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Who is a Class Member

Class members of the Defaulted National Collegiate Student Loan Class Action Settlement include “all persons that currently have addresses in the State of Illinois according to Defendants’ records that owe on a defaulted NCSLT loan and where the date of delinquency or last payment was made less than 10 years prior to the date of this Agreement.”

There are approximately 13,495 people in the Class.

For the purposes of the settlement, NCSLT includes the following trusts:

  • National Collegiate Master Student Loan Trust-I
  • National Collegiate Student Loan Trust 2003-1
  • National Collegiate Student Loan Trust 2004-1
  • National Collegiate Student Loan Trust 2004-2
  • National Collegiate Student Loan Trust 2005-1
  • National Collegiate Student Loan Trust 2005-2
  • National Collegiate Student Loan Trust 2005-3
  • National Collegiate Student Loan Trust 2006-1
  • National Collegiate Student Loan Trust 2006-2
  • National Collegiate Student Loan Trust 2006-3
  • National Collegiate Student Loan Trust 2006-4
  • National Collegiate Student Loan Trust 2007-1
  • National Collegiate Student Loan Trust 2007-2
  • National Collegiate Student Loan Trust 2007-3
  • National Collegiate Student Loan Trust 2007-4

If you don’t qualify for this settlement, check out our database of other class action settlements you may be eligible for.


Estimated Award

  • Varies

According to the FAQ 5, Class members can receive the following:

  1. Transworld Systems Inc. will request that the credit bureaus delete the credit report entry of TSI for each member of the Settlement Class, and TSI will use a commercially reasonable effort to ensure that requests are made to any other servicer of the defaulted loans owed to NCSLT for the Plaintiffs and the Settlement Class, including AES, that any credit report entries by them be deleted.
  2. Going forward, the maximum interest rate to be applied to your NCSLT loans will not exceed the lesser of the contracted loan rate or 9% per annum.
  3. If your date of default or your last payment was more than 5 years, but less than 10 years from January 10, 2017, no interest charges will be assessed on your loan for 48 months from the date of preliminary approval.
  4. If your date of default or your last payment was less than 5 years from January 10, 2017, no interest charges will be assessed on your student loan for 24 months from January 10, 2017.
  5. You will have the option to enroll in the HELP program for additional benefits as described here.

Proof of Purchase

  • N/A

HELP Enrollment Form

  • class action lawsuits

Defaulted National Collegiate Student Loan Settlement Notes

  • Sharon Eul, et al. v. Transworld Systems Inc., et al.
  • Case No. 1:15-cv-07755
  • Pending in the U.S. District Court for the Northern District of Illinois, Eastern Division

In September 2015, plaintiff Sharon Eul filed this class action lawsuit alleging Transworld Systems Inc. and other named defendants, including various debt holders, debt servicers, and law firms retained to collect debt—violated state and federal laws in the way they collected on student loans. The court consolidated Eul’s complaint with 7 other class action complaints against TSI.

According to the Consumer Financial Protection Bureau, the National Collegiate Student Loan Trusts are “15 Delaware statutory trusts that own more than 800,000 private student loans”. Transworld Systems Inc. is a nationwide debt collector.

Specifically, the plaintiffs allege the defendants engaged in a variety of misconduct in the process of attempting to collect alleged student loan debt, including violating multiple provisions of the federal Fair Debt Collection Practices Act, the Illinois Interest Act, the Illinois Collection Agency Act, and the Illinois Consumer Fraud and Deceptive Business Practices Act. Some of this alleged misconduct included collecting and attempting to collect interest on students loans that exceeded state law limits.

The parties reached a settlement in order to avoid the cost, risk, and delay of further litigation. Complete details about the case and settlement are provided on the Defaulted National Collegiate Student Loan Settlement website.

Class members who wish to exclude themselves or object to the terms of the Defaulted National Collegiate Student Loan Settlement must do so by April 2, 2018. Class members who wish to participate in the settlement but not enroll in the HELP program do not need to take action; however, Class members who wish to enroll in the HELP program will need to submit their enrollment form by April 2, 2018.


Important Dates

  • 4/2/18: HELP Enrollment Form Deadline
  • 4/2/18: Objection or Exclusion Deadline
  • 4/25/18: Final Hearing at 1:00 pm CT* (class members do not need to attend this hearing in order to receive a slice of the settlement pie).

Settlement Class Members who wish to speak at the hearing should check www.EulSettlement.com to confirm that the date or time of the Hearing has not been changed.


Contact Information

  • Mail: (Class Counsel) Emiliya Gumin Farbstein, 20 South Clark Street, Suite 1500, Chicago, IL 60603;
  • Phone: 312-917-4504
  • Fax: 312-419-0379

Class Counsel


Settlement Website

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