Unable to Pay Debt Collection from University

jakeeo on 25/11/2015 - 12:09
Last edited 25/11/2015 - 12:29 by 1 other user

Hi OzBargainers,

Could anyone please suggest any advice about my awkward situation.

I enrolled through VTAC last year to study for 2015 as a mature age student. In one of my preferences, I included one for Certificate 4 in Accounting at Victoria University and the uni offered me a place in the very first round. I accepted their offer and enrolled in the course. However, I ended up not taking that course since I was later offered a better course at La Trobe University.

Now Victoria Uni authorised their agent to collect a tuition fee of $7,560 from me which I never attended any class and I am on the edge of possibly involved in legal pursuit and being granted a bad credit check. I had no idea how would things turn up so bad like this. I did actually cancel the Certificate 4 course by the deadline, but still had to pay as at the time of my cancellation, it already passed another deadline for course withdrawal without any charge.

Upon enrolment for the course, I opted for fee subsidiary from Victorian Government as I was a permanent resident at the time. Unfortunately, after receiving reminder of tuition fee and contacting the Uni, I was told that Certificate 4 course is not subsidised by the Government, which they did not let me know at the first place.

This is my first study in Australia as a permanent resident and it was a very expensive experience which now I cannot afford to pay.

What will happen if I cannot pay? Do I have to go to court? How long a default like this will last on my credit report?

Please help and I appreciate any suggestion!

Thank you and have a good day

• 

  firedragon on 25/11/2015 - 12:33

  +1

  Can you arrange a payment plan with them? I am not sure how you would get out of paying this debt…

• 

  oscargamer on 25/11/2015 - 13:03

  +1

  See a solicitor

• 

  Randxyz123 on 25/11/2015 - 13:20

  +1

  Ok you need legal advice NOW.

  Why the f did you not sort out a payment plan when it passed the census date for withdrawing presumably without academic penalty? If it has gone to debt collectors you need to get on the phone to start organising stuff. If you ignore the letters yes you will likely have to go to court and pay court costs.

  Not knowing it wasn't subsidised isn't an excuse. I'm a student as well and the Uni sends you HEAPS of reminders about checking your invoices.

  They aren't gonna say to you "No worries you don't have to pay your $7,560"

  Best of luck I suggest start by getting on a payment plan, then get a job if you don't already have one.

  • 

    burningrage on 25/11/2015 - 13:29

    +1

    OP said it is his (her?) first study as a PR.

    Chances are the word "census date" don't mean jack to OP.

    • 

      Paul Atreides on 25/11/2015 - 13:59

      +3

      didnt make cens

      • 

        burningrage on 25/11/2015 - 14:27

        +1

        OP could be newly arrived migrant who probably doesn't know 'census date' means last day to withdraw without costs.

    • 

      Randxyz123 on 25/11/2015 - 14:36

      +1

      While I sympathise with the OP, I think they did kinda understand what they were doing

      I did actually cancel the Certificate 4 course by the deadline, but still had to pay as at the time of my cancellation, it already passed another deadline for course withdrawal without any charge.

      However they were under the impression that it was covered by HECS. However if the OP has only posted this now they have gotten a letter from a debt collector having either overlooked or ignored the other invoices then it kinda is mostly their fault.

      The main thing now is to sort it out

      • 

        jakeeo on 25/11/2015 - 15:29

        I knew the amount they were charging to me. My mistake was I did not realise there were two different kinds of census date they were operating. Cheers,

• 

  QW3RTY on 25/11/2015 - 14:28

  +1

  I accepted their offer and enrolled in the course.

  Uh oh.

  I ended up not taking that course

  Uh oh.

  I did actually cancel the Certificate 4 course by the deadline, but still had to pay as at the time of my cancellation, it already passed another deadline for course withdrawal without any charge.

  I'm a little confused. You cancelled by the deadline, but at the same time, didn't? Have you consulted the conditions/requirements for proper cancellation?

  What will happen if I cannot pay?

  You'll probably be chased by a collection agency until they sue you.

  Do I have to go to court?

  You probably will if they sue you.

  How long a default like this will last on my credit report?

  Seven years if the claim meets certain requirements.

  ---

  As said above by other commenters, you need some suitable legal advice. But from what you've said, you've accepted an offer and the conditions of acceptance that come with it. Best of luck mate.

• 

  jakeeo on 25/11/2015 - 15:26

  Hi all,

  Thanks a lot for all your advice.

  I did cancel the course by the deadline and before their census day. Then I thought it would be ok. However, weeks later they still send me the invoice and that when I knew that the census date for that course (which is TAFE) is different and earlier from the census date of uni (which I supposed it to be)

  I just organised an appointment for legal advice. Now I do not know what will happen next.

  • 

    Randxyz123 on 25/11/2015 - 16:35

    +1

    Hopefully they will let you go on a payment plan.

    Is there anyone you can borrow money off like your parents if necessary?

• 

  EG1991 on 25/11/2015 - 15:34

  +1

  Smart move seeking legal advice hopefully they don't rip you off, I am sure there is a payment plan that can be organised or even if you are lucky and have a smart solicitor has negotiate a reduced course fee so your not lumped with the full amount!