Can some one answer this student loan garnishment question??

Sheldon- I am not sure about what you asked- need to read up more on student loans! I am bumping this up so maybe someone will see it and be able to help!..karen

Hi. I don't think that they can charge you extra interest. I think that they can only take however much the judgement is for...Is that what you are asking? It might help if you let us know what state you are in, too.

If this helps, after what seemed like a million years the Dept of Ed. found a 2000.00 loan that I never paid. Well, they sent it to collections, and intrest kept accruing until it was paid off.This was a number of years ago . I was not garnished, but it was in the hands of a collection agency.

Here is a link to some info on student loan defaults. It might answer some of your questions:

edfed.com/resources/articles/student-loan-default.php

When you default, you are automatically charged up to 25% in collection fees 60 days post default. Your interest rate remains the same.

If they have started garnishing you wages, this means that you owe the whole amount. Therefore all of the interest has accured over the time that you wasn't paying. Now that they are garnishing your check you will be paying just against interst for a while and nothing towards the principle balance. First you will need to call to see how much interst you have accrued from time of no payment and that will let you know how much you will have to pay before you start paying against the actual principle.