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Can a collection agency of a federal student loan refuse a payment that is affordable for the person?
Wiki User
∙ 14y ago
You have a right to file a hardship document for any true federal student loan, this does not include private or commercial substitutes to federal loans. However, expect that your tax return should match what you claim is income, and what you might consider your affordability may not be considered acceptable unless you are impoverished.
Wiki User
∙ 14y ago
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Relief for Federal Student Loan Payment?
If you have fallen behind on student loan payments due to unemployment or health expenses, relief is available. Federal student loan payment assistance programs include consolidation of multiple loans into one affordable payment, as well as income-based repayment (IBR) restructuring of loan payments. An economic hardship deferral is also available which enables a financially distressed borrower to defer paying all or part of her Federal student loan payment for a given period. However, interest still accrues during the deferral period and this is meant only as an emergency measure. These programs only apply to loans that are in good standing.
Can a loan company come and get your property even if your not the one who took out the loan?
If you are talking about Federal guaranteed student loans, then the answer is no. Federal collection agencies do not repossess property.
How can you make a settlement on your student loan?
No you cannot settle student loan debt for less than what you owe. Student loans are federally backed, and will find that student loan lenders will not settle for less than the principal balance that you owe them. The best they can do is offer a deffered payment plan or a forbearance.
If federal tax refund is subject to garnishment what about this tax rebate?
I remember in 2001 when they last did this type of rebate check, that part of our check was kept as garnishment for student loan payment. So more then likely they can and will keep this rebate check to offset any federal payment that is due. ------------- For offset purposes, the stimulus payment is treated like any other tax refund. This means that part or all of your payment can be used to pay past-due federal or state income taxes or non-tax federal debt such as student loans and child support.
Can a collection agency put a lien on your federal tax refund?
Most definitely for almost any loan. If it is a student loan, you can count on it.
What are the penalties for not making a student loan payment on time?
Penalties you can face when not paying your student loan payment on time are late fees, if a loan is turned over to a collection agency you can incur collection fees. You are also reported to the credit bureaus which can adversely affect your credit rating, in some cases causing you to have difficulty obtaining credit for purchases such as a car or home or other financial loans.
Is there a student loan payment calculator for all student loans?
Yes, there is usually a student loan payment calculator for most students loans. Some student loan payment calculators can be accessed through the internet.
Can I use debt consolidation on my student loans?
Debt consolidation is a very good and affordable way to help pay off your student loans. You can talk to your local bank for payment plans and other options that would best suit your needs.
Can they send you jail for a federal student loan on defaul?
Only if you gave fraudulent info to get it, keep it, or obstruct collection of it. Keep in mind that most student loans are federal government-backed financial aid, so there are enhanced penalties for those that abuse them. Borrowers guilty of no crime can have their tax refunds and wages taken, without a court order, for defaulting on their federal student loans in the US.
A student loan has been in default will collection agency still garnish tax return?
If it was a federal student loan, then yes, the collections agency could take your income tax return money. If it was a non-federal loan, then they would not be able. Secondly, federal student loans are can not be discharged, the US always gets paid even when laws are created for private businesses that disallow the same right of collections.
Can i add a student loan in a filing for bankrutpcy?
In the U.S., you can include a student loan in a bankruptcy and try to get it approved for economic hardship, but it rarely works. Federal and private student loans are not eligible to be discharged in bankruptcy and are rarely allowed by judges.If you need help consolidating your default student loans and get a low monthly payment or 3 years of no payment, call Default Management Services. You can Google them. Ask for Doug.
What does FAFSA stand for?
FAFSA stands for Free Application for Federal Student AidFree Application for Federal Student Aid
