Debtsucks,

Are you really thinking a collection agency or government student loan office is going to waste money suing somebody on disability and risk the possible media exposure on that?? They're brutal and all but not stupid, if someone can display hardship they back off.

So your whole post about garnisheeing a bank account is rather pointless. Also, when you consider that a bank account garnishee would be a one time hit which you can apply to the courts to have returned to you, it isn't really that scary. There are also privacy laws to protect consumers financial information, so finding a persons exact bank location is not that easy.

PhillyJ needs to speak to someone accustomed to dealing with student loan debts in cases of disability not online forum posters.

PhillyJ,

The Ontario Disability Support Act in Ontario does not allow anyone to garnishee this pay.But your bank account is not safe, if your creditors know where you bank, consider your money gone if they obtain a judgement against you.

If you collect your cheque by direct deposit from the Government, consider getting it in cheque through the mail. Becuase the Government will not refund this money for you, if your bank gets garnished.

Another suggested I would consider is to have any refunds or GST cheques sent out by Revenue Canada to you be by Cheque only, not direct deposit.

Look into the limitations act for debt collection in Ontario, or the province you reside in.And if you want go see a banktrustee for further information, but most likely your case will be determined judgement proof, based upon your current financial situation.

go to canadastudentdebt.ca or cfwgroup.ca and talk to john.

They can't garnishee a disability check and they won't sue someone on disability. It's just a bunch of scare tactic nonsense.

And no you don't have to pay back everything today like the agency told you either. The government may forgive the debt entirely if you go through the proper channels, they do this quite often for people who are unable to repay their student loans. But either way, don't let the agency tell you a bunch of lies to scare you for no reason, they don't have anything to go after so they'll just keep bluffing.

Would this help me at all?

https://osap.gov.on.ca/eng/not_secure/Repay_medical_forgive_123.htm#How_to_Apply

I will find out if anyone can garnish your disability cheque from someone that is in the debt settlement business. If they ask for your banking information tell them in a nice way no.

The info is an income statement (through disability) and it has the amount that I receive from them each month. It does not have my have my banking info on it. Could they ask me for my bank account information, though?

I was given the advice to make an appointment with the people at Ontario disability and see what they say about it. Tell them that the bank (government) is coming after me for a student loan and I am not able to pay them because of being on disability and what I should do? Do you think that it's wise to talk to Disability before I do anything else?

Thanks.

Does the information you want to send to them have your banking information on it, if so make sure you blank it out. If I were in your position I would not offer them more then 10% for the simple fact they will not be able to get a dime out of you. I hope you understand you have the upper hand. If you can't handle this I would get someone that has some experience. If they settle on 10% make sure you get the agreement in writing before you hand over your money

Thank-you for your response. In all honesty I don't know exactly who I was talking to (who he was working for). I don't believe he was calling to help credit agency out. He said that if I sent him on my disability payment (income statement) and how I am living off of my disability payment that he could put forth that info to CIBC and see what they will do (if anything) before they have to take things further (and potentially sue). I was so upset by the call, my apologies if this doesn't seem clear. Any help would be appreciated. I am extremely sick with worry.

I don't think they can garnish your disability cheque, if I’m wrong someone on here will correct me. If this debt is twelve years old then this debt should not be reporting on your credit report unless you made payments in the last six years. Whether you pay on a debt or not an item must come off your credit file in six years of the last date of activity. If you’re on disability you might have an advantage to settle this debt for a low amount like 10%.I would not panic and the help with some members on here we will be able to help you through this matter. Is this debt with a collection agency or is a judgment?

About 12 years ago I got a student loan for school and finished. Then a few years later, I went through something in my life to cause me to go on disability. I have been on it ever since and only have enough money to get by. I have no one in my family that could help me pay it back. The banks are now threatening to sue me. What can I do? ***Does that basically mean my credit would be ruined and I would be filing bankruptcy? I owe 20 grand. How much of that would they want upfront?