Legal Question in Credit and Debt Law in New York

I have a student loan with a private/not a Gov. company.I made a payment plan agreement with them,I then asked for it in writing,they sent it to me.Now they dont want to honor their payment agreement anymore, they want the loan paid in full ,or they have threatened to garnish my wages and confescate my car.I have kept payments up to date and have all cancelled checks to prove it.


Asked on 7/30/10, 2:48 pm

1 Answer from Attorneys
Jason Stern Law Offices of Jason Stern

They cannot garnish your wages, restrict bank accounts or seize property without obtaining a judgement against you. They can only obtain a judgement against you if they file suit and serve you with legal papers.

They may be in violation of the FDCPA if they are making threats to do things they are not legally able to do.

In any event, you have a written agreement with them, and it is highly unlikely a judge would rule against an individual who is making payments in accordance with a payment schedule.

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Answered on 8/04/10, 5:50 pm


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