My wife signed a promissory note in Ohio for a student loan. According to the terms, she was to repay the note after she completed her schooling. She notified the loan originator of her graduation and attempted to start repaying the loan on multiple occasions but was told that she didn't need to start paying this loan back.
Almost 6 years after graduation, she was notified that they audited their records. They discovered that she had graduated and that they wanted her to begin repaying the loans. She was notified that she could pay the full amount and not owe any interest or begin repayment via a payment schedule with interest accessed.
I wondered what the statute of limitations is on a promissory note of this kind in Ohio? Also, the university that received the money from this loan recorded it as a scholarship rather than a loan.
Is this a valid loan collection? I am going to request copies of the original promissory note(s) from the loan originator to confirm that the total amount is correct.
Any help would be appreciated.
1 Answer from Attorneys
Re: Promissionary Note
The statute of limitations on a written contract, such as a promissory note, is 15 years. How the school recorded the matter is not relevant.