Written By Bethany McCamish
If you don’t pay your federal student loans and are in loan default you could be in some real trouble. The government is serious about getting back what you owe, and a method it uses is called a “tax offset.”
There’s a way to get your money back through a student loan tax offset hardship request. But before that, you should know what a tax offset is and how to navigate the situation. It’s also important to get your student loans under control, even if you’ve entered tax offset.
Editor's Note: Until further notice, the Department of Education will not seize tax refunds of delinquent student loan borrowers due to the COVID-19 pandemic. You can submit your tax return now without fear of that refund being intercepted according to administration officials. Any tax refund that was seized on or after March 13, 2020 will be returned.
It is now clear that returns seized prior to March 13 WILL NOT be returned. Some readers have reported that Department of Education officials have claimed they will refund returns seized on or after March 5, but nothing in the official CARES Act suggests that will actually occur. If your tax refund was seized on or after March 13, 2020, call the Department of Education at 800-621-3115 to make sure that your address is current so that you will receive your check in the mail if you are eligible.
What does a student loan tax offset mean?
Tax offset occurs when you’ve defaulted on your federal student loans. Your loan will default if you don’t make payments according to the promissory note you signed when taking out a student loan. When you default on your loan, you lose eligibility for repayment plans, and your loan will enter collections.
The U.S. Department of Education will also request that the U.S. Department of the Treasury withhold funds from your federal income tax returns. This is a student loan tax offset.
Your tax refund is taken if you didn’t follow through with your federal payments. If you file your taxes jointly with a spouse, the government can also take your spouse’s tax refund. All of your refund can be withheld as long as it doesn’t exceed the amount you currently owe.
How to know if you’re at risk of student loan tax offset
Before your tax offset begins, the government must inform you with a notice of offset. Through the IRS or Treasury Department, you’ll receive notice 65 days before the tax offset starts. However, the government only needs to send you one notice, which will be sent to your last previous known address. The notice should tell you exactly how much you owe and your rights.
Once you’re informed, the government can continue taking your income tax refund until the debt is paid. But you have options when dealing with tax offset.
If you’re in default, you can enter a repayment agreement. And if you shouldn’t be in tax offset, you’ll need to take the proper steps to make it right.
What if you shouldn’t be in student loan tax offset?
There are some cases where you shouldn’t be in tax offset even if you are given notice of one. Reasons you shouldn't undergo tax offset can include:
- You don’t owe the outstanding balance on the loan, and the Social Security number associated with it is wrong. This could be a case of identity theft or fraud.
- You’ve filed for bankruptcy, and it hasn’t yet been resolved.
- You’ve already entered into a payment arrangement and are making payments on the loan.
- Your school closed during the loan period, and the loan should be discharged.
All of these are reasons to object to a tax offset. You’ll want to act on this as soon as you get notice of a tax refund offset. Not getting the notice due to a change in address won’t count as an objection to a tax offset.
3 steps if you’re wrongfully in student loan tax offset
You can prevent the offset from occurring right away by taking the following steps. You’ll need to have your documents in order and proof for whatever objection you may be claiming.
1. Act on your right to review documents
Requesting a review when you get the notice is the first step to mitigate this process. You’ll need to request a review of documents with the contact listed on your notice. It must include your Social Security number. You must also identify the debt for which you want records and include a reasonable description of the records you want to receive.
The review is done by the U.S. Department of Education and the listed contact. Your right to review will also be listed on the notice. Don’t wait to complete this process.
2. Contact the agency who’s currently holding your loan
Next, talk directly to the agency you owe money to. This is listed on your notice as the contact. It may be the loan servicer or collectors from a debt collection agency if the loan is in default. Let the loan providers know you requested a review of certain documents. Also let them know what’s going on with your loans and that you’ll be sending in a Treasury Offset Program review form to object to the cost.
3. Complete the Treasury Offset Program (TOP) request for review form
You can have a review of your objections to the collection of the debt by making a written request for review. This is different from requesting a review of your loan documents and should be done after you’ve made a request for the loan documents.
You must do this within 65 days of the Debt Statement’s date. If you requested documents from the listed contact within 20 days of the date of the Debt Statement, you’ll have 15 days after the date the documents were mailed to request a review, even if that would push your request outside the 65-day period.
To do this, you’ll need to fill out a Request for Review form. Your loan holder should be able to provide this for you along with any pertinent instructions. Enclose the requested documentation to support your points. If you’re successful with the review, your offset may be reduced or not happen at all.
While it’s a process to get a student loan tax offset refund, it could help you financially. If you find you’re having trouble navigating these waters, you may consider hiring a student loan lawyer, as you have a right to have representation through this process.
Other than an outright objection, you may be able to request a tax offset refund due to economic hardship.
You can request a student loan tax offset hardship refund
If the removal of your refund will directly cause your family extreme financial hardship, you can also request a student loan tax offset hardship refund. However, the hardship must meet certain eligibility requirements.
It’s important to clarify that financial hardship isn’t a reason not to be in tax offset. At the same time, financial hardship could help you get a refund for the tax offset.
How does a student loan tax offset refund help you?
You can make a request for this refund whether your tax return has been taken out already or not. And if your request for student loan tax offset hardship is accepted, you can have the money back in your pocket to get out of the situation you’re in.
With some companies, such as the Educational Credit Management Corporation (ECMC), you’re only eligible for one offset hardship. If you’ve been approved for a hardship in the past, you may not be eligible to apply again.
Qualifications for student loan tax offset hardship refund
Financial hardship is more than not affording your student loan payments. It must be a serious financial situation. The following have been approved as grounds for financial hardship:
- Exhausted unemployment benefits
- Eviction notice or foreclosure
- Utility disconnection or shutoff
- Homelessness
You must submit the required documentation for each of these. If you’re eligible, take the proper steps to apply for student loan tax offset refund based on hardship.
4 steps to request a student loan tax offset hardship refund
If you know you’re in financial hardship — like the cases listed above — you’ll want to file a form and see if you can get some or all of your tax refund back.
1. Find your contact to submit the request
Your refund was most likely offset by a guaranty agency or the U.S. Department of Education. You can find out for sure by logging into the National Student Loan Data System or contacting the Treasury Offset Program.
Make sure you know you’re going to have your tax refund offset before submitting any kind of form.
2. Locate the form and check the requirements
Once you know who to contact, find the proper form to submit to get a tax offset refund.
Be sure to look over the agency's qualifications for financial hardship. For example, you may need to be on a repayment plan before submitting the form. If you entered a repayment plan after receiving your tax offset notice, you should be set. If not, you need to reach out to your agency and request to be put on one.
3. Collect your documents and proof
You’ll need to provide proof of your financial hardship. This will vary depending on your hardship. The required documents should be listed on the form.
4. Submit copies of the documents
Submit your form and required documents. Be sure to include only copies, not original documents, as you most likely won’t be getting them back.
The TOP hasn’t set a limit for how long it could take to get your tax offset refund. Continue to follow up as needed.
What to do if your tax offset refund request is denied
If your tax offset refund is denied, you’ll need to take some steps to make sure you’re not undergoing tax offsets in the future. This includes getting on a repayment plan as soon as possible, even if you’re successful at getting a tax offset refund. You have seven days from the date of denial to get on a repayment plan.
Ways to avoid a student loan tax offset
You can avoid a tax offset by keeping your student loans out of default. When you stop making payments, your loan initially becomes delinquent. It takes about nine months of missed payments before your loan is put into default status.
The consequences for defaulting on your student loans are severe and go beyond not getting your income tax return. Avoid all of this hassle by making your payments on time.
You can get on an income-driven repayment plan that takes into account how much you make. You could also consider consolidating or refinancing your loans into one new loan to simplify your payments. If you’re really struggling to make payments, consider starting the process for deferment or forbearance.
Free help to fix default problems
You'll want to call the default resolution group at the Department of Education. Their number is 800-621-3115. You'll want to compare getting loan consolidation versus opting for the rehabilitation program. This is only for federal loans.
You're only eligible for rehabilitation once. You make nine consecutive payments of generally 15% of your income, and the good news is that rehabilitation can take the default of your credit report.
Consolidation is another option. You can use that to create a new loan with the government and sign up for something like REPAYE (Revised Pay As You Earn) and pay 10% of your income.
If you have any questions or want to share what's going on with your situation, leave a comment below. That's another great way to get free help.
Paid help to fix default problems
If you have private or federal loans in default you might want to contact a student loan attorney. They will be able to explain all your options for a fee. This is a good option if you've been in default for a long time and know you need to get out of it but don't know where to start.
Student Loan Planner® offers paid consultations for a few hundred dollars regarding what to do with your student loans. The consult is a good fit for you if you only recently went into default on federal student debt and want a long term plan how to manage it from a CFP®, CSLP, or CFA professional.
You have options to manage your student loan debt. Avoid a tax offset entirely by getting your loans under control.
FAQs
How can I get my student loan out of default?
To get out of student loan default, you have two options. You can either pursue loan consolidation or loan rehabilitation. Contact your loan holder to take action and get out of default.
How do you get student loans forgiven?
If you are a federal loan holder, you can get your student loans forgiven. Student loan forgiveness is available through Public Service Loan Forgiveness (PSLF) or income-driven repayment (IDR). Talk to your loan servicer to discuss your options.
