I just received a letter from NCO about a student loan that…

Question

I just received a letter from NCO about a student loan that I thought was paid
back or written off from over 10 years ago. It was for an astromical amount over
ten thousand dollars demanding payment or payment arrangements. What are my
rights and is there a statue of limitations on a student loan debt? It was so
long ago I no longer have records of anything. How can I prove that I dont owe
that amount of money?

Debra · Accepted Answer

Debra Thal (username) :

Was the loan made in Ontario?

Debra Thal (username) :

if so unfortunately there is no limitation period for collecting on a student
loan.

Customer :

Ok but how do I prove the amount that is being asked? I just received a letter
with an amount and nothing else? Is there anything that I can do on my end?

Customer :

I guess I need to know if its in my best interest to fight it and how do I go
about that. They are asking for over 15,000. Pretty sure that most of it is in
interest. This is from over 15 years ago. Any suggestions?

Debra Thal (username) :

Is this a provincial loan?

Debra Thal (username) :

Was it from the bank?

Debra Thal (username) :

Also was it made before 2002?

Customer :

Im not even sure if it was a provincial loan. It was literally 18 years ago and
yes before 2002. I believe the OSAP loan was done originally through CIBC bank
and I thought was settled years ago.

Debra Thal (username) :

OK

Debra Thal (username) :

I think it's too late for them to sue you then.

Debra Thal (username) :

Federal loans cannot be sued on after 6 years.

Debra Thal (username) :

In Ontario before 2002 it was 6 years.

Debra Thal (username) :

I don't think your loan comes under the new Act.

Debra Thal (username) :

I suggest you say you paid and not to bother you again.

Debra Thal (username) :

If they harass you then report them to the Consumer Protection Branch.

Debra Thal (username) :

I think this company is located in BC though so you may need to report them
there.

Customer :

Should I just ignore the demand letters then? I did a few months ago ask them to
prove to me in writing that I owed that amount of money because they were
threatening me with withholding my tax returns etc. I have gotten nothing with
proof that I owe money except for the demand letter asking for my financial
information and telling me that they will be investigating my financial status.
The letter is from an office in Brantford, Ontario. It also has an address in
Toronto.

Debra Thal (username) :

If they are not the government they cannot withhold your tax refunds.

Debra Thal (username) :

I think you should contact the consumer protection branch and discuss this.

Debra Thal (username) :

If they are lying to you then they can lose their licene.

Debra Thal (username) :

licence.

Debra Thal (username) :

Let me get you the contact information.

Debra Thal (username) :(NNN) NNN-NNNNor 1-800-889-9768
Debra Thal (username) :

I think you should ignore their letters for now.

Customer :

I did get a letter from the Government of Canada dated January 2010 for the
Ontario Student Assistance in the ministry of training, Colleges and
Universities telling me that they may withhold some of my income tax refunds
with the address and number of another collection agency. This is the agency
that harrassed me and finally I sent the letter demanding proof. I will
definately call the consumer act and get more information.

Debra Thal (username) :

The Government of Canada is too late.

Debra Thal (username) :

They are not able to do this after 6 years as far as I understand it.

Debra Thal (username) :

I think that's why they have done nothing more.

Debra Thal (username) :

The changes in the law don't allow them to at this point.

Customer :

Ok thanks so most of this is smoke and a collection agency using bulling
techniques to scare me into giving them information about myself.

Debra Thal (username) :

I think that's it.

Debra Thal (username) :

One important point.

Debra Thal (username) :

A limitation period restarts if you make a partial payment or if you acknowledge
the debt in writing.

Debra Thal (username) :

I bet they are trying to get you to make a small payment.

Debra Thal (username) :

That will start the limitation period over.

Customer :

No payment has been made. In my letter I told them that I thought the debt was
paid and to prove to me that it does exist. Here is a copy of the letter that I
wrote to them

Customer :

ARC no longer harrasses me it is now NCO

January 20, 2012

A.R.C. Accounts Recovery Corp

204-777 Guelph Line

Burlington ON

L7R 3N2

Account:

To whom it may concern,

This letter is to formally request in writing a statement of money owing the
Ministry of Training, Colleges and Universities. Apparently I owe money from
student loans from well over 10 years ago but no one has been able to prove to
me how much I owe. As far as I am concerned I paid back my loans. I have been
harassed non stop about every four to five years about this issue and I am still
not clear as to how much money I owe. Nothing has been sent to me formally in
writing as to an amount or a last statement of what I paid. I am requesting all
my records from the Ministry of Training, Colleges and Universities so that I
can make sure that I actually owe money. As far as I am aware part of my tuition
was a grant and part was loan which I thought had been paid. If in fact I owe
money, I would like to clear this up and stop the harassing phone calls and
threatening letters from A.R.C. And the vague letters from the government saying
that they will apply tax refunds to my debt but once again no where is there an
amount stated. This is very frustrating to say the least.

I request all phone calls from Accounts Recovery Corp to stop immediately. If in
fact I do owe money to the Ministry of Training and Colleges then I will pay
them directly in the end but that is yet to be proved and determined pending
records that have been requested.

Sincerely,

Rob XXXXXXX

1. 1. Government of Canada
       
       Winnipeg MB R3C 3M2

Debra Thal (username) :

Good for you.

Debra Thal (username) :

I think you ignore them from now on but report this to the Consumer Protection
Branch.

Customer :

Thank you. You have been very helpful and I will definately report them.

41147.5883325579

I just received a letter from NCO about a student loan that…

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