can the feds put a hold or mess with your bank account if you are currently disabled and owe a student loan?

Question

there is a student loan that is defaulted for over 13 yrs and the person is currently disabled plus they never finished the school because it closed down, so the person was never able to benifit from the training recieved ! can the federal goverment mess with the person bank account such as freeze it or put a lien or hold on it? please submit answers that are serious Please!!!!

Answer 1

Whether or not the person finsihed his studies is irrelevant, the money was borrowed and is now due or over due. The lendor, if they have failed to receive payments, or the borrower has failed to refinance or otherwise make arrangements for payments, can seek to have a garnishment taken for an income source. So if you work that would mean your paycheck. If you receive some kind of public assistance the law does allow for a percentage that can be garnished to pay the lien. They can also attached an income tax return you might be due. You would then receive a letter fomr the IRS telling you that it was seize and the amount. Bank accounts are generaly not frozen unless there has been some sort of law brozen, and a serious one at that. It is doubtfull that they would do this. A garnishment is more likely.

Answer 2

yes they can. they can also hold the disability payments until the student loan id paid in full, including interest accrued for the entire 13 years.

i noticed that someone posted about filing bankruptcy, you cannot file bankruptcy on anything federal, regardless whether the bank account is closed or not, they will still hold the disability checks until the debt is paid in full.
there was some mention to something of this effect in my disability papers when i applied for disability, they wil freez you bank accounts, hold any and all federal assistance, and if they have to, put a lien on any and all property until the debt is paid.

Answer 3

For a minute I thought I had wrote the question LOL
I am in the same spot. I recieved a letter from the place that holds my loan now and was given options of filling out one was if you are disabled. I know they can take your tax return, not sure about bank account, contact a lawyer, free advice I am sure.

I have never had my bank account touched, just income tax refund.

Answer 4

have them file bankruptcy then nobody can mess with anything and once its over he wont have the debt espeically if he is on disability

Answer 5

are you kidding? have you been lving under a rock? of course they can if they want to. if it worries you, then yank out the money and shove it in a safety deposit box.

Answer 6

the FEDS, lol wrong Alphabet branch