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No one will loan the money at a lower rate the last was Citizens Bank and they insisted on a co-signer. Who is going to co- sign on a 98,000 loan. Dec 2011 – stroke. Sept 2013 multiple pulmonary embolism killing half of my lungs, Jan 2016 severe heart attack bypass surgery, Dec 2018 arterial clot in left leg. I am in severe pain can’t work.
If you have a permanent disability then you should be able to get the loans discharged if they’re federal, but if they’re private you would have a higher threshold to cross. You could always decide to strategically stop making payments, but I’d suggest working w a student loan attorney before you make that decision. https://www.studentloanplanner.com/student-loan-lawyer/ Sorry for what you’re going through Terry.
as long as devos is in there? that’s not going to happen.
her family has businesses that “service” student loans. you think she’s going to “give student loans due to disability” ? I don’t think so.
furthermore if devis paid the taxes her family owes? they could forgive a good chunk of the national student loan debt.
It’s all hypocritical bullshit to enslave people.
This is the second year in a row with NO notification until the IRS page says my refund is approved for deposit but may be offset. Dept of Ed says they have contacted me through out the years but the only thing I have received from them in over a year since I tried to talk to them was a paper for my taxes in what was paid in interest last year. My wages are being garnished and I can’t make payments and be garnished and they tell me there is nothing to do but file for a hearing and I may not even be granted a stop of my garnishment then. If I can’t get the garnishment lifted then I lose my refunds every year regardless of trying to fix it. There is no real hope of people getting out of student loan debt when pretty much every dime paid goes to interest. If I were proven fully disabled, my taxes would be discharged. If I died tomorrow, my family would not be responsible for my loans. When you’re poor, you’re poor and the government doesn’t give a crap about us at all. Garnishment may be ‘forced’ but I would willingly let them keep taking it out of my check since at least it is getting paid.
Melody I’d suggest that you call the default resolution group at the Dept of Education. Their number is 800-621-3115. In your case, I would just consolidate all your federal loans and sign up for the REPAYE plan, which is 10% of your income. When they garnish your wages they pull out 15%, so this is a much better option and keeps you out of default.
Hi Melody! Sign this petition to get the federal government to refund 2019 tax offsets for students due to the COVID-19 pandemic! https://www.change.org/refund2019taxoffsets
What documents can I show if I’m homeless. How can I prove this to receive my refund back
You just need to check that box above and list a temporary address where they can send mail to you. Maybe the library, church, shelter? Something like that.
Could we use a friends address? Or what about work address? We have been staying here and there with friends but not a shelter or anything like that yet.
Yeah you could certainly do that. Anywhere where you can temporarily get mail would work
My taxes were offset while I’m on payment plan this is my 4th payment so from what I know u have to make 5 payments to not be offset .. the lady was able to move my payment to the earliest date so the 5th payment could come out asap..
So my taxes have been accepted and today Feb 24th my 4th payment came out today and my 5th payment is now set up for March 4th .. do I have any chance at getting the tax return still? I tried to sign up for a hardship but unless I’m getting evicted they won’t help me even though I live with my disabled mother and all of our bills are behind and I can barely work minimum hours because I have to take care of her and my baby… I’ve never dealt with this before if anybody can help me I would greatly appreciate it.
You’re doing rehabilitation on your loans. That eliminates the negative credit event but if you consolidate them then you’re out of default immediately but the credit event stays on your record for 7 years. So it sounds like you should wait to file the return (if you already have you might not be able to do anything about it).
Hi Tiffany! Sign and share this petition to get the federal government to refund 2019 tax offsets for students due to the COVID-19 pandemic! https://www.change.org/refund2019taxoffsets
They are refunding from March 5th and after . I called and spoke with them.
Yes that’s what I was told too. What gets me is WHEN will we get them. The DOE agents know it’s March 5th but that was online at one time too. WHY doesn’t anyone know the date payments will start to be refunded?
Hopefully ppl will comment here when they start seeing the refunds
Agreed! I’ve been calling them non-stop and checking online. I have seen nothing yet. I didn’t even know I was in offset until it was too late. But when I called they said I would get all my tax refund refunded back to me because of the CARES Act. But when and why by paper check? They had no problem taking my taxes when it was direct deposit and had no problem direct depositing my stimulus check, but not my tax refund they took. I know its from two different places, but in the end its still the government! Just wish there was a way we could track when to expect it, and they sure don’t know any time frame either. So anyone with any information or guideline for us. Please share!
I spoke with a rep today and she said we should have checks 30 days from today.
Hi Kendall,
I was also told March 5th but now see it is March 13th? Have you heard anything else? Have you received a letter or email? I have not heard anything myself. Mine online says March 6th but when I called they told me it was finalized March 18th. thanks for any advice.
You can call and check the status of it at the 18006213115. They will check it for you. I called today and mines was mailed out on May 1st. So it takes 7 to 10 days.. So just keep checking your mail
Where do you call
How do I prove that my roommate is evicting me and my kids. My name isn’t on the apartment lease but we have a signed lease/contract between us and now she is kicking us out and they took my whole refund that I planned on catching up on rent with so we wouldn’t be homeless.
That’s hard you probably need some sort of proof of eviction. If you don’t have one then you could just testify that you’re homeless if you actually are and that might get you a reprieve. Also you should look at consolidating your loans at studentaid.gov and signing up for the REPAYE plan, which is only 10% of your income above 20,000 to 30,000. Many ppl in default right now could be paying 0 instead and qualify for loan forgiveness.
I was actually given an eviction notice from her and I also called and they put me on a payment plan of $5.00 a month but Im just scared that when I do fill out this hardship paperwork its not gonna matter and we are just gonna be homeless.
I entered into a rehabilitation payment plan at $5 per month and have made 1 payment which was supposed to prevent an offset. I received notification of an offset yesterday (2/28/2020). My next payment is due until 4/08/2020 so I am in full compliance with loan agency and my contact there specifically stated no offset or garnishment were in place and would not be pursued due to making first payment and agreeing to the rehabilitation plan. I work at a restaurant as a prep cook making $11 hrly. but average 2.5 hours per night for 12.5 weekly or 25 per pay period. I am in a substance abuse program and pay $500 monthly for residential services…there is no lease and the program does not provide receipts so I am basically homeless….am I eligible for a tax offset refund? My plan is to contact my contact at a Fed Student Loan Servicing Center and inform him of the offset and see if he can verify that the offset should not have happened and to find out my next step or option. Is there anything else I can do? Again the question mainly is am I eligible for a tax refund offset.
Thank you for your time and I eagerly await your response.
That’s a tough one since it’s not technically homeless but it kind of is too. I would certainly use the form and apply and see what they say. I think most of the people reading this should be considering consolidating their loans and signing up for the REPAYE plan. It really prevents issues like this from happening especially if you’re not making a huge amount of money.
Before filling taxes, I always call the tax offset number to make sure nothing is owed. There was no indication that something was due after calling. Today, I should have received my taxes. Per the irs.gov website, my taxes have been applied to a past due obligation. So I called the offset number again and it now says, “Department of Education” are the ones that took it. I’ve done a little research and it says that I need to apply for a student loan tax offset hardship. But you can’t turn the form in until you receive the IRS notice in the mail. I have not received such form in the mail. I think something should’ve came in the mail indicating a forewarning prior to actions being taken. I was was evicted a year ago and have been staying with friends every since. Daily challenges had gotten tougher and I could not keep up with past debt, so I filed a Chapter 7 on September, 2019 and was discharged on December 31st, 2019. I had a payment plan in the past for Department of Education and was unable to keep it afloat. I’ve exhausted my TSP and applied for a Hardship through my TSP so that I can get by my daily struggles of feeding my children. At this point, I need guidance on what I can do. Please help
Consolidate your loans by logging into https://studentaid.gov/app/launchConsolidation.action. Click on the “consolidate my loans” section. You should see a long list of your loans. Check all of them and sign up for the REPAYE plan, and you got to remember to certify your income every year. If your income is below 20k you owe $0 a month and the government covers 50% of your interest. Let me know in the comments if it works.
I found out that my refund was going to offset program. I was never notified or give a chance or contacted to even make my first payment or set up a repayment plan. So I found out who the collection company was, entered into rehabilitation program, asked me for payment that day, I did. I have a 3day notice to vacate, dept of education said that should count as eviction. But im sure by the time I get the hardship packet in the mail, I will already be evicted. So I will check homeless at that point. But my refund as of now has not been posted to my account in collections. By the time I receive the hardship packet and fax in everything for the collection company to finalize entering into rehabilitation program, hopefully before the refund does post to the account. But my question is, if I am entered in before it does hit and I file the hardship packet and am homeless, is there a chance of anything from my return back at all?
I wish I knew. All I can do is encourage you not to give up
This is my First time that my refund has been taken by the IRS/ Student Loans Edu and I feel like crying. They didn’t have to take all of it. Im currently not working due to health issues and now none of my bills will not be paid. They really don’t care about the poor and I really see that now. The sad thing is I pay $5 a month and still get screwed at the end. No refund.
Treva can you try signing up for the REPAYE plan? It’s only 10% of your income and they let you earn $20,000 before they take anything. Ask them if you need to consolidate your loan on studentaid.gov
I consolidated my loans and pay $5 a month. They said i file it too early thats why they took it. If i would have done it at the end of this month i would have gotten it and also still never gotten paper state that i have a offset. She i do a review to see if i could get some of it?
