d Collection Services Student Loan
02-07-2012 07:43 AM
Hi All - First off, wanted to thank everyone who provides advice on this site. Since I joined last summer, I have gotten a public record judgement deleted from my reports and also had two other accounts removed with pay-for-delete agreements. My score has risen from the high 500s to around 650.
The very last step I have, and of course I saved the best for last, is my student loan issue. I have a defaulted student loan that was with the Dept of Ed and taken over by a collection agency, Diversfied Collection Services. DCS has placed a wage garnishment on me, and for the past two years, I've had roughly $400/month taken from my work paycheck. and have about $30,000 left to pay off. I've read a ton about student loans on here, and a lot of it is really complicated. My big question is:
1) Does the collection agency HAVE to agree to a nine-month rehabilitation program if I agree to enter into one? I understand I would have to make 9 monthly payments on time along with the garnishments. Money would be tight, but I can afford to do this.
Is there anything else I can offer to rid myself of the garnishment? I can't afford to pay it off in full, but I can offer more money than the garnishment. Wouldn't they want more money? Or are they just happy with the garnishment so they don't even care.
Any advice on how to tackle this would be appreciated.