Student Loan Wage Garnishment

I just received a notice of proposed wage garnishment on my student loan in the mail. At this point I dont know what to do. Im a single person and cannot afford to pay 15% of my disposible income. I can barely afford my monthly bills as it is, I dont have a dime left in my savings and Im up to my ears in debt. With that being said, I was wondering what my options are? I spoke with the collections agency that holds this account a couple of months ago. They offered a repayment plan that could restore my loan but that was unaffordable to me as well. They didnt offer my any other options or agree on a more reasonable amount that I felt confident that I could pay each month. So now Im sending in my request for a hearing based on financial hardship in hopes of a lower repayment. My question on that is, Once i have submitted all the information they need regarding my income and monthly bills, what will happen next? If they decide that for some reason i am not facing financial hardship, will I still have the option of the repayment the collectors offered me or will I automatically have my wage garnished? HELP!!!

How much do you owe? With your balance I might be able to give you better options.

You will have to respond to the proposed wage garnishment letter ASAP. You must respond in writing and will have to enter into repayent.

I owe about 10,000. I am gathering my information to request a written hearing. It said I have 30 days to respond so I shoould have it out by the end of the week. I just want to make sure I have options if they reject my request.

With a $10k balance, you are looking at a standard payment of $100 per month to rehab, lower if they go with reasonable and affordable. You have to figure out a resolution cause you will have to start paying.

Any suggestions on getting it lowered? When I told them I couldnt afford another $120 a month they didnt budge.

My wages just began to be garnished. In my case, I never got a notice telling me when it was going to begin, or what options I might have. I dont even have a # to call, just a note on my paycheck refrencing student loan garnishment. What should I do? They are taking $500 per month. I am married with 2 kids. I am the sole earner. Any advice would be awesome.

I am assuming this is a federal loan. They would not need a court order to garnish your wages

James...notices would have been sent out informing you of the pending garnishment.You would also have been sent numerous dunning letters from the CA. Does your guarantor have a correct address and phone number for you? It is your responsiblity to notify them of any change.

By my calculation, your disposable pay is around $3300 per month.

In Nov of '08 I started to pay back my student loan to a collection agency, I was informed that I must pay the minimum due for 9 months straight to get my orginal guarentor to adjust my monthly payment. With that said why did the federal government take my whole income tax return if I am paying monthly now??? Also, I was laid off from the hospital I work at and looking for work now. If I find a job are they going to garnish that also??? HELP!!!!

Anytime you are in default on a federal loan, the government is entitled to take you tax refund for any amount due. Guarantor do remove individuals that enter into repayment however borrowers do have to meet certain conditions. Conditions vary by each guarantor...some require you to be in repayment by a certain date, some require 3 payments, others require a minimum dollar paid in that year. If you started paying in November, it was probably too late or not enough to remove you from the off setlist.

If you continue with the rehab payment, your loan will be out of default by next tax season. Plus because you were laid off, you cannot be garnished for at least 6 months.

I'm sorry what do you mean by I can not be garnished for 6 months? So if I find a job I will be ok?? Can you explain further.

From the DOE site as an objection to being garnished.

The borrower has been reemployed within the past 12 months after being involuntarily terminated from the previous job.

This means if you were laid off or fired from your last job, you cannot be garnished for 12 months.

Does anyone have a copy of there hardship letter so that i can see a sample

I am getting garnish for student loan non payment currently. I am about to switch jobs. Do they have to start the process all over again. Meaning sending out the paper to me and this giving me a chance to make payment to stop the wage garnishment from my new job

Technically if you are making a job change and not being terminated, your garnishment should continue on to your new employer. However, you might be able to sqeek thru.

i had student loan $28k grow up to $75k, i didn't find a job with my dgree and i work a minimum wage job but still paying $100 a month for my collector agency but now thye are told me to pay $800 per month or i will face garnishment if i am still on payment do they have a right to garnish?

Is this a federal loan or a private loan??