<p>Universities</a> Sue Students Over Defaulted Perkins Loans</p>
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Several major universities are taking former students to court in an attempt to collect on past-due bills under the Perkins student loan program.</p>
<p>George Washington University, Yale University and the University of Pennsylvania have all filed lawsuits against students who defaulted on their Perkins loan repayments, Bloomberg reports.
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<p>Nearly one billion dollars. That’s a lot of English Lit. Seriously, it makes a strong case for not borrowing even for an Ivy league education.</p>
<p>I believed the defaulted loans came from all walks of education… not just humanities or social sciences!</p>
<p>It is also likely that a certain number of them are considered to be “in default” because the information is being sent to the wrong address. When I was in grad school, I had a loan on which I only had to pay interest while in school. Unfortunately, instead of sending the bill to me in the same city–I was, after all, a current student at their school–they sent it to my parents’ address in another state, from where it was forwarded to Europe, from where my parents sent it back to me in the US. By that time, the payment was over a month late and they said I was “in default” and therefore the balance was due in full. I owed them $14. Ridiculous. They also grossly mishandled the paperwork after I left school, despite my walking into their office and asking for it.</p>