TEXAS student loan wage garnishment HELP?
I fell into a bad situation and my loans defaulted.
sallie mae, tsgl, and US dept ed have reported to my credit report.
I was unemployed. Now found a decent job and realize wage garnishment is going to crawl up to my door anytime.
DOES anyone know how long I have before I get notice of wage garnishment? Or offer to allow me to repay on my own?
I certainly do not want my job to know of this issue if I can help it. Just wondering how much time I might have?
Everyone, thanks for the help, but none of you are answering my question…
HOW MUCH TIME from my first paycheck, do I have before they catch on. Meaning how much time do I have to get this all in order? Anyone been here before? I have contacted TSGL and US DEPT ed, already, waiting to hear back
The US Department of Education Debt Collections Services will not garnish wages if you are making the minimum payment. So, if you call them yourself and tell them that you are currently employed and would like to set up a payment plan, then continue on in making the agreed upon minimum payment, wage garnishments will not happen. That only happens when people are not paying the loan payment on their own.
So, if you’d rather they not garnish your wages, be sure to keep in contact with them, set up a payment plan, and start paying it back. Once they receive a minimum of 6 consecutive and voluntary monthly payments, your loan will be eligible for consolidation. This means that the defaulted loan will be repaid with a new loan, thus retiring the defaulted debt. It will still remain on your credit report for years to come, but clearing the default will definitely help. Keep in mind that the 6 payments required for consolidation must be VOLUNTARY so wage garnishements do not count toward this. Prevent wage garnishments by setting up a payment plan and faithfully making your payments.
You have created this mess and getting out of it can be fairly easy. Just 6 months of sacrifice in making your payments, then once you consolidate you will be eligible to request a deferment or forbearance again (deferments or forbearances are NOT an option on defaulted loan debt).
