I'm officially confused, :confused: help me please. I owe 10k in defaulted student loans. I filled for a Hearing or Exemption, due to financial circumstances, but I received a letter saying that they have withdrawn their prior to Wage Withholding, and that no hearing will be held. They will not withhold my wages but they said I have to make satisfactory repayment arrangements on my account or it will result in them withholding my wages. Does this mean I'm not in default? What exactly does this mean? I'm hoping to go back to school asap, and am in a financial hardship right now. I can't even afford to have someone watch my 7 month old son while I work, I have to take him with me everyday :(. This isn't a permanent situation, my financial situation will improve in just 6 months. I'm just not sure what to do right now.
By signing up a debt counseling session, your provided details (Name, Email ID and Phone No.) will be forwarded to the company advertising on the DebtCC. However, you have no obligation to use their services.
Some creditors and collection agencies refuse to lower the payoff amount, interest rate, and fees owed by the consumer.
Creditors/collection agencies can make collection calls and file lawsuits against the consumers represented by the debt relief companies.
Debt relief services may have a negative impact on the consumer's creditworthiness and his overall debt amount may increase due to the accumulation of extra fees.
The amount which the consumer saves with the use of debt relief services can be regarded as taxable income.