Student loan holder wants to garnish pay

[cpugeek]

Girlfriend gets a call from her Student loan banker.

 

They called and said that they were going to garnish her pay if she did not sign a application (rehab paper) and pay $2,000

 

Is there any way around this to stop garnishment as that doesnt seem right?

 

Also if we send them any type of payment and they accept does that stop garnishment for the simple fact they accepted payment?

 

American Educational Service is the name of the Loan holder

YEA, she made a bad mistake..SHE ACTUALLY TOLD THEM WHERE SHE WORKED AT..

Edited September 30, 2008 by cpugeek

[LynnInMN]

Girlfriend gets a call from her Student loan banker. [

 

She got a call from her guarantor, not a banker.

 

They called and said that they were going to garnish her pay if she did not sign a application (rehab paper) and pay $2,000

Pay $2000 all at once?? Broken up into 9 payments?? Rehab consists of 9 on time monthly payments.

 

Is there any way around this to stop garnishment as that doesnt seem right?

 

She needs to get into repayment, especially if they have already started the garnishment process.

 

Also if we send them any type of payment and they accept does that stop garnishment for the simple fact they accepted payment?

 

Nope.

 

American Educational Service is the name of the Loan holder

YEA, she made a bad mistake..SHE ACTUALLY TOLD THEM WHERE SHE WORKED AT..

 

They would have found out anyways. These are federal loans....the IRS provides the information.