Your Social Security Can Be Garnished for Bad Student Loan Debt

Millions of Americans will have a shock when they draw Social Security and find out that old loan is still waiting for them.

Federal student loans never go away. You may have forgotten about that loan you cosigned for a relative — but the government hasn’t!

Millions of Americans, most of them on Social Security Disability, are upset to find their monthly benefits REDUCED due to a defaulted student loan from years ago. The “good” news, is that there is a limit how much they can take each month. Only up to 15% per month can be withheld. You are guaranteed to be able to keep $750 per month. It’s impossible to live on $750 per month. The government has not increased that base amount since 1998!

Older Americans often find themselves well below the federal poverty level if they have to live off of Social Security alone and are being garnished for bad debts.

If you are on permanent disability, you have the possibility of having your load discharged. You need to apply to the Department of Education and not Social Security.

Other bad debts can also garnish your Social Security, such as back child support. To learn more about Social Security, Medicare and retirement find www.TheMedicareFamily.com on Youtube or @MedicareMama on Tik Tok.