Student Loans Suck

First off, prepare for a mild rant:

My first two semesters (2003-2004) at Monroe Community College went off without a hitch, besides mediocre Grades. More importantly though, there were no tuition issues that I didn't know about. Everything was covered by loans.

The following two semesters, I go through assuming there is no problem. I register for each semester, and recieve no word that there is any problem. At the end of the spring semester, I recieve notification that I have a balance due for both semesters. My fafsa "hadn't been filled out". I recieve this notification as I am attempting to transfer to another school, which costs 10 times more, but is a "real college". I cannot transfer without a transcript from my college, and I cannot get a transcript unless I pay my remaining balance. Therefore, I assume that I will be able to pay my existing balance with an additional loan that I will have to take out in this upcoming semester. That means that I will resultantly be unable to transfer to the new school until the spring semester. I count that as a calculated loss, and make plans to attend the same community college this semester.

Last week, however, I recieve a notification from my school telling me that in 5 days, my account will be sent to collections. The letter is dated 8/5, postmarked 8/9, and I recieve the letter on 8/12. So, the letter was writtten on 8/5, sent on 8/9, and recieved on 8/12. So, if you were to do the math, my 5 days was up 2 days before I recieved notification. The only notification I recieved mentioning collections was that letter.

Not knowing what really to do about it, I admittedly do nothing. Much of this could have been dealt with had I been quicker with making calls, and being proactive about it all, but I never knwe it was as serious as it's apparently become.

Anyway, I recieve a call today from the collections agency notifying me that they want a balance of $4021.50, up from $3021.50 including a $1000 collection fee.

So, I can't go to my school this semester, as the semester starts in like 8 days, and I'd have to come up with 4k in order to register, and THEN take out an additional loan for the upcoming semester, which would total $1500.

So, I'm trying to figure it all out at this point. In the scheme of things, $4000 isn't THAT much money when you're talking college dollars, but unfortunately the only way I can get the money is through the very institution I'm barred from attending because I owe them in the first place. Altogether, it has ground my college plans to a complete halt.

Anyway, just thought I'd rant about it and see if anyone else has any student loan horror stories they feel like venting about.

wow that really sucks :(
could you maybe get a different sort of loan? Like a "personal use" or something from a "bank" bank.
and I think the 1k for the collection fee could be fought off - just yell a lot and show the letter you received... though yelling isn't gonna do much good except maybe make you feel a little better

I wish you luck man

Uhm if you got a student loan from a student loan program you don't start paying it back until 6 months *after* you graduate or quit... So who did you get a loan from? A pawn shop? :P But really what kind of loan did you get? I'm sitting on $25K in student loans and haven't paid a dime in the last 3 years, minus the interest keeps compiling =\ ...

doesn't the us have some sort of educational aid ? like in canada you can get a student loan which you don't have to payback for like what seems like forever after graduate, and even then if you can't get a job you can get interest relife which means the gov't pays its own interest, and then it keeps your GST rebates and tax rebates, and puts them against your loans.