Wage Garnishment

If yours is a Federal student loan and you can successfully argue that the garnishment would cause undue hardship on your finances when you'd lose the employment, the lender may work out an alternative repayment plan with you.

In order to stop the garnishment you need to contact the Department of Education (DoE).

Wish you luck!

The OP says he currently doesnt have current grounds for financial hardship. If employment ends, so does the garnishment. No need to contact the DOE. Another bring point...after being laid off, you cannot be garnished for 12 months once you are employed again.

How long does it take for the status to change from 'in garnishment' to 'basic default'?

Garnishment status is removed once the employer reports that the employee is no longer employed.

If you have no job, no assets and no bank accounts, and you only work under 1099 status, REALLY what can these student loans that are in default really do? Put a lein on you? I know it ruins your credit, but if you pay cash for everything, why does this matter? I am very old, over 70 and never intend to buy a house again, credit is a thing of the past.. do I really need to stress? about not paying my $75,000 student loan debt that i have paid on for 15 years with no end in sight?

If this is a federal loan, you can look forward to having your social security garnished.

no, all my loans are private loans (WF,Citi,campus door) so Social securite can be garnished. I use a checking account with my daughter, in her name alone, so they cant seize a bank account. I live with my daughter, so no assets. Tell me truthfully Soap Lady what can they do. A very good friend of my who is involved in the legal system believes I am pretty much judgement proof. How come you wont say so? Isnt this true? Do these companies do research before they attempt to sue you? if so, and they discouver I have nothing, why do they bother spending the money and expense to do sure me?:confused:

Hope my previous post makes sense, I just realized I didnt proof read it and there are lots of mispellings,, sorry..:-?

If your loans are private, they cannot garnish social security. Judgment proof? Really no such thing. They will take out a judgement as a part of doing business...it protects their interest for up to 20 years If you use a checking account with your daughter, the could potentially levy everything in it including your daughters funds.

The checking account where the funds are direct deposited are in my daughters name only, under her social. I have no involvement in it.