Federal school loan problem

[lightingbird]

What is the name of your state? Missouri

Hello,

Need help again for another of my clients. I was just informed that one of my close clients is actually in a federal school repayment plan for college many years ago. He never finished and is paying $200 a month for 9 months. Then he has been told by a collections company called pioneer that his loan can be bought again by another lender. Then he will be able to pay much lower. Something around $50 a month. Although that part is pure speculation.

Here is my question. They have him under threat of direct wage garnishment from his employer. What he told me is that amount would be much higher something around $380 a month. Even less than what he can afford. We are talking about a man that nets right at $1100 a month. Is there anything he can do stop this like a declare a hardship or something? Is he just doomed?

As usual, thanks for the help.