Services Inc., a Wells Fargo Financial Company represented by Faegre & Benson LLC of Minneapolis and the DOE represented by the US Department of Justice. Civil No. 03-6091 (DWF/JSM). Many of your rights under contract and tort law are subject to statutes of limitations so delaying action may result in the loss of your legal rights. Do not expect warm response from the legal community because of limitations on damages from negligence. Upon review of the enclosed descriptions of similar illegal actions you will become convinced that the actions taken by DOE and its contract collectors are based upon intentional fraud not merely negligence. As a citizen of these United States of America it is your duty to remedy the ill treatment by your government against its citizens. Take immediate, positive and planned steps to protect yourself as outlined above. Remember that you are not alone nor is your individual persecution in any way personal. This is a matter of money and the actions are driven by greed to obtain yours.

Best Regards and God Bless All,

Brian Kelly
briankelly@stribmail.com

P.S. Did I mention the importance of keeping copies of everything? BK