I am in need of some advice on provincial (NS) student loans. 

I checked my credit report - on what *would* have been the day after a discharge had my bankruptcy been the normal length, my NS Loan was removed as "transferred". It has yet to reappear - likely because when they tried to re-add it under Service NS I was still in bankruptcy. Or so I assume. 

After Industry Canada finally bothered to tell the loan agencies that I was discharged I got a snarky call  from Service NS demanding 100% of my loan ASAP or I would be taken to court. This was 2011. As I did not have the $10k sitting around, I asked what my options were for setting up a payment plan. I was told, after the horrible person laughed at me (!), that it was pay it all immediately or go to court. 

At that point I had no more phone contact with them, and did manage to setup a payment arrangement for my CSL via the CRA - no problems there, other than the challenge of paying $50k in 5 years. 

I have now received a letter from Service NS stating that my debt is a "Crown Debt" (can't seem to find any definition of that as it applies to me anywhere) and that I am expected to pay. I have yet to call them back, mostly because I know they will likely just tell me "all or nothing" again. 

What are my options here? Paying this and my CSL would be tight, but possible - if I could do monthly payments. What does "Crown Debt" mean, if anything? When I'm told "pay the full amount or go to court", is that true? They do have a lien (as does CSL) against my income tax returns. GST, etc. Other than that they have not received anything from me. 

Are there any resources on student debt for NS out there? Google is not turning up much. Mostly I just want to know what my rights are and what I can reasonably ask for. 

Thanks in advance. 

If you are going to communicate with that particular office I would suggest you find a way to record your call with whoever you are assgined to.  If you do advise the collector that the call is being recorded they will shy away pretty quickly and be very cautious about what they say and how they treat you. However, a few of them really do not care and feel that they are impervious to any consequences. If you choose not to tell them you are recording, well then you will may capture some pretty egregious yet entertaining material.

 

There are no limitations in respect of a student loan owed to the province of NS. So, if you are unable to pay you should communicate that and demonstrate it as per the hardship and any extenuating circumstances that you are expriencing. Or, if you are able to pay something make the offer in writing and support it with your financial particulars that demonstrate why you are only able to pay what you are offering.

 

Doing this in writing is also a very safe way because you will have a paper trail of good faith demonstration. The more good faith and willingness to participate you demonstrate takes away from their arsenal of usual and abusive collection tactics.

 

If they do take legal action, the end result will likely be a repayment plan. You do get to have your story told and despite what they threaten you with prior to taking the action.

 

If you have any other questions let me know.