i waited too long - ca started garnishment today

[ctonjes]

I messed up big time. The ca who hs my loan called me today and wanted a 4300 down payment. I told them I couldnt give that to them and they said because of the balane and the age of the default it was that or garnishment.

 

When i explained that I did not have the ability to borrow that amount and that it was almost my entire take home pay, they cut me off and hung up and called my payroll manager to start the process.

 

I explained that I had applied for consolidation, but understood that until that occured my obligation remained. I tried to get them to take 900 down and 700 a month but they refused.

 

I applied for consolidation, but I understand that takes 90-120 days. Will I still be subjet to garnishment when the consolidation occurs?

[TxQuiltGirl]

I messed up big time. The ca who hs my loan called me today and wanted a 4300 down payment. I told them I couldnt give that to them and they said because of the balane and the age of the default it was that or garnishment.

 

When i explained that I did not have the ability to borrow that amount and that it was almost my entire take home pay, they cut me off and hung up and called my payroll manager to start the process.

 

I explained that I had applied for consolidation, but understood that until that occured my obligation remained. I tried to get them to take 900 down and 700 a month but they refused.

 

I applied for consolidation, but I understand that takes 90-120 days. Will I still be subjet to garnishment when the consolidation occurs?

 

 

 

They can't "call" your payroll manager to start the process. They have to send a letter. Have YOU received a letter from them? They are supposed to give you 30 days to cure the default or give you the chance to work out a payment plan.

 

There is NO requirement for a down payment for rehab.

[LynnInMN]

I messed up big time. The ca who hs my loan called me today and wanted a 4300 down payment. I told them I couldnt give that to them and they said because of the balane and the age of the default it was that or garnishment.

 

When i explained that I did not have the ability to borrow that amount and that it was almost my entire take home pay, they cut me off and hung up and called my payroll manager to start the process.

 

I explained that I had applied for consolidation, but understood that until that occured my obligation remained. I tried to get them to take 900 down and 700 a month but they refused.

 

I applied for consolidation, but I understand that takes 90-120 days. Will I still be subjet to garnishment when the consolidation occurs?

 

They cannot just call your payroll manager to start the process. They can call to verify employment and then you will be sent a 30 day notice. You have the right to appeal but you must return the paperwork within that 30 day time frame.

 

Once you consolidate, you have a loan in current standing. Since the default is resolved, no garnishment.

[LynnInMN]

I would also recommend you call the student loan Ombudsman. They turned down $900 down and $700 per month?? Technically under the rules of rehab, since you are offering to pay a half way decent amount, they should not even be mentioning garnishment!!!

[ctonjes]

Is there any chance the consolidation could occur before 90-120 days?

[TxQuiltGirl]

Is there any chance the consolidation could occur before 90-120 days?

 

 

Possible, but who knows. And they WON'T wait that long to garnish you.

 

As Lynn suggested, call the ombudsman.

[ctonjes]

I thought the amount was serious and worthy of consideration. I'm afraid the ombudsman won't listen to me. I guess I can just pray for the gods of consolidation to process......hopefully it will occur before this goes further

[OU8122]

Call the Ombudsman. Don't wait for consolidation.

[lil_walnut]

Call the Ombudsman. Don't wait. Just call and talk to them. The worst they can say is no. And at best, you're fine and the CA gets a swift kick for not taking your terms.