Legal Question in Credit and Debt Law in New York

Student loan garnishment

I have a few student loans that have defaulted. I am a single mother with 3 children. I receive help from public assistance and I work. The collection agency is trying to make me pay $250 a month. Is there any way that I could pay less. Or at least set up an amount that I can afford?


Asked on 7/18/08, 8:51 am

1 Answer from Attorneys
Jonathan Cohen

Re: Student loan garnishment

I would need to know if your student loans are federally guaranteed loans, or what type of public assistance you are on.

I guess that they are federally guaranteed and you are on financial public assistance from the NY State DSS; that the DSS monitors your debts and assets in order to determine your eligibility for assistance. Should you state your inability to pay the debts to your DSS worker, they may contact your creditors.

If not, you may contact your creditors and state you are on public assistance, and are unable to pay. They may grant a person on public assistance a deferment.

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Answered on 7/18/08, 11:51 am


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