Get Out of Debt Guy

I'm Scared Out of My Mind Over My Private Student Loans - Sue

Posted April 15, 2013

WRAL Reader Question

Okay. Have been in total denial and panic about this and situation is of course getting worse. Private student loan $5000 hearing from collection agency wanting it all. I tried to call bank where loan originated and they said can no longer help me. Afraid to deal with these people.

Dont have $5000. Scared out of my mind. Its worse than that. I have other student loans in forbearance but that could be up soon and one loan that i have used all my forebearances up and make too much to get a deferrment. I am beside myself.

Besides seeing a psychiatrist over this, do you have any concrete advice?



Dear Sue,

Stop, take some deep breathes. We will get through this.

I completely realize the situation feels overwhelming but that's the normal flood of emotions kicking in. It's just part of the seven emotional stages of debt that most people go through.

I think my guide on dealing with student loans will help you resolve this. See The Ultimate Guide to Dealing With Student Loans You Can’t Afford.

It sounds to me as if the original loan was in default for some time and the bank sold the debt off to a debt buyer. Is the debt they are claiming, even correct? Is it a valid debt?

It's time to stop pushing this situation off into the future and deal with it now.

I was thinking of starting a Raleigh area debt support group where readers can meet and help each other. Would anyone be interested in participating? If so, just post your vote in the comments below.

Steve Rhode

WRAL Get Out of Debt Guy

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  • JustMe83 Apr 17, 2013


  • steverhode Apr 16, 2013

    Here is the link to my Get Out of Debt Support group that will meet in Raleigh. Totally free. Just meeting to help anyone that wants to come. See

    Just friends helping friends.

  • JustMe83 Apr 16, 2013


About this Blog:

Steve Rhode has had careers in opthalmology, real estate and as the head of a nonprofit debt counseling firm. On his blog, he offers hard-won, free advice about getting out of debt, consolidation and making the right choices as you manage your money.