Typp should I
I went through something similar. I’ve been homeless since Dec 2018. My last semester I was less than halftime so all my undergraduate loans etc were due immediately ( didn’t know that I already used my 6 month so called grace period prior years of breaks in education) As a single, veteran mother my concern is taking care of my family not getting mail. I had no idea of any tax offset notification. Ten day window I missed applying for forbearance for my student loans. They went into default ( of course it’s my fault for wasting my time on education to never find a job that can support my family) so being homeless means nothing. However the lesson is to stay on top of your student loans before anything else to prevent tax offsets…no matter what you try you’ll never get it back anyway. Just consolidate the loans keep moving forward.
I am a Retired Army Vet that is disabled and I have had cancer recently my student loan were supposed to be in deferment and I dont know how they or when they went from deferment to default and now collection, how can I fix this until the IRS page the said my refund is approved for offset. I called the Dept of Ed that said they have contacted me through out the year but I have not received anything from them in over a year and as far as I knew my loan was in deferment and I even asked about the tax hardship form but was told the only way I could get that was Eviction or foreclosure I dont know how to fix this can you give me any information
If you’re not making very much money right now, can you put the loan into an income driven plan like REPAYE? You could pay 10% of your income which if you’re not making a lot could make it more manageable
What If you have a utility shut off how and where do you find the forms to fill out for the hardship? Also where do you file them?
Then I would consolidate the loans and get them on the REPAYE plan so you can pay a lot less or maybe nothing at all. studentaid.gov will do this for you.
my tax refund was offset this year and im devastated because we hard in serious fiancial hardship right now. they sent me the form and they said the only way to get my refund back, is if I am getting evicted or homeless. I am not getting evicted yet but I will be soon because i was supposed to use that money to catch on a lot of past due bills and pay rent because my spouse has not been working due to an illness and im the only one paying all the bills. I just set a $5 plan with them but now im scared that they wont give me the money back due to not having an eviction letter. IS there any other way I can prove hardship because it will get worse for my family if i dont get that money back.
I think you’ll just have to use the form and hope for the best. Sounds like they’ve got you on loan rehab. You need to make 9 months of those payments then sign up for the REPAYE or else you will likely have trouble again.
If my tax refund was taken before March 13th, 2020 for a student loan. Now that Coronavirus here and my hours have been cut can I get my refund back? And what do I need to do? Will my stimulus check also be taken?
It depends on what date they set for the cutoff for returning it
You should be getting your refund back
I recently have an offset and was too notified ahead of time. I was under the impression that i was on a payment plan through a recovery company and they havent taken the payment in a year. I was unaware of this because it was automatically being taken from my account and it was only five dollars. Now I am behind on everything and need my tax money. I promised to pay the landlord once my refund check came and now thats not happening. What can I do?
Based on the loan letter, if you’re threatened w eviction then that’s a way you could get an offset. I’m so sorry you’re going through this, but you might want to apply when you get the eviction notice and try to call the default resolution group at the Dept of Education. Their number is 800-621-3115. Ask them to help you get on the REPAYE plan
Why are people coming here to complain? No one is going to help you. The government doesn’t care. It’s time to take care of yourself. Student Loans and Colleges are SCAMS. You can always educate yourself and LIE, LIE, LIE on your resume. Make sure you tell your children that. The only way to get out of paying student loans is suicide or quit your job and never pay taxes again. Buy a mask and do porn. It’s great money.
Well, that’s a bit rude. How did you even end up on here if you feel this way? Sounds like trolling to me.
If you don’t want to read people’s comments then stay off on this website. For most of the people on here, this thread is a way to voice their frustration with the system put in place by our government. A government who has a tendency of saying they do care about the hard working, non-priveledged, less fortunate Americans but in fact they could give a rat’s behind about them. Most of the people on here are those Americans who feel like they are being neglected and this is a way for them to voice their opinions about a system and a government that, for the most part, is failing to meet the needs of every American citizen instead of a select few. I am not throwing stones at hard working people who were fortunate to be born in wealth. I know their are many of you out there. Just voicing my opinion, as a hard working, single patent of two kids and sticking up for those of us who use this platform to vent, ask questions, and voice our frustrations no matter what they may be. (Stepping of my soap box, now lol). Good luck to everyone that desperately needs their tax refund money like me. Hope everyone stays healthy and safe.
I am on a payment plan and my 5th payment comes out April 5th. However, I already filed for my taxes and they took my federal and state taxes. Is there any way I can get the money back since I’m in a payment plan and will soon be paying my 5th payment ? Is there any way I can get my taxes ? I am not getting evicted so I can’t file for hardship but I’m a teacher working 11 years in the field. Will anyone have mercy ?
It seems like you’re close to getting your 9th payment and then you can sign up for the REPAYE plan. That will help you a lot and you’ll be able to get your payments to be a fraction of what you owe.
Hey Travis,
I have an eviction notice. On the hardship packet they sent me, it states the notice needs to be dated no earlier than 90 days before the date of the offset. I haven’t recieved the notice of the offset yet i just knew who it was from. So, I don’t know the exact date of the offset. How do I know if i qualify.
That’s a tough one I’m not really sure but I would estimate
I completed the rehabilitation program by making payments. I never received anything saying I completed it. The loans on my credit was showing $0. I thought I was done. I filed my taxes and now I have an offset. They are taking my refund. I currently live with relatives and I am a single mother. I need my refund. Because I went through the rehabilitation program I am being told that there is nothing that I can do. Any advice? Is that true? How can I get the form for the hardship?
You could contact ECMC and ask for the form
Thank you for reading my post. I’m in desperate need of help. Back in 2015 my tax refund was offset entirely due to student loans being in he default understandably so. Fast forward to 2017 and I did not do my taxes because I knew that they had not been out of default and I have not been in a position to get them other people. So July of 2019 I entered into rehabilitation program and had to send off my pay stubs and at current budget and signed a few things and they’ve been taking the money out of my account religiously since then. when they fell off of my credit after making so many good payments I never even imagined an offset was still an option for me. So I filed my both of my 2017 taxes in 2019 taxes this year and to my despair I found out they offset all of it. Saying that they were technically still in default because they never got my signature back on the paperwork or whatever. now even those it off that hadn’t happened was still like 3 days out they would not even help me by faxing me the deets paper. I’ve literally not miss any payments only thing keeping me a default was my signature and shame on me for not sending it certified.
I’ve seen that there are few ways to get my offset back but I just don’t know if any of them are applicable. I just moved out of the domestic violence shelter into transitional housing and I don’t know if that count as being homeless. do you know if it counts as being homeless because it’s not permanent address? And do you have any other suggestions for me.? I can’t believe they’re able to take so much money for me stating they never received my signature. Is there anything I can do I so desperately need that money.
I know that if you’re persistent you have a decent chance of getting your money back, but only from more recent years. Try to see if you can consolidate the loans at studentaid.gov and sign up for the REPAYE plan where you can pay only $0 a month.
Where do I get a offset refund request form? Can I download the form from the ECMC website?
I would try that yes. I received notice that I needed to pull their form off of this website, so I had to comply.
I have a 14 day eviction notixe which is 2 days in.
1. Does anyone know how long after sending them the eviction notice does it takes for them to send the payment out?
2.Does it come back to me or does it go straight to the landlord?
3. Of a collection company has the loan is there a way to get it retacted back and get set up on the repaye thing that ia being mentioned?
4. They held $7498, of my tax refund and my eviction notice is for 7 months worth of late fees and mo thly amounts which almost totals $6500 ,are they going to send my landlord the entire amount or what?
I had been making payments since 2013, I filed for a emergency stay thru bankruptcy back in Dec. 2019. The day of bankruptcy hearing I realized not all the creditors were listed and brought it to the attorney attention, she notified the judge who dismissed the temp. Stay order and reset hesring for April 2020. So the collection company was notified it was ” dismissed” so they put a offset on my ENTIRE tax refund. Its sick when they know lots of people depend on tax refund to get back on their feet.
So sorry to hear. I would keep contacting the group that intercepted it so you can do what you can to get it back
My income tax was taken for the offset program, I am now on a rehabilitation loan forgiveness program, however it is my understanding that I am able to apply for Offset refund. My question is where do I find the form that I need to fill out and send in?
You can contact the collection group and ask them for it. They might not be very cooperative though.
You would have to contact the a Department of Ed directly, I spoke to a rep and the forms were mailed to me
taxes was taken due to student loans with this covid19 I want servive how can I get them back
You can apply for the tax offset refund, but it’s gonna be difficult to get it back right now. Try to get it out of default so you can do income driven repayment like REPAYE instead.
Same these assholes took all 8,000 although I’m paying 135 monthly the reason was because I was in default before. With the corona virus going on right now My kids and I needed this money.
I’ve been on sick leave for a year. My wife is on disability due to cancer. I never received any notification of an offset until I checked on the where’s my refund app. Our home is payed for but we’re delinquent on property taxes. We have a few shut off notices. Will this be enough to qualify for hardship?
Only if it was processed after the cutoff date based on Dept of Ed.
How do I get my loans out of default? They took my taxes last year for the offset I’ve tried consolidation but that didnt work because I’m in collections so how do I start the process of getting them out of default so I can get my return?
