Defaulted Student Loans Under Judgement
Date: Tue, 08/31/2010 - 12:48
Defaulted Student Loans Under Judgement
I have a National Direct Student Loan, taken out in 1985, which is listed as Defaulted, Unresolved and transferred to Debt Collection Service, DOE. I have four Stafford Subsidized Student Loans, taken out in 1983, 1984, 1985, and 1985. These are listed as Defaulted, In Litigation in 1993 and Defaulted, Unresolved in 1995 and transferred to Debt Collection Service, DOE. Al least the last four, if not all, are in the hands of CA.
They have been subject to federal tax offset and probably soon will be subject to wage garnishment although no action has been taken in that direction yet. I want to get ahead of this happening.
I can't pay they loans off (total including interest & costs in over $25,000). 15% of my weekly disposable income is about $45.00.
What is my best way of handling this? Are they eligible for consolidation or rehabilitation?
Any suggestions are most welcome
They have been subject to federal tax offset and probably soon will be subject to wage garnishment although no action has been taken in that direction yet. I want to get ahead of this happening.
I can't pay they loans off (total including interest & costs in over $25,000). 15% of my weekly disposable income is about $45.00.
What is my best way of handling this? Are they eligible for consolidation or rehabilitation?
Any suggestions are most welcome
Judgement accounts are not eligible for consolidation or rehab.
Judgement accounts are not eligible for consolidation or rehab. Their wage garnishment amount will go by your state maximum, normally around 25%, not the 15% used for admin wage garnishment.
