ITT Tech & Student CU Connect Not much education for the cost Arnold, Missouri

I am in the same boat right now. I neve signed the loan forms but ITT took the loan out on me anyways. Student CU calls me a year and a half after I graduated and tells me I owe them money and my loan is delinquent. So they are already hitting my credit. I say fine lets work something out tell them I can make payments of $125. Well they want $800 upfront and then they will take the lower payments. Well a year later my rent has gone up and they have been actually taking $197 out of my bank account. I call up and ask can you lower the payments. They say two options. First I pay them another $800 and they will rewrite my loan for lower payments. or Second I cut the payment to what I need and they will keep charging the extra $97 and start intrest on it. Plus it wil become delinquent payments and hit my credit again....... Any ideas on how to get out of this issue would be great.....

John,

Since ITTapplied for the private loan from Student CU on my behalf, not paying would just end up screwing my credit score.  So I'm paying the monthly installment.  My boyfriend went to school at ITT the same time I did.  We took all the same classes and received the same worthless degree.  They applied for a private loan for him through Peaks, they are just as bad if not worse that Student CU.  ITT refunded all but $200 of what they received but Peaks wants  total of over $1700 as repayment on the $200.  They say he owes interest from the inception of the loan on the total ITT received and a $440 origination fee.  He has told them he will pay interest on the $200 since that was all that was used for his tuition.  It seems ITT gets people signed up then apply for all the money from all the sources they can, deposit to their accounts and use it not just to cover tuition but to cover some of their operating costs.  Then they refund what they need to to balance the student account at graduation, but the student is hung with the interest and fees.  None of that was ever explained to either of us until we found out about the loans after we graduated.  i guess the only recourse would be to sue ITT but that's going to cost you lawyer fees up front and is a crap shoot as far as winning the case.  There was a case of a women suing one of these for profit schools and winning $13 million but that was because she found out the degree she was signed up for was useless.  She was trying to become a nurse.  That's all I know at this point, pretty much out the cash if you do pay to try and save your credit or constantly hassled by the private loan goons if you don't pay.  Best to try and renegociate if possible.

 I am having the same problem with CU Connect.  So what did you end up doing about it?  I am not going to pay if this bill is not legit and i will file a lawsuit against them.