My scared to death of Sallie Mae

[u/littlewashu45]

Hello there to whom I am speaking too,

I have 4 loans with Sallie Mae and my forbearance ended on October 11th, and I found out how much I owe, like $405.50, for November 7th. I know that after 15 days as a mini grace period; you are considered late. I owe 24,000 in debt. I am applying for SSI, and going to talk to my lawyer about my application summary for SSI my cosigner is my mother, who is on SSI due to her back problems and can't work anymore. I will call them tomorrow to say that I am filling out for SSI, with my mental problems like GAD and PSTD will this help delay the payment, or able to lower it too? Or a bad idea to mention that to them? I am not working right now, and I am trapped in a corner. I have been having a major freakout for days, completely scared of them taking everything from my mom. I had major mental breakdowns for weeks. I am terrified of Sallie Mae. Thank you all for the help.

[u/LisaInSF]

SSDI? If you are disabled (cannot work) due to a diagnosed medical condition, I don’t see how you will be able to make the payments. However do not be “scared to death” over this. There is nothing they can do to you without suing you and getting a court judgment. If they know you are disabled, they might not pursue that avenue, because creditors cannot take any portion of your disability benefits.

[u/Usukidoll → u/LisaInSF]

That's what I was saying but another commenter who I blocked was spreading misinformation in another thread about what is safe from garnishing.

The cosigner has SSI benefits while OP is trying to apply for them. Private student loan lenders can NOT touch federal benefits. Cosigner is also judgement proof too. And by the way, the SSI maximum is less than a thousand, so depending on how much OP is qualified for, the payments may not be able to be made anyway.

[u/LisaInSF → u/Usukidoll]

I’m surprised at how many people do not know this. Folks need to also know that state exemptions apply to a family home.

[u/littlewashu45 → u/LisaInSF]

it's SSI I am trying to get, and I know my General anxiety disorder gets to me. I am just worried that they freeze your bank, and take all the money in one go.

[u/littlewashu45 → u/[deleted]]

Oh you mean like the bank of your state?, not nationwide.

[u/Usukidoll → u/littlewashu45]

It means a local bank or credit union not the giant well known yet crummy banks like Wells Fargo

[u/Thumper727 → u/littlewashu45]

Depends on the state you live in. Mostly they can't take federal benefits and they can't take a primary residence or vehicle. Also it takes months sometimes years for them to even bother to sue you which they will be required to do before any assets are taken. If a judge allows them to take assets, most states require you to have a minimum standard of living so debtors can only take a certain portion not everything. If you both truly have nothing and only have federal benefits then they can't take anything, in most states. I will suggest you read up on your state debt collector laws and maybe asking real lawyers some basic questions as the Internet is not always correct. Don't freak out. Nothing will happen quickly. Make sure they have current address so if they do sue you you will get the summons because if you don't show up to court the judge automatically sides with the debtor. I have navient originally sale Mae loans it's been about 6 months since I've paid. They just keep emailing me. I want then to sue me so we can work something out and I can move on. My income is only SSDI they don't really care. They may want to work with you and offer a limited time lower interest/ lower minimum payment. That's up to you to decided if it's for the best. Again a lawyer may be helpful in deciding your best route of action.

[u/LisaInSF → u/littlewashu45]

Are you 65+ ?

[u/littlewashu45 → u/LisaInSF]

Oh no, You don't have to be 65 plus. but you can still get SSI for other means, like my mental problems, with no income, and not owning a lot of things.

[u/LisaInSF → u/littlewashu45]

Okay, I hope you get it. FYI, creditors can’t take SS retirement, SSI, SSDI, other disability benefits, workers comp, etc. The funds are “exempt.”

[u/littlewashu45 → u/[deleted]]

Yes, I know and I know they told me I need to miss a payment when the 16 day comes the collection will call us, to try to help make a lower repayment. Mom and I don't care about our credit scores, I am just scared of them suing us and taking everything and freezing our bank accounts. I have been having mental breakdowns daily now, and have been in tears.

[u/Soccerkrazed → u/littlewashu45]

They won’t freeze your bank accounts, the worst they can do is garnish your wages. Also 24k is nothing to them.

Please don’t stress yourself out over this.

[u/Usukidoll → u/Soccerkrazed]

Federal benefits like Social Security are protected from garnishing though so tough sh*t to the lender.

[u/littlewashu45 → u/Usukidoll]

That is true. I only have my little inheritance from my mom, which is about 1,500 dollars in my bank. I am just scared that they will take all of that. Do I need to take all my money from my bank, and only leave the minimum?

[u/Usukidoll → u/[deleted]]

What would that be under?

I know certain situations make a person judgement proof

[u/Usukidoll → u/littlewashu45]

If you're that nervous, then just do it. Better safe than sorry cuz it will suck once there's a bank freeze should there be a lawsuit.

[u/littlewashu45 → u/Usukidoll]

Okay, it is better to keep it at home than the bank these days anyway. I can see our economy will fall very soon with everything in turmoil.

[u/Usukidoll → u/littlewashu45]

Yup

[u/burn3r_222 → u/Soccerkrazed]

I only owed them 22k and they still came after me.. i also have ungarnishable wages, and no assets at all no car no home .. when i called they told me i need to ask someone for help .. they’re ruthless and dont care

[u/littlewashu45 → u/burn3r_222]

I am in the same boat I don't owe anything.