My friend cosigned for his daughter's student loans which she defaulted on. He was sued by the state and the case was dismissed without prejudice because he became disabled after he signed the loans. He now is going to get back pay from social security/disability in an amount larger than the loans. That money has to be paid back to the long-term disability insurers. If he deposits the ss check and it takes a month to get the amount from the LTD people, can the loan people freeze the account and take the money?


