3 months into rehab garnishment is starting

[ctonjes]

after being forced into rehab to prevent garnishment (and being denied for consolidation by wm. d ford), signing the paperwork, and making three payments on the mutually agreed upond schedule and amount, I received the thirty day letter yesterday.

 

I am at a total loss what do. None of my bank drafts were returned and I did everything allied interstate told me to do.

 

Why would this be happening?

[LynnInMN]

after being forced into rehab to prevent garnishment (and being denied for consolidation by wm. d ford), signing the paperwork, and making three payments on the mutually agreed upond schedule and amount, I received the thirty day letter yesterday.

 

I am at a total loss what do. None of my bank drafts were returned and I did everything allied interstate told me to do.

 

Why would this be happening?

 

 

Call them maybe?? Normally when I was collecting, 30 day notices could not be sent out on paying accounts.

 

 

Why where you denied by Wm D Ford?? Do you have a judgement against you??

[ctonjes]

the letter stated that the loans were in default, and that i had not made three voluntary on time payments (actually by the date of the letter i had). it suggested rehab or a certification from dcs on the three voluntary payments.

 

i have called allied repeatedly to no avail. tomorrow is the draft date for my sept payment.

 

My empoyer's policy is to terminate people with garnishments, child support, or tax offfsets. So I am very oncerned about this. I don't know what I did wrong.

[LynnInMN]

the letter stated that the loans were in default, and that i had not made three voluntary on time payments (actually by the date of the letter i had). it suggested rehab or a certification from dcs on the three voluntary payments.

 

i have called allied repeatedly to no avail. tomorrow is the draft date for my sept payment.

 

My empoyer's policy is to terminate people with garnishments, child support, or tax offfsets. So I am very oncerned about this. I don't know what I did wrong.

 

 

Then maybe your employer should be informed they CANNOT terminate for a garnishment.

 

From the DOE site

 

No Retaliation. An individual may sue any employer who discharges from employment, refuses to employ, or takes disciplinary action against an individual subject to a Wage Garnishment Order by reason of the fact that the Individual’s wages have been subject to garnishment under 31 U.S.C. 3720D. A court of competent jurisdiction shall award Attorney’s Fees to a prevailing employee, and, in its discretion, may order reinstatement of the individual, award punitive damages and back pay to the employee, or order such other remedy as may be reasonably necessary.

[ziggypop]

the letter stated that the loans were in default, and that i had not made three voluntary on time payments (actually by the date of the letter i had). it suggested rehab or a certification from dcs on the three voluntary payments.

 

i have called allied repeatedly to no avail. tomorrow is the draft date for my sept payment.

 

My empoyer's policy is to terminate people with garnishments, child support, or tax offfsets. So I am very oncerned about this. I don't know what I did wrong.

 

 

Then maybe your employer should be informed they CANNOT terminate for a garnishment.

 

From the DOE site

 

No Retaliation. An individual may sue any employer who discharges from employment, refuses to employ, or takes disciplinary action against an individual subject to a Wage Garnishment Order by reason of the fact that the Individual’s wages have been subject to garnishment under 31 U.S.C. 3720D. A court of competent jurisdiction shall award Attorney’s Fees to a prevailing employee, and, in its discretion, may order reinstatement of the individual, award punitive damages and back pay to the employee, or order such other remedy as may be reasonably necessary.

 

Lynn is absolutely correct but, sadly, very few employers know this. I worked for a public corporation (which has since been bought out by another) and we had the same policy. Fortunately, when I worked there, I wasn't in this position yet, but it can be scary! I remember being scared of that all the time -- I wasn't making enough money to pay my loans (and I didn't do my homework enough to know that, had I just called them, DOE would have worked with me) and thought that they would start garnishment at any moment. Those types of letters ALWAYS seem to show up on a Friday or Saturday when you can't do anything about it until the weekend's over!! It will work out, though!

 

Who is your guarantor? Why was your consolidation denied -- unless you have a judgment, it shouldn't have been denied for any reason that I know of. You have to go with the income contingent payment plan, but you can consolidate. I'm wondering if maybe the process was started before you started rehab and someone just dropped the ball and forgot to "flip off the switch" or whatever once you had an agreed rehab in place?? Hopefully that's all it is! Did you get appeal information with the letter? There's probably something in there about if you're on an agreed payment plan. You may want to also do a search for TxQuiltGirl's posts -- she had a garnishment appeal. It was a little later in the process (she hadn't started rehab yet), but she did manage to stop the garnishment.

 

Hope this helps!! Good luck!!!

[TxQuiltGirl]

You need to answer the letter and fill out all the paperwork ... and request the hearing. Do NOT let this just go!

[ctonjes]

I do have three judgements against me. This was not mentioned in the letter, however. (and my credit was not checked by anyone). So judgments will prevent you from consolidation? Really, they should mention that with the application.

 

I will call allied interstate tomorrow (after my bank draft clears) for about the hundredth time. I work for a government agency exempt from labor laws. Termination is the normal policy (with two weeks severance) for those who have garnishments, tax offsets, or child support issues.

[ziggypop]

I do have three judgements against me. This was not mentioned in the letter, however. (and my credit was not checked by anyone). So judgments will prevent you from consolidation? Really, they should mention that with the application.

 

Yes, they do prevent it. Actually, you can't consolidate if you're being garnished or if you have a judgment. In order to consolidate, you'll need to have the judgment(s) vacated.

 

Just to confirm (and I have to say that it's early here, so I'm not thinking clearly yet!!) -- the judgments are for your SLs, right? If so, they wouldn't need to check your credit; they already know about them. If they're for something else, they're irrelevant and don't matter for what we're talking about here.

 

I will call allied interstate tomorrow (after my bank draft clears) for about the hundredth time. I work for a government agency exempt from labor laws. Termination is the normal policy (with two weeks severance) for those who have garnishments, tax offsets, or child support issues.

 

Believe me, I understand about working for the government and being exempt from most labor laws -- been there, done that!! You'll need to confirm, however, that they are exempt from the specific statute that Lynn mentioned. Oftentimes, the exemptions don't apply to that (which isn't a specific labor law). The exemption is written into the law; generally in the section itself (as in, "this section does not apply to employees of XX agencies/governmental branches"), but it could be anywhere. Do you work for the federal government or for state/local government? You're much less likely to be exempted if you work for state/local government -- they can't exempt you from federal laws, only state/local labor laws, unless that federal law specifically exempted state/local government employees.

 

Good luck!!

[ctonjes]

the Judgements are not for an SL, and all have been paid for quite some time.

[TxQuiltGirl]

I don't think the judgments would have a bearing on you since they are not specifically for the SLs ... your account may have been ready for subrogation?

 

I'm really not sure what the problem might be; frankly I'm stumped. I do believe you need to request a hearing though. It might be some crossed wires somewhere.