National Collegiate places their accounts with local Texas law firms when they are ready to file a lawsuit. These firms act fast, often filing a lawsuit within 30 days of contacting you. If you've a received a letter from one of these law firms, it's imperative you contact us. We can help delay the filing of the lawsuit, as well as help you avoid the potential embarrassment of being served and National Collegiate winning a default judgment against you.
If National Collegiate Student Loan Trust is suing you, chances are it is for a large amount. The good news is that we have had a lot of experience fighting National Collegiate and can almost always lower or eliminate your debt with them. Because of the way National Collegiate operates their business, it can be very hard for them to prove they have a right to sue you in Texas. This is due to the strict rules and regulations in Texas civil courts.
In Texas, National Collegiate must prove several things to win in court:
- That you actually signed for the private student loan
- That National Collegiate now owns the loan and has a right to collect, and
- The amount National Collegiate says you owe is the actual and proper amount due
These requirements are actually quite challenging for National Collegiate because of how much your loan has moved from various institutions before ending up with them. Do they still have the original paperwork from the originating bank that made you the loan? Do they have proof of all the transfers from the originator, to the depositor, to the servicer, and then ultimately to the trust? Can they show every statement and calculation to prove that the interest and fees are correct? Chances are, they can't. So much so that National Collegiate was recently fined by the CFPB and ordered to stop suing on invalid or unverified debts!
The general process for a National Collegiate Student loan lawsuit is the same as for any other debt lawsuit in Texas. You can read a comprehensive overview of debt lawsuits in Texas here on our site. The bottom line is if you have been sued by National Collegiate here in Texas, it is in your best interest to hire an experienced attorney to challenge this lawsuit. The chances are good that we can get the case dismissed, or if nothing else, help you settle the debt for a fraction of the original amount.