Forster & Garbus Settles SLM Student Loan Lawsuit for 70% Off

Posted By Law Office of Simon Goldenberg, PLLC || 6-Nov-2015

In the matters of SLM Private Credit Student Loan Trust v. K.W., two lawsuits were brought in Kings County Supreme Court against a New York defendant by the law firm Forster & Garbus, LLP, for private student loans originated by Sallie Mae.

The Plaintiff,SLM Student Loan Trust filed two separate lawsuits against the defendant for a total of approximately $98,500.00, which included the principal balance, present interest, and fees.

Although the client had resided at the same address for years, he was never properly served with the lawsuit, nor was he made aware that a judgment was entered against him. The defendant was first made aware of the legal action when he received a wage garnishment notice from New York City Marshal Ronald Moses, notifying him that they will order his employer to garnish 15% of his paychecks.

The defendant reached out to our office to learn his rights. After a phone consultation with Attorney Simon Goldenberg, the defendant retained our law firm to assist him in resolving the judgment and help him avoid wage garnishment.

Our lawyers drafted an Order to Show Cause to vacate the judgment based on lack of service, and we further requested that the court either dismiss the action in its entirety, or restore it to the court calendar so that our client could have a fair opportunity to fight the underlying claims.

Before the Order was heard by the court, our attorney were able to negotiate a settlement where our client would pay $30,000 to Forster & Garbus LLP as attorneys for SLM Private Credit, and in exchange, the remainder of the debt would be forgiven and the judgment would be vacated.

With the assistance of our debt relief lawyers, this client was able to:

  • Save over $68,000, which is a reduction of nearly 70% to his private student loan debt
  • Stopped the Wage Garnishment and avoided further risk of Bank Restraint
  • Eliminated the further accrual of interest and fees
  • Vacated the Judgment, which improves his credit score

Our lawyers have assisted many individuals with respect to resolving their debts, lawsuits, and judgments. Learn more about our experience in dealing with this particular debt collection law firm by visiting our page dedicated to Forster & Garbus LLP. Having the assistance of an experienced attorney can make a big difference in how your matter is ultimately resolved.

Call us for a free evaluation to learn how our lawyers can assist with resolving student loan debt owed to SLM Private Credit Trust, Forster & Garbus LLP, or to any other student loan trust or New York debt collection law firm.

Need help with debt relief? Learn why we stand out from other law firms.

Call us at (888)-301-0584 for a free phone evaluation.

Our attorneys strive to achieve the best results possible for each and every client given their own unique situations and the circumstances of the particular case. Results vary from case to case, and prior results do not guarantee future performance. Call us for a free evaluation of your matter.

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