wage garnishment

[Ooboo]

Hi,
I'm in North Carolina, about 5 years ago after a divorce I refinanced my home to be able to catch up on things since I was left somewhat in a mess and everything was falling behind. As part of the refinance deal my student loans were to be paid off, a requirement for getting the mortgage. Now the US dept. of eduction has garnished my wages saying that the loans were not paid in full. I can't afford this and I made an honest effort to pay these loans in full. I wasn't allowed to get payoffs, write and send the checks, etc. The mortgage broker did all of that, and charged me over 2000 dollars for doing this whole deal. Now my wages are garnished, I can't get a real person on the phone with the dept.of education, all I get is recordings, and all I can contact is a collection agency that says it will offer a settlement. Why should I settle, I tried to pay my loans, thought they were paid, and I had nothing to do with acquiring payoffs or sending in checks, they , the mortgage broker, did all of that. I don't have canceled checks because they did all the work, I did send copies of my closing contract showing two checks and the amounts paid to the NC Student Loans Association and requested a hearing on it, but still all I can get is this damn collection agency and in the meantime they're taking over 120 dollars out of my pay every payday. I can't afford this. My house payments and other things are getting behind now because of the loss of income, I can't get a loan anywhere because of the wage garnishment on my credit report. What can I do ? this is not right. I made an honest effort to repay my loans and thought they had been repaid, can the mortgage broker, if I can find them again, be held responsible for this mess ? They were paid to do this, as well as paying the lawyer for the closing, now I'm being forced to pay what I thought was paid in full 5 years ago.
Please Help ! I alternate between crying and being mad as hell. Also my mortgage was resold , now who would have the original paperwork ?
Oboo

 

[JETX]

I made an honest effort to repay my loans and thought they had been repaid, can the mortgage broker,

Your effort is not relevant. The ONLY issue is... were the loans paid in full??
And to answer that, you will need to get copies of the closing papers AND copies of the actual checks sent to the lender(s).
Contact the broker and get them.

if I can find them again, be held responsible for this mess ?

Possibly, but you have to get your FACTS together first.

They were paid to do this, as well as paying the lawyer for the closing, now I'm being forced to pay what I thought was paid in full 5 years ago.

Okay, and what has your former attorney said when you contacted him for documents showing the payment??

Also my mortgage was resold , now who would have the original paperwork ?

The 'new' company COULD have the complete file, but will probably only have the required records (note, payments history, etc.). Try contacting BOTH of them..... in WRITING!!!

And one more thing.... the only way that your wages can be garnished is if the creditor got a court judgment against you. Why did you ignore them when they filed the lawsuit against you??? That would have been the time to raise this issue.... not four or five years later!!!

 

[Ooboo]

Well thanks for the reply. Yes, your'e right, this should have been addressed years ago, but things aren't perfect and since I assumed my loans were paid off when I refinanced when a collection agency called me about school loans I pretty much told them over the phone that I didn't owe them anything, my loans were paid, and then just refused to deal with them since I had never dealt with them in the first place to pay off my school loans.
Life has been hectic enough and I've had plenty of stress and worries without wasting my time arguing with a collection agency that I didn't owe, so I thought. My mistake. Now I have to find the time to track down everyone involved , the lawyer, the broker, the mortgage companies, and never mind that you can't even talk to a human being except a damn collection agency, and it doesn't make any difference or count for squat that you make an honest effort to repay your debts.
It has nothing to do with this case but I know of people that file bankruptcy and are driving new cars now, buy homes and live high, convicted felons get out of prison and get new cars and bank accounts, but I try to pay my bills, work full time and what do I get ? this crap and can't even get a loan because of it !
Sorry, just letting off frustration I guess but it's hard enough being single, middle aged and just trying to hold onto a mobile home and a peice of land, driving a car with 250,000 miles on it, I just can't afford one more thing going wrong, financially or emotionally. I work the hours most other businesses are open, I can't just leave work and go chasing down mortgage companies and lawyers, can't stay on the phone at work either, and yes the cost emotionally is tremendous. I don't even want to get up in the mornings. You might say an honest effort doesn't matter or mean a thing in these matters but if it doesn't then what is life in America coming to ? Collection agencies and government agencies can just do whatever the heck they like and you just have to take it because you don't have the time and energy anymore to fight it ? right now I really wish whoever invented the concept of recorded messages and push this number and that number and you can do this for hours at the time without ever talking to a human had all those machines up their whatever.