You’ll want to call the default resolution group at the Dept of Education. Their number is 800-621-3115. Ask them for help consolidating your student loans at studentaid.gov.
Was told today as of 3/12/2020, Navient won’t accept hardship applications if you have applied for consolidation, as the process includes canceling the consolidation, (which i was told they also do not do), applying for hardship, then reapplying for consolidation again after hardship. decision. I think im getting fleeced as i am on my 8th different phone number i have been instructed to call. Fyi, i applied for consolidation 3 weeks before the new rule wad made. Please advise. Thank you.
I can’t get anyone to let me apply or even tell me who to apply with, the dept of ed., navient, ascendium, or pioneer collections. Please help. Thank you
Its been over 25 years that I defaulted. I havent worked in over 20 years. Displaced homemaker. Husband provides. Money is tight. I dont qualify for disability I don’t think. (?) Offset letter came 20 years ago. Credit was ruined for years. Fell off credit report. Every year we owe. Soon that may change & he can file injured spouse. Im pretty sure I recklessly burned them 20 years ago for a repayment plan too. Does consolidation ruin credit again or lower score? If my income is zero then my payments should be zero? I finally have a mediocre credit score because of my husband putting my name on his stuff. I’m to the point where I’m like “take my social security then”. Whats your advice?
I’d consolidate, file taxes Married filing separately, and sign up for the IBR plan. I’d stop the madness of collection and get signed up for a plan that doesnt destroy your credit and requires minimal payments
Thank you. Does consolidation ruin credit, report to the credit bureaus or ruin credit score just because its consolidation? Does it report like a loan? With IBR plan, paying lets say at minimum a month, does that keep them from taking social security?
Hi, my taxes were offset because of students loans. They took 5749 and I owe over 177,00 because of interest. Basically They were adamant about not giving it back. My eviction was over a year and I’m not in bankruptcy. I’m a single Mom of 2 living with my parents. That money was to help me get back in my feet. But I don’t qualify for hardship, what do I do?
The govt might be refunding these offsets due to the economic crisis.
Really omg I really hope so
I really hope so im getting the run around and been hung up on 3 times. Im so tired….
Is there way to find out? I’m at my wits end and I was counting on that money to get me ahead. Please if there is anything you can do please let me know. I’m constantly checking the website for new advice. I just don’t understand that they can take all of it. That money was meant for my kids as well, can they at least refund the childcare tax?
Do you have anymore info on this? Refund offsets being returned?
Ppl are claiming its happening to them
Where can you find updated information on this ( offsets being returned)?
The dept of ed will make an announcement
My tax offset was taken before he made the announcement …do you think I could still get my tax offset back? The corona epidemic was happening well before any action was taken into consideration.
It happened to me.. I do not have a date for the return, but the Dept. Of Edu said I qualified and will be getting it back.
So, I am in default with my student loans. They always take my tax refund for offset. I filed my 2019 taxes on April 1st 2020 with the thought that because of COVID-19 they would not be taking the offset.
My refund was supposed to come tomorrow but I got a letter from the Treasury Dept. today that they took my $3900 refund for student loans. I thought Dept. Of Ed wasn’t supposed to be doing that during this pandemic? Because that money would really help right now while I’m not working.
Does anyone know if they will refund that and how long it takes? Or am I just not getting it back?
And what about state tax refunds?
I didn’t receive any notification of an offset and they took my check this year of $6149 to pay towards my student loan that was $49,000. I’m not currently homeless but will be since my husband and I are not working because of the virus. We we already depending on that check and lost it. We have 3 kids and so is there something I could do to get check back? I made payment arrangements with the collection company before I knew of the offset and have only paid one payment so far. Also, when the Gov. sends us a stimulus check will they take that too?
my Taxes are supposed to be offset for federal student loan, but due to the COVID-19 crisis, I’ve been laid off. President Trump halted the collection of federal student loan collection as well as the interest. How does this work? Will I get my refund back, if it hasn’t been applied to that debt yet? Will it still be offset and applied to the student loan? I’m so confused .
Last year my tax refund 2018 was offset. I received no information before. I am now set up and I pay $0/m. I tried to contact people with no help in getting that money back due to hardship. Is there a way I can try to get that money back now and who would I contact, that would actually be able to help me?
Consolidate at studentaid.gov and sign up for REPAYE to pay a lot less
Based on taking advantage of the corona virus forebarence for sixty days, will this allow my offset that I incurred last year not happen this year if I file my tax returns during this 60 day period where I’m showing if I file I will receive a refund. I assume he’s as that my account will show in forbearance status for the next 60 days?
Probably yes but cant guarantee it. All we’re hearing is rumors right now
So I lost my husband to a motorcycle accident in September of 2016. I was getting my Masters in Human Resources management during the time. I dropped my classes and let my professors knew why and I proceeded to get my loans in forbearance. Apparently that only lasts so long. I was trying to find my way with my two children so I’m sure I dropped the ball with a follow up. They ended up taking $9000 of my taxes in March for my loan that went into default in December. I don’t remember any notice. So I’ve done a hardship packet sending them my intent to foreclose and my home and so forth
What are my chances to getting my return back?
It sounds like 50/50 from what I’m hearing just keep monitoring the situation, im sorry for your loss.
Travis,
I have 2 different concerns. My 2019 tax refund of almost $5000 was offset due to my student loans being in default. I am a single father of two kids who does not recieve child support either. We became homeless last year. My mom allowed us to live at her place. However, a few months back she was diagnosed with early onset of Alzheimer’s/dementia. My siblings are looking to move her into an assisted living facility sometime soon and selling her place which would leave the kids and I homeless. Would I be able to apply for an offset hardship even though I am not officially being evicted. For my second concern, my tax offset was completed on February 26th. If the rumors end up being true, would I still qualify for my seized refund to be returned to me? Thank you in advance for your time and thoughts. Stay safe and healthy.
I’m so sorry but i dont think theyll refund it since cutoff is in march. Highly suggest consolidating your loans and getting on REPAYE. go to studentaid.gov
My tax offset took place on February 26th, as well. But, the payment wasn’t actually received until March 10th. You still may be in the clear. Call department of education and go thru the automated call center to see when the payment was actually received. It will take a while to get thru and many disconnected calls (on a 40 min hold each) to speak with an agent. But, if you need the reassurance, it’s worth it to call. They say checks take 45 days to process and then 15 or more to send out. Make sure your address is updated in their system to make sure if gets to you, you’ll have to get thru to an agent to change it, unfortunately.
45 days to process. When will they start processing them? Does anyone know?
Has anyone heard anymore about these refunds? The news is now stimulus checks. Hope they didn’t forget us.
Ok so get this: called the sub contractor lender that has my three loans that were consolidated. Central Research. After speaking with a representative and then a supervisor is what stated that the effective date is March 20th and they are not putting the account into forebearance or changing status of my delinquent account. They are just not calling or asking for collections for the next 60 days from their office. So this is not what the President or what the Dept of Education is saying is to be happening and it’s exhausting when I waste 45 minutes on the phone doing what out President and leaders are telling us to do when it’s a farce. Please Help!
Hello Travis. I have not yet filed my taxes for 2018/19 because I was told that my name is on the offset list as of March 15, 2020. I did not file because a family member informed me that all of my taxes would be garnished this year. I need my tax money badly. Am currently homeless with a disabled child. I called the dept of edu to get on a loan rehab plan. Due to the covid-19 shutdown I am not able to provide proper documentation to get on the loan rehab plan. I called Debt Mang. & Collections today and explained to them my situation. They said that all tax offsets are being refunded due to the current economic crisis, but since I’m still on the offset list if I file my taxes now I was told they will still be taken by the US Treasury and then refunded to me by them but they don’t know how long it will take to come back due to a high volume of participants. My question is why are they going to take my taxes just to give them back?? Should I wait to file or go ahead and file?
I think at this point you should file bc you wont be able to do anything about it either way. I would get out of default by consolidating your loans at studentaid.gov to a 0 a month payment under the REPAYE plan.
I called Dept. Of Edu.. said I was approved for Hardship and I will be getting my return back. She just didn’t have a date does anyone know how Long this takes?
Great news!
How did you get approved im calling today im staying on off at my sisters my boyfriend kicked me and my 2 yr old out im on stamps not working no one hiring they took 3000 from state 9000 from federal.. Please any help is appreciated. My daughter has mcad and a safe shelter is priority that money was for a trailer .. Please please any info helpful.. Im entered fully into rehabilitation as of today and made 2nd payment .. Any thoughts anyone.. This is devastating eith the epidemic happening
How to you apply for hardship? I called DOE and was told I would be getting my offset refunded and didn’t need to apply for hardship. Idk what the 60 days mean. I filed in February then I should get my refund by March 6th until they offset at that time. I asked how long until I get the refund. Was told within 60 days. God I hope it’s TRUE. I’m never gonna underestimate the government again. Right now as I wait I feel blessed. If anyone receives their refund please post… thanks
Hi. I called and they told me only my state tax was getting refunded because my posted date was March 19. So I’ll be getting my small tax check. However the federal, the large amount I won’t be getting because the posted date was feb 20 :/
My taxes were offset but with the Corona virus my son has more appointments as allergy and asthma put him at higher risk. With weekly doctors appointments I need a reliable transportation and more unexpected expenses. We live with my parents who are on a fixed income but try to help and I cannot afford to lose anymore hours for work. I go paycheck to paycheck and recently lost income from my 2nd job due to the store limiting hours. I don’t know how to word this or if it even would qualify for a hardship request but I’m financially in bind with more doctors appointments.
