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The financial management service of the treasury dept. is threatening garnish my social security disability check if i don't pay them 110,000.00 which mostly interest. I have a heart condition and unable to work, lost business and sold house in short sale and gave them 13,421.22 dollars and that is all i could pay because they were the 3rd mortgage and they excepted the money now they want threaten me with a garnishment is there anything i can do to stop this.
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Answer All SS benefits are exempt from creditor actions. However a vehicle and a house are considered secured debt and can be subjected to seizure and possi…ble sale by the lender.
The answer is NO, SSI will NEVER be garnished, except to repay SSI overpayments, which can be recovered by a 10% reduction of benefits. SSI will NEVER be garnished for student… loans, back taxes, etc. Regular social security payments (NOT SSI) can be garnished IF you draw MORE than $750/month. If you make LESS than $750/month, nothing can be taken from your earnings. A garnishment can take 15% or the amount OVER $750, whichever is less to repay a "non-tax" debt, such as a student loan.
No. If a creditor other than the federal government tries to garnish your Social Security benefits, inform them that such an action violates Section 207 of the Social Security… Act (42 U.S.C. 407). Additional Information I only work as a paralegal at a judgment recovery firm which handles wage garnishments and bank account garnishments to collect money from judgments which have already been settled, I am not an attorney and I recommend you speak to one for legal advice. With that said, the basic answer is no they cannot. When pursuing for instance a bank account garnishment the law firm is required to send you a form notifying you of the garnishment action and included in this paperwork are some discovery forms where you will be asked a series of questions which they use to try and find other ways to collect such as other accounts you may have, etc. Included in this discovery is a form called "Claim of Exemption" where you have the option of saying that you are exempt from all or part of the garnishment because of reasons that you check off or write in. One of the options is social security benefits, which are specifically listed as exemptable income. Among various other things once you file this you say that they cannot take this money. Your money will remain frozen which is what happens when they move to garnish your account. The simple act of filing this though will prevent them from moving for a final judgment of garnishment which moves to actually have bank take the frozen money and send it to the firm. Now in my experience there are plenty bogus exemption claims, but when the exemption was for social security payments and the claim was valid, the case is usually dropped. occasionally usually on demand by the client the firm may move ahead with a hearing for an objection to your claim of exemption but if the claim is valid then even when defendants appear pro se (without an attorney) the exemption claim has ALWAYS been sustained by the judge and the objection overturned and soon after your money will no longer be frozen. Once again I advise you to speak to a licensed attorney for legal advice, this is just what I observe at our particular office as ONLY a paralegal. Good luck.
Yes, the government can garnish up to 15% of social security income. If you consolidate your loans, you can opt for an income sensitive repayment plan and possibly get a …lower payment than you are paying now. I have seen payments at $0 a month. If you need help on consolidating your student loans, click on the link at he bottom of this text box.
What is the limit a WA resident can have their Social Security Disability be garnished for a defaulted student loan?
The lenders of Government insured student loans are given special consideration that virtually guarantees they will get paid. (Like it can't be dismissed in bankruptcy).…
Can social security and disability checks under 750 be garnished for defaulted student loans yes or no?
Yes, the collection agency can garnish up to 15% of your SSI for repayment of defaulted student loans. If you feel it is an economic hardship, you can contest the garnishment …at the Ohmbudsman's office at the Dept. of Ed.
Generally not, except for Federal debts (Federal taxes) and child support or alimony. Generally, Social Security benefits are exempt from execution, levy, attachmen…t, garnishment, or other legal process, or from the operation of any bankruptcy or insolvency law. The exceptions are that benefits are subject: (1) to the authority of the Secretary of the Treasury to make levies for the collection of delinquent Federal taxes and under certain circumstances delinquent child support payments; and (2) to garnishment or similar legal process brought by an individual to enforce a child support or alimony obligation. Section 207 of the Social Security Act provides: "The right of any person to any future payment under this title shall not be transferable or assignable, at law or in equity, and none of the moneys paid or payable or rights existing under this title shall be subject to execution, levy, attachment, garnishment, or other legal process, or to the operation of any bankruptcy or insolvency law." However, section 6331 of the Internal Revenue Code of 1954 (26 U.S.C. 6331) which was enacted into law on August 16, 1954, after the enactment of section 207, gives the Secretary of the Treasury the right to levy or seize for collection of delinquent Federal taxes, property, rights to property, whether real or personal, tangible, or intangible and the right to make successive levies and seizures until the amount due, together with all expenses, is fully paid.
