Will I still get stimulus package if I owe on loans?
I had my income taxes garnished due to defaulted student loans. I was wondering if anyone knows if the stimulus package could be garnished as well if I owe money still?
Your tax refund isn’t “garnished” it’s captured. The effect is essentially the same, but only wages can be garnished and only by the order of a court. No court order is required to capture your tax refund for unpaid student loans (or back taxes or unpaid child support).
Semantics out of the way, yes any stimulus plan rebate that you are scheduled to receive will be captured and applied against your outstanding debt. If it’s enough to pay it off in full, you’ll get whatever remains after the offset. The rebates are treated the same as any tax refund so if your refund was captured, so too will your rebate.
