This site seems great. I am hoping to get some guidance on my situation.
I attended Rutgers University from 9/2011 - 5/2012. I took out a 15k parent plus loan with my mother. It was disbursed into payments of 7500 each for each semester. However, in Spring 2012, I had an emergency and had to drop below half time. Rutgers gave me the refund of around 5k, which was used to help with my situation at the time. The second half of the direct plus loan of 7500 was never disbursed to Rutgers. I am now getting a bill from Rutgers saying I owe 7,313 - which is the entire semester amount. I am currently still in school (at another university - that accepted me seeing my unofficial transcripts) and Rutgers will not release my official one until the balance is paid in full.
I cannot get approved for a private loan and I am in no position to pay that amount. I cannot register for the upcoming semester because now my current school is demanding the official transcripts. I feel like I am at a lose lose! I am trying to do the right thing here. I understand I owe a debt but it was suppose to be a student loan. I would have never accepted the refund if it wasn't from the student loan!
Any guidance would be greatly appreciated. Rutgers is threatening to send me to collections as well. I just applied for a direct plus loan to cover that semester which was approved but I doubt it will disburse because I do not go there anymore.