Student Loan Information - Jacksonville Area Legal Aid

CONSUMER RESOURCES

All laws are subject to change without notice. This information is based on Florida law only and is NOT intended

to be legal advice.

Student Loans

If you owe money on a student loan, the information below is for you. In general, student loans cannot be discharged/eliminated by filing bankruptcy. The Department of Education provides certain situations when you can discharge your student loan. Those situations are:

o School closure, o False certification of ability to benefit, o False certification, o Unauthorized signature/unauthorized payment, o False certification (identity theft), o Unpaid refund, o Teacher loan forgiveness o Caregiver status. o Permanent and total disability

o If a physician (doctor of medicine or osteopathy) certified that you are totally and

permanently disabled and you meet other requirements during a 3 year conditional discharge period your loan(s) may be discharged.

o It is important to note that: You may receive Social Security, VA or other disability

benefits and still not meet the definition of total and permanent disability that applies to student loan discharges.

o You do not qualify for discharge if the medical condition or impairment existed at the

time you applied for the loan, unless after that time, the condition significantly deteriorated and then you became totally and permanently disabled.

o In other words, an individual who was already totally and permanently disabled when

he or she applied for a loan cannot have that loan discharged for that condition.

? If you think any of these others would fit your situation, you can print the forms from the Department of Education website at .

? If you have other questions about your financial aid hardship, the Department of Education's website for frequently asked questions is:



Garnishment/Withholding tax return

Jacksonville Area Legal Aid is sorry it can't be of more assistance at this time. Please feel free to come again should you have other legal problems. Jacksonville Area Legal Aid wishes you the best of luck in the future.

Jacksonville Area Legal Aid 126 W. Adams St.

Jacksonville, FL 32202 904-356-8371

CONSUMER RESOURCES

All laws are subject to change without notice. This information is based on Florida law only and is NOT intended

to be legal advice.

? In regards to garnishment/withholding tax return money, prior to the garnishment starting, the debtor must be offered an opportunity to repay the debt voluntarily or to obtain a hearing at which the debtor may object to garnishment either because the debtor believes that the debt is not owed, or that garnishment would cause financial hardship. o To avoid garnishment, a debtor must object within the deadline explained in the notice ? failure to do so will result in issuance of the garnishment order. o A debtor who misses the deadline may obtain a hearing on a financial hardship objection, but withholding may start and continue through the hearing process. o Hardship objections must be presented to the party ? the Department or the guaranty agency ? that sent the notice. If a debtor misses the deadline but requests a hearing, garnishment may start but cannot continue for more than 60 days from the hearing request date, unless a decision is issued that garnishment should continue.

? If you have other questions about your financial aid hardship, the Department of Education's website for frequently asked questions is:



Student loan providers are sometimes allowed to take your tax refund to pay on your loan, without your permission. If that has happened to you, please read the information below from the Department of Education:

Hardship Caused by Offset of Social Security Benefits, Federal and/or State Income Tax Refunds, or Other Payments

Before the Department referred your defaulted student loan(s) or grant claim(s) to the Department of the Treasury for offset, the Department offered you - either directly or through the guaranty agency that holds your loan - an opportunity to avoid offset by either agreeing to repay the debt or proving that you do not owe the debt. As explained in that notice, unless you took one of these actions by the 65-day deadline, the Department would request that any federal and/or state tax refunds and other payments owed to you, be withheld and applied to satisfy the debt.

If you claim that this withholding action is causing you and your dependents financial hardship, the Department may consider modifying or suspending withholding action. To

Jacksonville Area Legal Aid is sorry it can't be of more assistance at this time. Please feel free to come again should you have other legal problems. Jacksonville Area Legal Aid wishes you the best of luck in the future.

Jacksonville Area Legal Aid 126 W. Adams St.

Jacksonville, FL 32202 904-356-8371

CONSUMER RESOURCES

All laws are subject to change without notice. This information is based on Florida law only and is NOT intended

to be legal advice.

present your claim, you must contact the Department or the guaranty agency that holds your debt, and must submit documentation satisfactory to the holder of the debt to support your claim. The Department or the guaranty agency, as its designated representative, will consider your claim and may agree to modify the withholding action. You may be required to complete a statement of financial status, which you can download now. Earned Income Tax Credit: The entire amount of the refund, including any portion based on an earned income tax credit can be legally offset and applied to satisfy your defaulted federal student loan or grant obligation. Consumer Right Clinic

? If you would like to learn more about what your creditors can and cannot do in attempting to collect debts from you, you may attend the Consumer Rights Clinic. o This clinic is held on the third Wednesday of every month at 5:00 p.m. at the Adams Street Office of Jacksonville Area Legal Aid. ? At the clinic, an attorney will be presenting basic information about your rights as a debtor and the laws regulating debt collection and credit reporting. This clinic will provide you with information that may help you with your current situation.

Jacksonville Area Legal Aid is sorry it can't be of more assistance at this time. Please feel free to come again should you have other legal problems. Jacksonville Area Legal Aid wishes you the best of luck in the future.

Jacksonville Area Legal Aid 126 W. Adams St.

Jacksonville, FL 32202 904-356-8371

 ................
................

In order to avoid copyright disputes, this page is only a partial summary.

Google Online Preview   Download