Legal Question in Military Law in Pennsylvania

Loan in Default

When I enlisted I recieved the Army Loan Repayment option on my contract in 2002. Since then the Army hasn't touched the loans and I have been working to get them payed off and keep them in good standing. One of my loans was sent to a collection agency, and after telling them my situation, they are unwilling to work with me and are keeping the loan in default until I make 9 months worth of payments. Is there anything out there that can help me out so that my credit doesn't take anymore of a hit??

Asked on 1/04/08, 9:52 am

1 Answer from Attorneys

Donald G. Rehkopf, Jr. Brenna, Brenna & Boyce, PLLC

Re: Loan in Default

Yes - get whatever paperwork you have on this, showing that indeed you have the Loan Repayment option, your LES and then go see an Army Legal Assistance Officer, who will be a lawyer.

First of all, they may be able to write a letter to the collection agency on the issue to try and get the loan out of default status, and second - and perhaps more importantly, they might be able to find out why you are not getting the Loan Repayment Option as per your Enlistment Contract and get that straightened out.

Good luck to you and from another veteran, thank you for serving.

Don Rehkopf

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Answered on 1/04/08, 5:49 pm

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