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How can I stop what I think is unfair garnish  

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I attended a university in Evansville,Indiana and apparently I left with a remaining balance. I was not aware that there was a remaining balance; I understood that my financial aid/student loans were sufficent. For some reason they were mailing my bill to my parents address. This was not the proper address to contact me. I never knew of any bill until the sherriff deputy arrived at my parents house to issue a form saying I must appear in court. I immediately contacted the university and explained the matter and was advised to set up a payment contract directly with the university. I agreed and the university agreed to mail me a contract to sign. I never got a contract to sign, but what I did recieve was a letter to my job saying they were starting to garnish my wages. Now my wages are being garnished and I was willing to take care of the debt without the matter going to this level. The university has my correct address and I don't understand why they mailed the bill to my parents address which caused me to not know of it. My parents are up in age and they say we from time to time get junk mail so thats all I understood that was mailed to that address. Now I'm being garnished and I think its unfair? Is it anything I can do to stop it any further? My name is nathan austin

Email removed as per forum rules-Mike
 

asked Nov 19, 2006 06:56 PM

austinfamily2004
Best Answer
2
best answer

Hi Nathan.

I'm sorry, your situation is unfortunate. It's difficult to stop a garnishment already in action without filing bankruptcy, but it can be done. Basically, all you can do at this point, since the deductions have already begun, is talk to the creditor and explain what happened. Sometimes they will be willing to drop the writ and accept payments from you. HOWEVER..The garnishment only lasts 90 days, and it really may be in your best interest to allow the garnishment to continue, since the max garnishment on a student loan is 15%, and any payment arrangement the creditor would accept would be higher than that. Also, the black mark is already on your credit report, there is nothing you can do about that.

I'm sorry about this situation, it really does suck. If you need help or have any questions, I work in payroll/HR and would be glad to help. Good luck.

answered Nov 20, 2006 01:08 PM

2 Answers

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