Stillwater News Press

Local News

November 7, 2013

Bank sues city councilor for unpaid student loans

STILLWATER, Okla. — Stillwater City Councilor Cody Scott is being sued by JP Morgan Chase Bank for more than $25,000 in unpaid student loans.

JP Morgan gave Scott two $8,000 loans in March and August 2006 under its Education One Undergraduate Loan. Scott was attending Oklahoma State University at the time. Scott and cosigner Jeannie Burger have not paid on the loans since June 2012, according to an affidavit.

The bank filed two civil suits against them on Nov. 4 through the Payne County District Court, one in the amount of $12,922.05 and a second for $13,633.22.

Love, Beal & Nixon of Oklahoma City will represent the plaintiff.

“Defendants have failed, refused and/or neglected to pay the balance or balances pursuant to the agreed repayment schedule or schedules,” according to an affidavit.

The loans have accrued more than 10 percent annually with finance charges of more than $16,000.

Court records state Scott and Burger must dispute the debt in writing by notifying the plaintiff within 30 days and provide a written response to the Payne County District Court within 35 days, or else face default on the student loans.

Scott was contacted by the NewsPress and had no comment concerning the lawsuit against him.

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