Results 1 to 5 of 5

Hybrid View

  1. #1

    Default Wage Garnishment for a Student Loan Default

    My question involves collection proceedings in the State of: Maine


    I recently started having my wages Garnished. I was wondering what options I have to stop this and set up a payment plan. Basically everyone has told me my only option is to do a rehab program which would require me to make anywhere from 5-9 months worth of payments plus continue to the wage garnishing. I simply can't afford that. I don't have a problem with them garnishing my check, but 15% is a bit much. I know this is my fault because I shouldn't have allowed it to get to this point. I tried doing the student loan consolidation but they told me I didn't qualify because of the garnishment. The collection agency handling my account is impossible to deal with.

    any advice would be greatly appreciated.

  2. #2
    Join Date
    Apr 2009
    Location
    Somewhere near Canada
    Posts
    35,894

    Default Re: Wage Garnishment Options

    If you've left it long enough that they're doing a garnishment, you may find that they're no longer willing to do much else to help you out.

    Look on the bright side - they may have been able to take a lot more than 15% of your checks.

  3. #3
    Join Date
    Mar 2013
    Posts
    18,340

    Default Re: Wage Garnishment for a Student Loan Default

    You're already on a payment plan.

    They're certainly not going to give you a payment plan that gets lower payments because they are automatically getting the 15% that you have no control over.

    You've already proved to the creditor that you won't make payments voluntarily so I wouldn't expect anybody to believe that you'll make payments voluntarily in the future.

    The collection agency is impossible to deal with. No surprise there. You owed money and didn't pay. Collection agencies are supposed to be impossible to deal with. That's how they get delinquent debtors to pay up.

  4. #4
    Join Date
    Sep 2011
    Location
    OH10
    Posts
    17,019

    Default Re: Wage Garnishment for a Student Loan Default

    You already had the option for the voluntary payment plan. Now you are on the involuntary payment plan. Make extra payments and soon the pain will be over.

  5. #5
    Join Date
    Feb 2015
    Posts
    2

    Default Re: Wage Garnishment for a Student Loan Default

    I would call and ask a rep. my payment is 5 dollars a month. I am also being garnished about 90 dollars every 2 weeks. so yes u can possibly get a lower payment than what they garnish. the income they use to figure the 15% (for the rehab program payment) is based on your family size and "adjusted" income. once the 9 months of payments is complete default status is removed and garnishment is stopped and supposedly the loan is picked up by a lender and then is counted as a positive on your credit report ( so long as u make your payments on time) Im almost out of my rehab period. im excited to get my credit in order and looking forward to buying a house in the next 5 years or so.

    1. Sponsored Links
       

Similar Threads

  1. Student Loans: How Long Does it Take Before Garnishment Occurs After a Student Loan Default
    By glc4122 in forum Debts and Collections
    Replies: 1
    Last Post: 06-17-2011, 06:05 AM
  2. Student Loans: Student Loan Wage Garnishment
    By KMS in forum Debts and Collections
    Replies: 1
    Last Post: 10-18-2010, 10:27 PM
  3. Student Loans: Co-Signer Student Loan Wage Garnishment
    By Cosigner in forum Debts and Collections
    Replies: 3
    Last Post: 04-16-2010, 10:59 AM
  4. Student Loans: Federal Student Loan Wage Garnishment
    By Everettswife in forum Debts and Collections
    Replies: 13
    Last Post: 11-25-2007, 08:13 PM
  5. Student Loans: Wage Garnishment Over an Old Student Loan
    By rxwoman in forum Debts and Collections
    Replies: 1
    Last Post: 11-25-2007, 07:16 PM
 
 
Sponsored Links

Legal Help, Information and Resources