Complaint / Review
Van Ru Credit Corporation
Lied About Contract Terms — Swindled — Threatened

For 25 years, my husband handled all of my personal finances. But my husband died on Christmas Day and I had to take over the finances myself. I thought I was doing OK, until a year later, when I was contacted by the Van Ru Collection Agency about a 20-year-old student loan in federal default. It was my student loan, but I thought it had been paid off 15 years earlier. That's what my husband had told me (before he died, of course).

I made a telephone settlement arrangement with Van-Ru. I agreed to ten monthly $250 automatic withdrawals from my account, after which time the loan would be out of default and the payments would be reduced to $50 per month. Collection fees would not be charged. And once the loan was out of default, the representative promised I would have the opportunity to research the loan and file a dispute.

After taking five payments, Van Ru sent me a contract to sign which listed entirely different terms. The contract says that I agree and understand that the payments will go UP to any amount dictated after I make nine $250 payments. AND that I agree to pay additional interest and fees, AND that the interest listed (over $6,000) will become part of the priciple.

I called Van Ru and got a rep named Sue. She was remarkably rude. She refused to discuss the contract. Sue said to sign it or else the Agency would keep my money and leave my loan in default. I asked why the terms of the contract were completely different than what I was originally told. She said, "We don't have time to discuss every little term on the contract with you before we take your payments. Stop whining, we are offering you an opportunity here."

I said, "I feel I have been misled."

She said, "So what? You're the one who let your loan default."

I said, "I didn't realize it was in default. My [deceased] husband told me it had been paid off."

She said, "Your dead husband is not my problem. Shut up and sign the contract."

At this point, I really don't know what to do. I think a mafia loan shark is more honest than Van Ru Sue.