No, they are protected from creditor judgments under federal statutes. However, all Social Security benefits awarded to a non custodial parent are subject to gar…nishment for child support obligations.
Is it legal for your social security disability to inform you that your income is being garnished by a school loan?
Yes, if your student loans were Federally Guaranteed, like Stafford, Plus, or Perkins, then the collection agency is permitted to garnish any wages or Social Security income. …This is within the Federal Guidelines. There are only 2 ways to get out of default on your Federally Guaranteed student loans. Contact your collection company or student loan servicer and request to enter the rehabilitation program. Most people qualify, but I have seen some refused when the default is over 10 years old. In the rehabilitation program, you will need to make 9-12 on-time payments in addition to your garnishment. After the 9-12 on-time payments, they should stop the garnishment, but you will stay in a default status until your Rehabed loans are sold to a new lender. In the past, that was an easy process, but in these turbulent financial times, other lenders are not buying rehabed loans. So, with this option your loans will stay in a Default status for the forseeable future.The second way you can get out of default and have your garnishment lifted is to consolidate your loans. These days very few Federal lenders will consolidate defaulted loans and your lender will probably not release the loan for consolidation while in a garnishment stage. The good news is, there are a few companies out there that will help you get a garnishment lifted and find a Federal lender to consolidate the loans. One good example is Default Management Services, Inc. They are the cheapest I have seen and give a 100% money back guarantee on their services. You can Google the company name to get the phone #. Ask for Doug.
If the debt relates to tax arrearage and/or child support then yes, SSD benefits can be garnished via a court order. SSD cannot be garnished for creditor debt.
Yes, but only the federal government can garnish your Social Security check, and only for limited purposes, such as payment of child support, alimony, delinquent taxes, and de…bt to other federal agencies. Federal law prohibits creditors from garnishing social benefit checks, such as Social Security, unemployment, workers' compensation, SSI, VA benefits, and so on. The problem is that unethical creditors sometimes freeze and levy a bank account after the benefit is deposited and beyond Social Security's protection. Not only will the creditors suck money from your account, but the bank may charge penalties and fees for the garnishment and any checks that bounce. If this happens, you'll need to file a "waiver of garnishment" and get a court order to stop the action and get your money back. You can also notify the creditor that the income is from Social Security and protected from garnishment under federal law, and ask the bank to unfreeze your account (all in writing). Contact your nearest Legal Aid Society for assistance. If you can't afford to pay, they will assist you at no cost.
No, if the lender doesn't receive collateral from you - their only recourse to recover the debt is small claims court. If they do open a claim against you in small claims cour…t and win, the judge could issue a writ of garnishment for a percentage of your social security disability payments - however that is incredibly unlikely. Unless you also have a "day job" source of income, you are not the ideal customer for a payday loan lender - keep that in mind when seeking them.
Only federal government can garnish your Social Security check, and only for limited purposes, such as payment of child support, alimony, delinquent taxes, and debt to other f…ederal agencies. Federal law prohibits creditors from garnishing social benefit checks, such as Social Security, unemployment, workers' compensation, SSI, VA benefits, and so on If a creditor other than the federal government tries to garnish your Social Security benefits, inform them that such an action violates Section 207 of the Social Security Act (42 U.S.C. 407).
Yes, if it was a federally insured student loan or a federal student loan, within limits. Often what occurs is the monthly disability check will be reduced each month at an am…ount that allows one enough income for basic expenses and provide a sum for the repayment of the loan, until the loan is repaid in full.
Onlu for child support, alimony, or some federal debts.