Nature of the Case
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Facts
P attended D for a number of semesters including the Fall of 2007. P received grants and scholarships from various sources to fund her education. One of these sources was a Federal Perkins Loan in the amount of $750.00. Federal Perkins Loans are managed by the Office of Student Loans at D. Another source of the Debtor's financial aid was a North Carolina Department of Health and Human Services, Division of Services for the Blind grant, which paid the remainder of any unpaid tuition not covered by other sources of financial aid, such as federal grants and loans, or institutional grants and loans. P's student loan account received a disbursement of a grant from the Division of Services for the Blind prior to the disbursement of all other financial aid. Subsequent to that grant P's account received a disbursement of a Pell Grant and a D Grant. This resulted in an overpayment of approximately $1,949.83 that D was required to refund. P became liable to D for $1,949.83 plus interest because D repaid the Division of Services for the Blind on her behalf. P continued attending D but withdrew from school during one of these sessions, causing her to become ineligible for some of her financial aid. A portion of the financial aid for which P had not earned by finishing the session was returned to its originator by D. This resulted in P owing D $3,212.00. After P's discharge was entered, D began billing for the unpaid $3,212.00 and the $1,949.83 overpayment from the Fall of 2007 plus interest totaling $5,344.50. The attempts to collect on the $5,344.50 liability after the discharge was entered on December 1, 2010, are the subject of P's motion for contempt.
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