Student Loan Garnishment
Question: The wage garnishment takes 15% of GROSS and two times monthly (paid twice monthly). Will they also take 15%of our income tax? or ALL? This has caused a HUGE hardship on our family as we now just had our car repo'd. We cannot afford to buy groceries or even go to the doc or dentist. How do I fight this?
We have seven children. Six whom still live at home, I am enrolled in school full time and am working as an intern.
If it's a federal student loan, then your husband's wages can be
If it's a federal student loan, then your husband's wages can be garnished up to 15% of his disposable income without any court order. If the creditor wants to garnish an higher amount, then he or she will have to get a court order for this. However, you can request for a payment plan from your creditor in place of garnishment and check out if he or she will agree to it.
it sounds like his employer is doing a miscalculation of the gar
it sounds like his employer is doing a miscalculation of the garnishment. Read the handbook at the bottom of this page... http://www2.ed.gov/offices/OSFAP/DCS/awg.employers.guide.html
He should then be talking to his employer.
As for the tax offset, they will take 100% of the return.
IRS Refunds & injured spouse
If the student loan is solely your husband's, you can file form 8379 as an injured spouse if you've filed a joint return. They will allocate your share of the refund to you. If you haven't filed yet, attach the form to your return.
Go to internal revenue service website for info on this subject.
If you cannot afford food, etc., you should file for food stamps, utility assistance, etc. if you haven't already. You can do this online.
