VIRGINIA BEACH, Va. (WAVY) — In a 10 On Your Side success story, a nightmare has ended for a Navy veteran from Virginia Beach. He was trying to prove to federal authorities that he did not owe anything on a college tuition loan from 45 years ago.
Anthony Corley and his wife Denise just received a letter that was welcome news.
It confirms that Corley’s tuition loan with the Department of Education is satisified, but the truth is, it was paid more than 30 years ago. Corley had borrowed the money to attend a computer college in Los Angeles in 1974. It was supposed to be a one-year course, but the school folded after only three weeks.
Corley applied for a V.A. mortgage in 1988, and had to pay off the college loan in order to qualify for the mortgage. The record of closing the college loan got lost.
“I made the payout,” Corley recalls. “Somebody just didn’t do their job I think. Without your help nobody would have checked it out.”
Two years ago, Corley began to get collection letters, and the debt had grown to more than $4,000. Then he got a letter from Social Security.
“They said they would start garnishing my check.”
Under new laws, the Social Security Administration can garnish up to 15 percent of a monthly benefit check to repay a federal debt. But Corley had repaid the loan decades ago. We contacted the Departments of Treasury and Education on his behalf.
“$4,000 would have taken years to pay out of Social Security,” said Corley’s wife Denise. “I’m so thankful that you guys came in and helped us.”
The stress got so bad, Corley had begun to take medication for high blood pressure.
He feels better now, knowing the wolves are no longer at his door for a debt he repaid long ago. “That’s a big relief,” he said, heaving a huge sigh.
“The little guy won for a change.”
Corley says he did pay some money recently to a collection agency, thinking he would have to — before we got involved. He says they’ve agreed to return the money now that he has proof that the debt was paid off more than 30 years ago.