So my student loan was quite small. It was about $2,400 so they took the full amount from my tax refund which didnt leave me very much left over. I’ve been told that I can at least get some of the money they took, back due to the covid19 crisis? Is this true? If so, how do I apply? I have been out of work for a couple weeks and I have no idea when I can go back due to the virus. I’m a single parent and anything would help at this point!
They would just refund it if you qualify
https://www.politico.com/news/2020/03/24/exclusive-devos-halts-collection-of-defaulted-federal-student-loans-146929
Read the link. They have haulted all student loan tax offsets effective March 13
What of your refund was seized prior to March 13, 2020?
Its up in the air right now
I was wondering the same thing I received a letter that informed me my taxes were offset on March 11th. I qualify for a $5 monthly payment and made my first 2 payments prior to all the changes. I wish I had waited till the last minute to file than I would get my offset back. Good luck I hope your able to get your refund back. We live paycheck to paycheck, I just wish I waited to file..
Right but Dept of Ed hasnt released full policy yet
I think I’m reading too much into the link. Does it mean anyone who had their refund offset dated BEFORE March 13th will NOT be getting anything returned? please anyone clarify for me. thanks, Barbara
It’s unclear right now but we’ll update it when we know
If your refund was posted towards your offset March 6, 2020 or after you will get your refund back. Call the US Dept. of EDU to make sure that your correct address is on file for a check will be mailed. They also said that they are not handling the refunds so they don’t know how long it will take.
I call tax offset number. He said acct shows active but for offset to be sure no collection of refund acct should be listed as inactive. This was two days ago. Calling today to see if anything’s changed as want to make sure can file today and have no “surprises”
The Department of Education has posted an official announcement on their webpage regarding refund offsets.
Hi Travis, I called the US Dept of Education and yes they are refunding the offset payments. I talked with someone personally after holding 3 times for 34 minutes and being disconnected 2x but on the 3rd try I got thru. She stated that it is official. Praise God! They said that if you were scheduled to get a refund on it after March 12th, then that offset is fully refunded. They are in the process of mailing checks and no they can’t do direct deposits, I asked:) I want to thank you for encouraging me to contact them. I encourage all of you that were offset to call and hold on the line til you talk with someone. It’s well worth it for reassurance. And there’s is no paperwork to fill out. It’s all done thru them. But still call and make sure they have your correct mailing address. That’s crucial cause that’s where they are sending the check! Thank you again Travis and All if you for hearing your stories. It felt good knowing I wasn’t alone in this. It gave the confidence to try and fine a solution. I feel that no one should struggle in this time of era. We should come together and build each other up. Please post whatever comments you have for the next person. It helps.
This is a blessing! But does this include loans in default as well? I’m confused if only loans in default are due to be offset?
I called them yesterday 3/31/20. The lady was very nice. They took my tax refund on 3/4/20. She told me that everyone who was on the offset list would get their full amount back. It would take about 60 days or so but we would get them.
Hi Mary, Have you heard anything else about your offset? I have NOT heard anything myself. thanks
According to studentaid.gov, refunds offsets completed prior to March 13, 2020 will not be returned.
What number did you call? I would like to get that reassurance .. I filed on 3/08/2020 but was scheduled for a refund on 3/16/2020. I’m hoping the scheduled payment date is the date they are going by.
Read the statement on the US Dept of Education released yesterday.
So I filed my taxes on 03/05/2020 but they did not actually authorize and confirm the garnishment until around 03/20/2020 or so. Does this mean I will get my refund back. From what I am reading they are basing this off the garnish date and not the day that the taxes were submitted, am I correct in this assumption?
It’s whenever they were considered to be in process of seizure sorry i dont have more information
Hey Christopher, Have you heard anything else about your offset? I have not heard about mine and trying to see if anyone around same date I filed has heard. thanks
My taxes were offset by the dept of Ed on Feb 28th. Will I still be able to get my money back ? 🙁
It doesn’t appear like they will
I just spoke on the phone with the department of Education after a 1½ hour wait to talk to someone. My tax offset was not posted until March 9th. The representative on the phone confirmed that the new cut off date as of tonight is March 5th. She told me that my refund will be returned to me via check. The timetable is still a little unclear but she confirmed that I would be getting my refund back 100%.
You didn’t have to request anything? The same happened to me.
Yeah I’m very grateful that money will come. Just wish had a timetable 2 weeks 2 months? If anyone has any idea please post. Also for people that said they filed a certain time. Just please try to relax. The date you filed is probably different than the date the Fed documented it on their side so there’s still hope. All I know is if I get it back I’m definitely going to budget better and pay back what’s due to them. We ALL have money issues trust me. Just be appreciative if you do get it back. Good luck and better budgeting to everyone!
This is what I waa told as well. I pray it’s true!
I called (1-800-621-3115) today 5/7 and my tax refund was taken on March 4th. I was told my check was mailed out on 5/4. If you call 1-800-621-3115, they can tell you who the collection agency is and you can talk to them also.
Yep. Looks like it’s March 13Th through sixty days for now. Just did taxes tonight for my gal who is pretty psyched
Big question is WHEN will checks start rolling out? For us people who are getting the offset reversed. I’m still kinda shaky until I see the check in my hand. Not 100% sure if I qualify.
When I finally go through to someone at the Department of Education, they told me up to 45 days for processing and then up to 14 for it to be delivered via US mail. However, she said the time frame may be off due to the amount of offsets that need to be processed and returned.
When I finally go through to someone at the Department of Education, they told me up to 45 days for processing and then up to 14 for it to be delivered via US mail. However, she said the time frame may be off due to the amount of offsets that need to be processed and returned.
Travis, I have one more question for you. While on the studentaid.gov website, I was looking at my students loan details. I noticed that there was a student loan (cant remember the exact date) from like 2001. It was a loan for Western Illinois University. However, I never attended that university in my life. The only loans I took out were from a few years ago when I was enrolled at Ashford University, an online based university. What should I do? I tried going to the website that was listed on the details of the loan for more information but I couldn’t find anything. The loan is being held by Illinois Student Assistance Commission. Please help……no clue what to do. The only thing I do know for a fact is that I have never attended Western Illinois University. Thanks again for all your help and information.
For the latest info regarding the refunding of tax offsets call the Dept of Education at (800) 621-3115 and listen to the recording.
I don’t understand why only refunds offset after 3/13 are being returned. If we’re in an economic crisis where people need money NOW, shouldn’t this return apply to anyone who’s taxes have been offset so far this year? I know I’m not talking to lawmakers here but am I the only one thinking this?
People who filed any earlier shouldnt be penalized.
My wife had an offset that we were unaware of and it was applied to the student loan account on march 13th. Will we get a refund from the covid 19 dealings?
It’s not clear yet
According to the Dept of Ed debt resolution hotline refund offsets completed from March 5 2020 onward will be fully refunded. I spoke to a customer service rep and I was told my refund would be returned (my offset was completed on March 7, 2020) you have to call this number (800 621-3115) to update your address if you haven’t done so in the last 90 days since checks will be mailed out (timeframe of when checks will be mailed not yet clear)
That’s great news at least for some borrowers. Thank you for sharing!
I’ve waited on hold with DoE for hours and hours with no luck talking to a physical person. The recording yesterday stated refunds will be returned from offset date as of 3/5/2020. I checked again today and they changed it and took the dates out of the recording. I read several articles today (reputable sources such as The Washington Post) and they are claiming refunds will be returned as of offset date of 3/13/2020. I wish someone would give us a definitive date because mine was processed on 3/11/2020 and I could really use this refund since I’m unemployed at the moment and down to 1 income in my home.
Question to @Thomas G Pedersen: when you talked to them did they clearly state that 3/5/2020 was the cutoff? I can’t get through to anyone to verify. Any one else have any new updated info as of today?
They did say last week to me that my date was totally different than what is on my website when I log in and that I would get the refund. BUT what is now worrying me is if you listen clearly to the new message it says something like ” you will get your money returned if eligible” the people who answer the phone cannot make the decision. I think I’m getting mine back BUT the problem is HOW do we know for sure bc I don’t want to check my mailbox every day and what if it gets lost? So I don’t even know when to start and stop looking in the box.
I called yesterday and was told the same thing. ( Department of Education) Tax refunds that were offset from March 5, 2020 and on will be refunded. I asked the same question 3 times to make sure( I called 5 times-was hung up on 3/5 of those times…hold times varied from 45 min to 2 hours trying to get through) that if your refund posted to your account ( mine posted 3/11/20 that it would be refunded. I was told make sure my address on file was updated and it would take up to 45 days to receive the refund. As of March 12 when Trump made the announcement all tax offsets were reviewed and the refund process was in progress. I’m really hoping that it is the truth. Although I agree that anyone who filed their taxes early should not get left out in the process…all we can do is stay on top of it…hope and wait.
Do you think it will be a check in the mail or direct deposit like originally planned?
From what I read it will be mailed to you, no direct deposits.
Checks will be mailed you have to call the Dept of Ed Default Resolutions to update your address if you haven’t already done so in the last 90 days.
