I live in Augusta, Georgia and I just filed my taxes and found out that my refund is going to be sent to pay my student loans. I never agreed to that. I was planning to pay off credit cards with my refund. How can this happen if I didn’t agree?

Each tax season, many people in the Augusta, Georgia area find their tax refund taken for the payment of student loans.  Student loan debt is not like treated like a credit card or personal loan debt. If you default on a federal student loan, your student loan creditor is allowed by law to intercept or keep you tax refund.  This can be a big problem for your family when you have plans for your refund and suddenly find that you will not be getting it.  In addition to taking your tax refund, your student loan creditor may garnish up to 15% of your disposable income without obtaining a judgment.  Ignoring student loan debt is not a wise option.

If you have already had your tax refund intercepted for this tax year, there is nothing that can be done to get the refund back for this year.  However, the good news is you don’t have to lose your tax refund next year!  Also, if your wages are being garnished for student loan debt, the garnishment can be stopped.

If you had your tax refund garnished or intercepted last year and you believe it will happen again this tax year, the first piece of advice is do not file your taxes until you have had a free consultation with a bankruptcy lawyer.  At the Law Firm of Seymour and Associates, we can help you stop the student loan creditor from taking your tax refund.  By stopping this collection activity, you will be able to keep your tax refund for the needs of your family.

While student loan debt is presently non-dischargeable, a Chapter 13 bankruptcy can help in the repayment of those loans.  A Chapter 13 bankruptcy will combine all of your short-term debt (car payments, credit cards, payday loans, student loans, etc.) into one affordable payment.   You will totally eliminate all of your dischargeable unsecured debt and you will be given the title to your car.  At the end of the bankruptcy, you will still owe the student loan debt BUT you will be in a better position to work out a future payment plan with your student loan creditor. 

If you live in Augusta, Evans, Martinez, Hephzibah or any cities within the CSRA, you can come into our office to meet with an experienced bankruptcy lawyer.  At the Law Firm of Seymour and Associates, we routinely stop garnishments and protect tax refunds for student loan collectors.  Don’t lose another tax refund to a student creditor.  Call 706-868-1968 for the relief that you deserve.


This answer does not create an attorney/client relationship and is for informational purposes only.  We are a law firm licensed in Georgia.   A consultation with a qualified attorney in your area is required to determine specific legal advice as to your situation and applicable law. We are a law firm designated by Congress as a debt relief agency. We help people file for bankruptcy relief under the bankruptcy code.

Angie Seymour
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Bankruptcy Attorney Serving Augusta, GA