I am in North Dakota and my mother has received a phone call from a collection agency claiming that I owe 26,000 in private school loans from MN Dept. of Higher Education.

They advised that they need immediate payment or they will take her vehicle. Can they do that? There is no money owed on the vehicle as it was paid in cash and I am not even sure as to the validity of these claims. Any help would be appreciated.

Did your mom sign for any of your debts ?

Do you owe that much in student loans ?

Normally no what they will do is sue you, get a judgement and garnish your pay and things like that.

She did sign for some loans and the total loans for school were about 20,000. The collection agency claims that because of late fees etc. that the number has escalated drastically from what it was and now amoutns to over 26000 in addition to the 20000 that I am trying to pay off now.

I have received no phone calls from them or mail stating that I still owe all this money from MN dept of higher ed. My mom has only received one phone call and they said they would take her car. Ive sent an email to the MN Dept of Higher Ed to find out if I still owe this. I guess I was mainly curious to see if they could take her vehicle.