The original recording stated that offsets completed by 03/05/2020 and after would be refunded. The customer service representative I spoke to did not specify a specific cutoff date (took me many tries to get a live human) they only confirmed that my refund would be returned which was recieved by the debt collection agency on March 7, 2020.
I agree 100%!! I keep reading stuff today and it’s looking like the cutoff date is 03/13/20. Anything before that we are pretty much screwed and not getting our Federal refunds refunded back to us (which I think is utter BS and angers me very much). I’ll post again if I hear anything else.
If your offset was from your taxes it’s the 5th and after. If your offset was a garnishment from like SSI it’s the 13th. I just spoke with someone and he explained it to me.
Sweet Jesus!!! That made my whole day Amanda!!! I’m not going to hold my breath until I physically have that check in my hand! Lol but I appreciate your due diligence and I hope everyone on this thread gets to have their tax returns refunded to them!!!
This is 100% correct. Good luck guys
Just got off the phone with Department of Education. If your student loans was offset and taken then the date is March 5th to receive them back fully. March 13th is for something totally different. Washington post and other sources are confirming the 13th which is true. But March 5th still applies for the student load tax offset refund. So if you posted on March 5th or after you are good. My offset posted March 7th and they assured me I was getting a full refund. If it’s posted March 4th or before keep praying and hope you can file for Hardship.
How do you know when exactly the offset posted? Is it the date on the offset letter from the IRS or something else?
No, it is not the date on the letter. It the date that the offset was received and posted to your Department of Education account. My letter said February 26th. I called the Department of Education and they said my offset was not posted until March 9th. The cut off date for offsets due to student loans is March 5th. The date of March 13th is for wage garnishments only. Melissa, you should call the Department of Education because they will have access to the exact date your offset was posted. You may have to wait on hold for a long time. I waited on hold for almost 2 hours. But it will be worth it just to clear up any confusion you may be having. Good luck.
Mine was offset on the 11th and on the website it says
UPDATED: On March 25, 2020, ED announced that my federal tax refund would not be withheld to repay my defaulted federal student loan debt. My refund has already been taken. Will I get it back?
Yes, but only if your federal tax refund was in the process of being withheld—on or after March 13, 2020, and before Sept. 30, 2020—for the repayment of a defaulted federal student loan.
Your federal tax refund will not be returned to you if the process to withhold your refund was completed before March 13, 2020.
Are you it’s March 5th I’m praying so.
Unfortunately it seems like the final rule decided on March 13. I’m so sorry
No it’s March 5th and later
Good morning,
Has there been any update on when refunds of offset taxes will be disbursed?
Stay safe everyone!!
I filed for my taxes March 16th and they sent me a $70 check out of my $870 tax refund. They still garnished almost my entire refund. I don’t understand.
Itll take them time to refund it
Where did you get infornation for March 5th on returned offsets?? Everyhere i look says March 13th
That’s what they were saying until they finalized the rule so now it’s the 13th
Ok. I just got off the phone with Department of Education again for the 3rd time in a week. Guys this is important we can’t keep giving out the wrong dates. They assured me that if it was posted on the 5th of March and after YOU WILL get your refund back 100% due to covid-19. The 13th is for wages that have been garnished. We can’t get these dates mixed up. The websites are not accurately splitting the too up. And my question to Travis Hornsby is where are you getting this information from that it’s the 13? I ask Because if your not talking to the people that are working at DOE directly then you shouldn’t answer the questions so surely. Because your sources are wrong. Everybody who talks to DOE says they confirm the date to be March 5th. As I just did. April 3rd 7:20pm they confirmed the date to be March 5th. Stop worrying guys.
Thank you very much!!! For the time spent waiting on hold and the info!!
Yeah everywhere I read is 3/13. It’s such utter BS! Now so many of us who had our ENTIRE tax return taken for BS student loans can’t get any of that money back to help us live through the pandemic we are in. I get it, we owe the debt and we let them get in to default (many different reasons) but come on…some of us are unemployed (myself) and could use that money to maintain our homes, vehicles, bills, etc. I’m very angry at our “leaders” who can’t grow a pair and stick up for the average American who needs any money they can get. Don’t penalize us because we filed our taxes earlier than others and still got our sh*t taken away. They need to revisit this and change the date of cutoff.
Hey Steve, I just got off the phone with a DOE agent. I’ve talked to them twice in the past 2 weeks to be sure it hasn’t changed. Payments received ON or AFTER the 5th will be eligible for refund. Not sure where people are getting the 13th figure from. I filed on February 2nd, my refund was offset on February 26th, the payment to DOE was not received until March 10th.
Hey Sarah! Thank you for the information and for waiting on hold forever to talk to an agent. The 13th is being used everywhere, even on the DoE website and along with most other news articles that are covering the stimulus bill being passed. I think it’s crazy that their site says the 13th but agents are telling people the 5th (don’t get me wrong, if it’s TRULY the 5th I’m very grateful because mine was offset on 3/11). It’s almost like an emotional roller coaster with getting hopes up and then having them shattered and then back up again lol.
Ok. I just got off the phone with Department of Education again for the 3rd time in a week. Guys this is important we can’t keep giving out the wrong dates. They assured me that if it was posted on the 5th of March and after YOU WILL get your refund back 100% due to covid-19. The 13th is for wages that have been garnished. We can’t get these dates mixed up. The websites are not accurately splitting the too up. And my question to Travis Hornsby is where are you getting this information from that it’s the 13? I ask Because if your not talking to the people that are working at DOE directly then you shouldn’t answer the questions so surely. Because your sources are wrong. Everybody who talks to DOE says they confirm the date to be March 5th. As I just did. April 3rd 7:20pm they confirmed the date to be March 5th. Stop worrying guys.
John Dor is correct. EVERYBODY PLEASE READ THIS SLOWLY SO THAT YOU COMPLETELY UNDERSTAND. I have spoke to the Department of Education twice in the past 2 weeks. The last time being on Friday, April 3rd. I was told by each representative that federal tax refund that were offset due to student loans will be refunded to those individuals whose offset happened on or after MARCH 5TH. I repeat on or after MARCH 5TH! The cutoff date of March 13th is for WAGE GARNISHMENTS ONLY. Both times I have spoken to the Department of Education, each representative gave me a 100% guarantee that I would be recieving my offset refund back. I even went as far as asking for and writing down each of their names and operator ID numbers just for confirmation. Each person also told me that the time frame on when I should expect to receive my tax refund is normally 45 days to process and another 14 days to be delivered. However, they said those estimated times are not guaranteed. They said it could be quicker or most likely it may take longer due to the overwhelming number of refunds that need to be sent back to people. So in review, the cut off date for tax offsets due to student loans is on or after March 5th. The date of March 13th is for wage garnishments only. Time frame is 45 days to process and 14 days for delivery but could be longer due to the sheer volume of refunds needing to be sent back to people. I hope this clears up any doubt or confusion about this topic!
No, it is not the date on the letter. It the date that the offset was received and posted to your Department of Education account. My letter said February 26th. I called the Department of Education and they said my offset was not posted until March 9th. The cut off date for offsets due to student loans is March 5th. The date of March 13th is for wage garnishments only. Melissa, you should call the Department of Education because they will have access to the exact date your offset was posted. You may have to wait on hold for a long time. I waited on hold for almost 2 hours. But it will be worth it just to clear up any confusion you may be having. Good luck.
Thank you Kevin, I was able to get though to my loan servicer who told me that my offset posted to my loan account on March 10. I’m assuming that date is the same as what it would post with the DOE. Or, I hope. My cust service rep seemed very confused about all of it and kept putting me on hold..and then told me to go ahead and send in the hardship application. So, she was rather confusing but this gives me some comfort that I will indeed have mine refunded as well. Thank you for the info and clarification!
Hey man, I just called and got forwarded to the collection company that has my loans. They told me my federal return hit my account with them on 3/26/20. I’m assuming I should be safe then huh and get my money back? I got the letter in the mail from the Dept of Ed stating the Dept of Treasury offset was applied on 3/11/2020. Too many dates for me, but either way from what you stated above I should be good to get my money back? This is a CF all the way around, let me tell ya.
Sorry everybody. I did not mean to put that comment in a regular post. I meant to reply to a comment further up in the line of conversation.
Hey everyone my loans were through pheaa and i just recieved my check today good luck everyone hopefully you see yours soon
Wait what check?
I just got off the phone with them and they said they have not sent out any checks yet and to be careful for fraudulent checks.
Has anyone received there taxes back from student Ed
I filled April 2 and they still took my entire small 600 dollars and I am not even sure what to do next. I thought they were not allowed to garnish anything and now I learn they still can only to make me and I guess others fight to get it back. It is just taking us longer now to once again wait on money we need.
So I’m not sure if mine were different but i live in Pennsylvania and my loans were through pheaa and i already recieved my refund back from them and also a check for my last wage garnishment which was a great surprise because my refund posted 2/26 so I didnt even think I was getting mine back
Wow that’s wonderful news!! God is Good!!
