I attended a private university from 2000- 2004. Each year I needed financial assistance I would speak with the schools financial aid office and Citibank was the chosen loan company; they pushed this type of loan, said payments would be manageable when I graduate and everything would be fine and dandy. I came out of school with $60,000 in debt (4 separate loans within Citibank) since I graduated I have maintained employment but have had some rough spells where I needed to place my account in forbearance/ deferment- interest accrued like crazy I would assume. I have been paying on the loan, I have paid $28,000 and my balance still remains $61,000. My statements reads I am paying $300 on principal and $130 in interest but my principal is NOT going down by $300 each month. When I called Citibank to inquire about this they stated I am paying strictly interest and nothing will come off the principal unless I double up on payments. I received a notice a few weeks ago that my min payments each month were going to be $800- I can NOT afford that and Citibank is NOT willing to work with me at all, they have stated I am on the graduated payment plan and it’s my fault I took such a large loan. I am sinking and I need help. This loan has stopped me from getting approved for a mortgage I don’t know what else to do…..can you please send me in the right direction!

Is this for federal loans or private student loans? Citi used to do both...

If it is for federal loans, I recommend that you consolidate them through the Direct Loan program and select a repayment plan such as Income Based Repayment.

For private student loans, Wells Fargo currently is the only lender offering consolidation. Their phone number is (800) 658-3567. The reason I suggest it is in many cases, consolidation will lower your monthly payment. You will still be paying a lot of interest, but the month-to-month amount will be more manageable.

When you are eventually able to pay more per month, make sure any and all overpayments are applied directly to principal.

I have the same thing going on as swimlax. notified recently that my payments were going to more than double next month because my gradual repayment has run out and "There are no other options that Citibank Offers at this time"

However just yesterday I got this email from them:

"Although you have fallen behind on your payments, we have a variety of payment plans and other options to help you. Please take a moment today and call us toll-free at one of the numbers listed below to discuss your options. We have helped many of our customers resolve their payment problems due to financial difficulties - we can do the same for you.

Sincerely,

Collections Department"

After I called and specifically cited this email it was like I was talking to a broken record... sorry, citi doesn't offer any sort of help anymore... FALSE ADVERTISING.... How can a company send me an email, addressed to my name, telling me they can help, then after simply obeying their email, they tell me there is nothing they can do...?

alexs wrote:I have the same thing going on as swimlax. notified recently that my payments were going to more than double next month because my gradual repayment has run out and "There are no other options that Citibank Offers at this time"

However just yesterday I got this email from them:

"Although you have fallen behind on your payments, we have a variety of payment plans and other options to help you. Please take a moment today and call us toll-free at one of the numbers listed below to discuss your options. We have helped many of our customers resolve their payment problems due to financial difficulties - we can do the same for you.

Sincerely,

Collections Department"

After I called and specifically cited this email it was like I was talking to a broken record... sorry, citi doesn't offer any sort of help anymore... FALSE ADVERTISING.... How can a company send me an email, addressed to my name, telling me they can help, then after simply obeying their email, they tell me there is nothing they can do...?

I really suggest moving your federal loans over to the Direct Loan Program via a federal loan consolidation. Their payment plans are SO much more flexible and you can pretty much target your monthly payment according to your income.

I have been having the same problem with CitiBank...It was a small private loan of $2100.00, and I am presently still in graduate school (last semester), and I was on in-school deferrment, but they said that my deferrement has ran out. I did not know that in-school deferrment could run out as long as you are in school. Is it different for private loans? I am was told that my in-school deferrment had run out by someone in their customer service, but was another member of their team told me that it was not true. And now I can not get a straight answer from anyone over there. Now, before we have gotten anything understood, I am getting the same email that everyone else say that get regarding if I can not make my payment to call them and they could work with me. Any suggestions?

Each private loan lender has different rules on in-school deferment, but I believe as long as you are enrolled at least half-time, they can be deferred. The only thing you can do is contact their customer service to get this straightened out.