Older federal student loan debtors who fall behind on payments may be at risk of having their Social Security checks garnished.
That plan may be able to help older borrowers reduce their monthly payments."We're hopeful about that process," Lang said."We're very concerned about what's going to happen next month once collections starts up again," she said.
Justice in Aging has endorsed the legislative proposal to prevent Social Security checks from garnishment, which may help provide additional protections, according to Lang. Yet this kind of bill has been proposed in the past and not made it into law, she said. Social Security beneficiaries who have their benefits garnished are guaranteed at least $750 per month in benefits, Lang noted. But that threshold has not been adjusted for inflation since it was established in the 1990s, which means affected beneficiaries face a greater risk of being pushed into poverty.
Some Social Security beneficiaries may qualify to have their loans discharged if they have a total and permanent disability, according to Lang. Notably, this does not require having to meet the Social Security Administration's definition of a disability. Instead, the process requires the debtor have their doctor fill out a form indicating their physical condition prevents them from working.
"That's an opportunity that a lot of older adults don't know about," Lang said, particularly if they don't think of themselves as a person with a disability who may be eligible for that kind of discharge.
Malaysia Latest News, Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Senior living: Social Security overpays people, many on disability, then demands cash backThe Social Security Administration is trying to reclaim billions of dollars from many of the nation’s poorest and most vulnerable.
Read more »
Social security would be exempt from garnishment for student loans under new billFederal loan borrowers who default on their loans would no longer face having their Social Security benefits garnished under the terms of a new bill.
Read more »
Social security overpayments have some in Washington scrambling to pay back thousandsThe government wants its money back and families across the country are saying they can’t come up with the cash.
Read more »
| How not to fix Social Security, by a GOP group and BidenPresident Biden bashed a plan he says would cut benefits, but the timeline for adopting a House GOP plan would do little to solve Social Security’s fiscal woes.
Read more »
Social Security is overpaying billions to people and then demanding the money backTthe Social Security Administration is demanding people return overpayments that, in some cases, were the government’s fault.
Read more »
– Living in Warm Temperatures Linked to Severe Vision Problems in Older AmericansIn a study involving 1.7 million elderly Americans, individuals residing in counties with an average temperature exceeding 60 °F faced a significantly increased risk of severe vision problems compared to those in cooler areas. According to a recent study published in the journal Ophthalmic Epidem
Read more »