National Collegiate Student Loan Trust is one of the largest private student loan creditors in the country. Although they are not a primary lender, they act as a guarantor or insurance like agent for whomever is the primary lender. If a default occurs then National Collegiate reimburses the initial lender and takes the debt over. They then begin collection efforts. Collection usually turns into a lawsuit and then a default judgment quite often. Debt collection law firms such as Forster & Garbus and Rubin & Rothman frequently represent National Collegiate Student Loan Trust with collection and litigation efforts.
When a default judgment is obtained by one of the collection law firms, judgment enforcement efforts begin. We frequently see National Collegiate Student Loan Trust levying bank accounts and garnishing wages of consumers. Judgment interest accrues rising and increasing amounts that are already high. Sometimes real property liens are placed on a consumer’s home as well making it impossible to sell or refinance as well as to buy a new property.
It is important to submit an answer with defenses to protect against a default judgment or to file an order to show cause to vacate a default judgment if one is obtained. Forster & Garbus and Rubin & Rothman are usually willing to negotiate a settlement in National Collegiate Student Loan cases. These settlements commonly reduce the total balance by 40% - 70% off but leverage must first be obtained to be able to do so.