Actually ray that was pretty helpful. I am going to see my acountant for his opinion before i see a lawyer. I will update.

Ah, I see good ol' Rossi and the boys on are at it again. (Nordon used to be one of my favorite collection agencies. They provided hours of endless fun and side splitting laughter.)

The rejoinder that a valid settlement payment only stops collection procedings is, of course, rubbish. A bluff - if it was a valid settlement that you signed. Don't student loans have components to them involving federal, provincial and private banks' portions? Did the settlement you signed cover all three?

You need to take action. Stop whining and get off your ass. Make some phone calls. Get some legal help at a local free community legal clinic. If you expect to get any reliable and detailed help by writng into this forum; well, it aint gonna happen.

Ray

I was hoping for some input on the matter.

I settled my $8200.00 federal student loan with NorDon Collection for 4800.00. I was making significant, reliable monthly payments and was content to continue until I got it paid off.

Pressure! pressure! pressure! from the collection agency for me to make a one time settlement. I wish I knew then as much as I know now because I would have laughed at their ridiculous lies and threats which were at the time frightening and intimidating. They are used bullying and abusing people who are less advantaged, less informed, and without much of a social support system. But that is another story.
I insisted on everything in writing when negotiating the settlement. I have all the documents to prove everything I am writing. The exact phrasing on the Release Document they sent me said "full and final realease on the account".

My problem is that the RBC Student Loans is still reporting a balance on the account of $3400.00. - the difference between the high balance of 8200.00 and the $4800.00 I paid in the settlement.
I called RBC Student Loans and they are telling me that the "settlement" only sheilds me from further collection on the account. I am thinking about going to a lawyer.
In a million years how would any sensible interpretation of the phrase "Full and final release from the account" ever assume that the Lender would report that the account is not settled? What does the word "settled" mean legally? What legally does "full and final release on the account" mean? I don't know how they could negotiate a settlement for "full and final realease on the account" and then turn around and say i still owe 3200.00 on the account???