Did you do any consolidation or apply for hardship anything or did they just send it back? I know they go off the post date not the offset date. My offset was 3/11 but my post date was 3/21 when the payment was posted
i spoke with them today. filed my tax return 01/31/2020. they took the refund (all of it) on 02/22/2020. i am not eligible. i was also told i was ineligible to file for hardship- she stated that is had been more than 30 days. this is ridiculousness…every single one of us who filed 2019 returns and were offset should be refunded for COVID-19, yet 9 days determined that i cannot get my refund… 9 days…i am livid at the moment…if i had waited to file 9 days later i would have 3k coming into my hands, now i don’t get anything…HOW IS THIS FAIR? i have been quarantined with symptoms for over a month…i have been medically disabled on STD since mid November of last year…i was only able to return to work part time (50% reduced hrs) with ADA accommodations before i became symptomatic of COVID-19, thus have not been to work since mid November of last year…
the ONLY reason i was denied the 2 forbearance and 2 deferments almost 10 years ago, was that the Ohio State BURSAR employee refused to approve them, stating i had to be collecting unemployment, even though at the time i had been unemployed for over 2 years…then OSU put my loans into default…i have not seen a tax refund since, i cannot access my transcripts, and have had up to $700 per pay check garnished leaving me homeless at least 3 times in the past three years…
i have been late on rent every month since November due to erratic STD payments…and even more so now with COVID 19- i actually wasn’t even paid one pay period in March…if they are refunding some of the education offsets from 2019 tax returns they should refund them all…it is UNFAIR..i filed diligently and early…i am no less deserving of my refund than someone who filed 9 days after me…
I am confused because I am reading about how everyone has to call to get a refund but I thought due to the certain crisis they weren’t even gonna take the money? I see many people still having their money taken only to have to fight for it back when they need it most. I am confused as to what is going on. I guess my questions are even though they are not suppose to be collecting student loans currently they still are and making you fight for a refund?
They shouldn’t be taking student loan offsets at the moment. Not sure why they still are. Refund checks are being sent out starting today. Nobody should have to call, it’s supposed to be automatic.
I have called 3 times now because I was unsure who exactly I needed to talk to. DOE told me to call my loan servicer again. Today I did, and finally got someone very knowledgeable and helpful. She said that they were initially supposed to be automatic so that got out so a lot of ppl got the info too soon, without proper detail. Including news media. Within 48 hours of being told it was automatic, servicers got the memo that it is NOT automatic, but must be requested. I did fail to clarify if this is ONLY for loans with this particular servicer/debt collector, or all DOE loans, but I understand that while they were initially doing it automatically (so the people sharing this info were correct, at the time. ), it has since been change to BY REQUEST ONLY. So I would call whomever your offset went to and if it posted MARCH 5 or after, you are entitled to it back and they can not deny you that due to the Cares Act.
I hope this helps a little! Good luck everyone!
Hello… What number did you call? Because when I call 1-800-621-3115 the message itself states “You ONLY need to call to update your mailing address” It says if you have called or updated your mailing address within the past 90 days then you DO NOT need to call again that checks will be coming out soon. Please correct me if I am wrong.
You aren’t wrong but you need to stay on the line past that recording. I called that number today and got through. They said they were starting to mail them out this week, and everyone should have them within 30 days.
Yes your exactly right. Thank you for verifying what I thought I heard and yes just to make sure I did stay online just to make sure what was told to me a few weeks ago was still the same. Good Luck to everyone and God Bless!
@Melissa who is the collection agency that took your loans? And what number did you call?
@Amanda Mine was taken by Premier Credit, North American LLC.
I got an email stating that I’m owed a refund and will be mailed a check In the 30-60days. So check your emails!!!!
Who sent you the email? I wasn’t told I would receive an email. hmmm
I got an email as well
Hi…. Was the email from FED LOAN? Or who? OMGosh I hope it didn’t go to SPAM because I just emptied it and really didn’t check it too much. 🙁
Mine was from Default Resolution Group, the collection agency that took over my student loans from the DOE.
Like Amanda, I recieved an email from the collections agency that took over my loans from the DoE. I got the email on April 10th and the email said I will receive my check in the mail within the next 30-60 days. Receiving the email was very encouraging. Now I know for sure that I am getting my money back. Thank God!
I called that number also and heard the same thing, however when I spoke to someone, I was told that I needed to call the collection agency that received my iffset (mine is Premier Credit) because she had been told that a lot of servicers are not automatically giving them back. Which turned out to be the case with mine so I’m glad I called and talked to someone. The TOPS offset number (it’s on the offset letter) is where I got the phone number to the servicer that received my offset.
I highly suggest calling who received your offset. Better safe than sorry.
So they are still taking the refunds? This is crazy, every article I’ve read said that the Dept of Edu will not be seizing or garnishing wages until at least September 2020.
Thank you @ Amanda Michael that’s the same place for mine. I just haven’t received an email or hope I didn’t delete it. But I feel better knowing someone is getting a refund from same service as mine. Again THANKS!
You’re welcome! Keep checking your email.
Thank you all for your comments, it’s very helpful. VSAC in Vermont is who my defaulted loan is owed, but Windham Professionals is the debt collection agency who took it over. I filed my taxes in late March and just found out my return was offset two days ago. Just curious if anyone is dealing with either of these companies?
I called the Marilyn collection agency that received the payment for my student loans and they said that it was processed on receive a March 12th 2020 well my question is since I can’t get there a refund to me on the cares act can I still apply for a hardship refund me and my children have been homeless off and on for the last two years I’ve been struggling i receive Food Stamps we have no income and I was in 2017 I was on a rehabilitation plan but I didn’t complete it I’ve got eight out of the 10 payments completed so the the collection agency told me to contact him before September 21st and I can set up the loan rehabilitation program with them and get them out of default but in the meantime can I apply for a tax offset hardship with us being homeless and receive my refund and if so where can I find the form and I don’t have any proof because I was just living with a friend they kicked me out I had so how do I prove that me and my children are homeless will my foodstamps qualify for me for that
Hey everyone, just wanted to provide my update to the thread. I haven’t received any emails but I did get a letter in the mail today from the DoE stating that I WILL be receiving my money back. It didn’t give me any dates or anything but just provided info about the CARES Act and all that stuff. I also called my collections agency (ICR) yesterday and they couldn’t tell me anything honestly. From what I’m gathering, it’s automatic that you will be getting your money. You shouldn’t have to call and ask anyone for anything, except to verify your address on record with the DoE. In my letter (was dated April 9) it said I should expect to get my Federal refund offset (by way of paper check) within 30-60 days. It also did say that the amount of time to receive the money is an approximation and could be sooner or later. I was shocked to see the letter in the mail but I hope everyone gets to feel the sense of relief that I felt today, when opening it. I wasn’t willing to wait on hold for hours with DoE and honestly just figured I would get screwed like I always do. I’m praying that all of you get your money back and stay safe everyone!!
Just an update to my situation, I got a notice they were taking my refund and got worried. I waited to see what happen and the day I was just about to call Dept of Ed. I checked my bank account and noticed my refund was there. I got my refund and did not have to call anyone. I hope you all are having the same luck and staying safe as well. I also hope this helps answer some people’s questions.
Are you suppose to get a letter if Department of Education is taking your taxes for an offset? I was on the list, but I am not on it anymore for an offset. I haven’t received my taxes and it is still showing processing on WMR. Anybody else with a similar situation?
They are refunding for post dates 3/5 and after. I know this because some people have already gotten their check in the mail. If you consolidated your loans, depending on what company have your loan, they are directly refunding. I know Naviet, Ascendium, PHEAA, ECMC are refunding directly. If you go to myeddebt.ed.gov, you can look to see what’s your loan balance and you will also be able to tell when your check has been mailed out.
Hi Dee, So if the loan balance has not changed then this means they have not started the refund process yet? Where did you see that your check was mailed out? thanks, Barbara
Correct. My check hasn’t been mailed because my account has not reflected a refund yet….but there are a few rare cases where people are getting their refund without a system update.
By chance where in the system would you see that the check has been refunded if the system would reflect that?
When you login, on the left click on Payment History. You should your refund amount and the date it was taken, but if you see refund with the amount in parenthesis, this has indicated that they have processed and check is in the mail.
Just got my refund today so be on the look out!
Awesome dude!! Glad to hear you got it. Did it come by mail in paper check? I have been checking my mailbox like 3 times a day and chomping at the bit waiting for it to arrive.
Believe me it’s coming I was thinking I’ll get mines in May , but it arrive on 4/20 Definitely was a surprise!
Paper check White envelope, I thought it was fake smh but it was the real deal! So be looking for it!
how did you receive it? when did they take it?
They took mines on the 9th and I call them on the 23rd to refund me back! I’m just glad it came! Hope y’all get y’all checks soon!
Are you In Texas
Yess In Texas!
Who has received theirs today? I am in Iowa. Mine was taken on March 11th and I have been provided with no update. I updated my address on April 10th.
Join the Facebook group called Get My Tax Offset Back…I’m a moderator in that group and all your questions are there answered or can be. You can also see if people have received their money.
WhTs the website please
myeddebt.ed.gov
My husband filed his taxes on 3/30/2020 and they took his tax refund on 4/10/2020 for a federal student loan he owed. They did send him the remaining balance after they took out what he owed, a big fat $4.00 check.
No ma’am he is owed whatever amount was taken. I can only assume that he will get the remainder of his money but it should have went directly to him. Call the department of education to verify.
