Virginia Beach Navy vet haunted by tuition loan from 1974, says he repaid it

Around the South

VIRGINIA BEACH, Va. (WAVY) — Anthony Corley says nobody wants to listen, even when you have quite a story to tell.

He enrolled in a computer school in Los Angeles back in 1974.

“Computers were gonna be the next big thing,” Corley recalls.

But the school had a big problem. “We really didn’t have any computers.”

After only about three weeks, the school was closed.

Corley had taken out a federal college loan for $2,000 for the one-year program that wasn’t even a one-month program. He says the school’s owner made off with the tuition money and ended up in jail.

Corley worked out a settlement with the Department of Education for $518 and started paying that back.

About 10 years later, he knows he paid off the balance when he was trying to buy a house.

“We were trying to get a VA loan. We had to pay off the settlement, or they wouldn’t get us the loan.”

Corley got the mortgage, but then fast forward to 2015, when he started getting collection letters.

The $500 loan balance, that Corley says was already repaid anyway,  has skyrocketed to $4,000 with penalties and interest, and nobody seems to have a record of his payoff. And now, it’s getting worse.

“With the new laws, they can go and get your social security. They can garnish your check.”

Sure enough, the Treasury Department sent Corley a letter last month, saying they can take up to 15 percent of his check each month. All to repay a debt he says was paid more than 30 years ago.

The next step for 10 On Your Side is contacting the U.S. departments of Treasury and Education and trying to set the record straight for Anthony Corley.

Copyright 2019 Nexstar Broadcasting, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Copyright 2019 Nexstar Broadcasting, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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