faq

What is an Administrative Wage Garnishment?

An Order for Wage Withholding or “administrative wage garnishment” is the unique process the U.S. Department of Education and other student loan guarantors may use to order an employer to turn over some of a consumer’s wages as repayment towards a defaulted student loan debt.

Because these types of debts are ultimately owed to federal taxpayers, Congress passed laws allowing for an efficient administrative process to collect defaulted federal student loans, which still provides consumers with due process. It is important to know that an administrative wage garnishment order carries the same legal force as a judicial court order.  If your employer has received an Order for Wage Withholding from CTI on behalf of one of its clients, the law requires that they comply with that order.

Information about Administrative Wage Garnishments can be found here:
https://www.fiscal.treasury.gov/fsservices/gov/debtColl/dms/xservg/awg/debt_awg.htm

What is a Treasury Offset Payment?

A treasury offset is when a consumer has a portion of their federal government payments withheld as payment toward a federal, state or local government debt that is over 120 days delinquent. These payments may be tax refunds, social security or other government payments.

Information about Treasury Offset Payments can be found here:
https://fiscal.treasury.gov/fsservices/gov/debtColl/dms/top/debt_top.htm

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