by parnell » Tue Apr 10, 2012 5:58 pm
Sounds like maybe you have unpaid student loans. sure they can take your money, off the top, and if they hear (which they will) that you came into a settlement and cashed it then they will demand their share. Seems to me by law they are only allowed to take a certain percentage of offset with regard to monthly payments, however I believe they can put a lien on any account you have, plus take you to court to share that amount. Why would you be hanging onto money from a PI settlement case anyway since when you get money from a PI settlement 1/3 goes to your attorney, 1/3 goes to pay your bills, and 1/3 should go to you but 1/3 isn't usually a lot of money. I'd say give it up and pay down your debt (which is probably adding a hefty interest charge).