My Federal tax return was offset, I filed for a hardship refund when I called the U.S. Department of Education they advised that due to the covid-19 virus they was dismissing my hardship request and refunding me the whole amount due to my loan posting after March 13th and I would receive my check in the mail within 30 days. This conversation took place March 30th today is April 25th and I haven’t received a refund check in the mail. How can I track my offset refund check? I’ve followed every google suggested site called every department known to man and can get no answers regarding the status of my offset refund. Please help! Thank you
You can signup on myeddebt.ed.gov and go to your payment history. If you see the word Refund and the amount of your offset in parathesis, that means your check is in the mail. They are doing these randomly, so check it maybe twice a day to see. When that updates your check will be mailed that day or has already been mailed. You can also call the DOE and ask them if you can’t sign into myeddebt.ed.gov.
Hi, my student loans went into default this year because The fedloan group kept sending letters to my parents address despite me updating my address with them several times. As a result they took all 5000 dollars of my tax refund this year. The amount was seized a week BEFORE March 13. My friend got hers returned to her even though it was taken because it had been seized after that date due to the pandemic. Does this mean that everyone who filed their taxes EARLY will get nothing back? I even got put on a payment plan to get my loans out of default before they took it, and the collections agency is still taking monthly payments out of my account. But they still took the money. I called them every day to explain that I am a single parent with limited income(and zero income now that schools are closed) and they still took every cent. Is there hope for me to get it back?
The question you need to ask or you can call the automated system and see when did your refund post to the department of education. My direct deposit date was 2/26, and money taken on 2/26, but DOE didn’t receive the money until 3/11. You can call the DOE number and go through the automated system and it will tell you your post date. If that date is 3/5 or after, you will get your refund. C
Any updates in refunds?
Beth can you please edit this article because the information you have provided is incorrect. Department of Education are refunding EVERYONE that has an offset post date to the Department of Education March 5th and after. The March 13th date is for wage garnishments. I know this because me and countless others (hundreds) of people have received them. There is no verbiage in the CARES ACT that proves this, but just make one call to the Department of Education, or Default Resolutions Group, and they will confirm what I am saying. So for anyone who is set to get this refund, you do not have to call and request it, it will automatically come to you. All you should do is call them to make sure your address is correct on file.
I received my refund check yesterday. So, be patient, everyone! It’s coming!
Still waiting on my refund to be updated. It says that it is still processing. I’m not sure if it is going to post to my loans first or automatically come to me. ♀️
If you recently filed it will come directly to you.
Nice…I’m definitely looking forward for mine too…I keep checking the mailbox every day…
they don’t want to believe us Dee. March 5th or later you will get your check back. I already got mine. But this site says the 13th. They are stressing people out for no reason and now there site has no real credibility. That’s why I stopped responding. No point.
Hi…when did you receive your check John ?
Hello,
I filed my taxes on 3/30, on 4/8 I received my state return and hoped that, that was a good sign that I might get the federal soon. On 4/10 I received a letter stating that my taxes had been offset and sent to dept. of ed. After calling several numbers to see when I might be getting the money back, the final person I spoke to said it could take 30 days but they also stated that they had not received the money so it would be 30 days at least from the time it is received for them to mail me back a check. I also made sure I updated my address when I called. I’ve done follow up calls on 4/20 and again on 4/30 and they report that they still do not have it and that I should just continue to check back. I check the myeddebt website regularly as well to see if it shows as a payment but still nothing.
My question is, has anyone else experienced this? If so, how long did it take for the refund to be received by the dept resolution group? Is there someone else I should be calling to see where the money is or why it has not been received by the drg that I have been informed it has been offset to? I understand it’s a process and knew from everything I had read online that it looked like they would still be taking it but then giving it back via check. I just want to try to get some idea of when I might see this money.
Any assistance greatly appreciated.
Processing time is 30 days (after the payment is received by DOE), then another 15 to receive the check. I filed Feb 2, offset was Feb 26th and the payment was received March 10th. I got my check April 27th. Mine took about 48 days all together.
They are processing them in the order they were received, be patient. Don’t expect to see a check until the end of May or June.
Thank you, I definitely understand the process and the need to be patient. Seeing the timeline of someone else in a similar situation is helpful. Thanks!
This is not correct. My dates are the exact same as yours, yet I still have not received my check. I didn’t not get any action until I contacted the DOE and then the one that holds my account, I also sent an email to Betsy Devos because my account didn’t show that my offset had been refunded. Finally that same day May 1st by the end of the day I recieved an email stating that they had forwarded my information over to someone in charge. They state the check was mailed out on the 1st of May I still haven’t rcvd anything. Keep trying call send emails don’t just sit back and wait!!
I would call the offset people cause the cares act went into effect March 13th and you filed the 30th so technically it shouldn’t be going to them at all and should be going back through the IRS and direct deposited like your taxes would have normally would have been. There is also a group on FB called Get My Offset Back that has a lot of good info about this whole ordeal. Hope this helps!
It has now been 9 weeks since I received my offset letter. Still no update on myeddebt. I have called DOE, I have called the company that is handling the default, they continue to state that they do not see my refund. When calling the treasury dept, they report my refund was sent to DOE electronically on 4/8 and that they definitely should have it and then said not to let them tell me any different. I dont know what else to do, I have spoken to so many people over the last 2 months and haven’t been able to get anywhere. I expected by now to at least just be waiting for the check to arrive not still waiting for it to post. I assume most people have received their refunds by now. Anyone else in a similar situation as this? Any info greatly appreciated. Thanks!
Thanks for the reassurance Dee and John. I really need it. My tax refund was due to be in my account on 2/26, but of course it was taken. I called DOE, agent said it posted to my account on 3/10 and assured me that I would get it back. I haven’t received it yet, but if people are getting their money, it gives me hope.
I just wanted to comment for yall to hang in there and PUSH if you haven’t gotten it. My sister filed on 2/2 and her punt was posted way before 3/5 or 3/13. Without even trying, she rec’d her taxes back! Discouraged bc I’ve been trying to push to get mine back w/no luck. I finally got a hold of a mgr of my creditor and she said mine punt was posted 2/12 :/ She put a request in and said don’t expect to hear of an outcome for 45-60 days. That was 2 wks ago. I GOT MY CHECK IN TODAY!!! Keep trying, early filers!!!!
Tonya, I filed and mine shows it was taken 2/5. Does this come close to when you filed? What did you say to the creditor mgr? I check daily to see if I have been refunded but have no luck. I have seen so many different dates and what people say I don’t know what to think anymore. Everyone has a different answer. I have not seen anyone with a date close to mine, except you.
Tonya when does your myeddebt account say your offset was taken. Mine posted just before yours and I have gotten no notification from DOE or DOT about a refund. My whole refund was taken. I hope this changes to all offsets for the tax year if it is a matter of a couple weeks. It’s not fair or right.
I haven’t been on that site but was told by my creditor that it was posted on 2/12. I filed on 2/2 & they posted my pymt on 2/12. I really think it boils down to the creditors and how fast they move.
Just giving everyone an update. I called debt solutions/DOE last Tuesday to check the status of my refund. The customer service rep told me that my check had been put in the mail on 4/30 and that I should get it in 2wks. Got my check in the mail today! For everyone that’s still waiting, be sure to call and get an update on your check.
I called the DOE last Thursday the 7th of May. The lady on the phone said my check was put in the mail of Tuesday the 5th of May. She said to expect your check to be in my mailbox anywhere between 7-10 days. I’m still waiting and not counting on anything until that check is deposited and clears into my bank account. My luck the check will bounce!
Who did you check come from DOE or the creditor that had your loan collections?
Treasury Department
I filed on 2/2 & they posted my pymt on 2/12. I really think it boils down to the creditors and how fast they move.
Is there a timeframe to submit the hardship letter after you have had an offset taken from your tax return?
3 years
I went into default during my incarceration an this wasnt considered as a ground for my tax offset to be returned as the bills increased with in my family home i provided the bills an amounts..because these bills were in my mothers name.. An not mine even though i live in the house paying on such bills i was denied…
I’d recommend reaching out to a tax expert like these guys https://studentloantaxexperts.com/ and mention SLP as the referral source for a discount if you decide to hire them.
I’m curious with this yearbeing such a mess if they’ll be offsetting returns next year. What are your thoughts?
I was told that I am eligible for a Tax Offset Hardship Refund from 2018 due to many reasons. However, It was the Dept Of Education that took my tax refund. I cannot find the application to send to them and cannot find an address to even mail in a typed request. Does anyone know where I can find this information? They took my entire return of $12,000. I really need that money. I use it every year for my kids. Please help!
You can find out by logging into the National Student Loan Data System or contacting the Treasury Offset Program.
I need help and or sent in the correct direction to resolve my issue please. My pay was previously garnished back in 2013 (completed I thought) and this year the IRS withheld my refund according to the website. When I called they said due to Covid-19 NO refunds would be withheld. But mines were…… I called the department of education and she told me there was a high volume of calls and she couldn’t tell me anything other than it had to be for a balance owed. How do I owe a balance this year if they took it back in 2013? How do I get my refund back due to an error of reporting cleared? I did receive the 1st stimulus check so I am very confused to why my refund was withheld and I would like to know the process and steps to get my refund back. Any help is appreciated…….
For tax-related questions, we always recommend you reach out to a tax professional. We recommend these guys https://studentloantaxexperts.com/ and if you mention SLP as the referral source, you’ll get a discount if you decide to hire them.