I want to protect what little money I make for my family. Currently I owe more money than I make each month. The debt I have been obliged to pay for the past year includes:
- mortgage & insurance: 731
- car insurance: 100
- utilities: 200
- food: 400
- medical expenses including insurance: 500 (owe about 7,500)
- petrol: 100
- misc (haircuts, dog food, car repairs, wife's student loan debt, etc.): 180
Now I was a student with student loan debt, and now all my student loan debt is consolidated under the U.S. Dept. of Education, FedLoan Servicing. I have a paper from this department stating my loan is in forbearance until June of next year, 2016. I have also more recently received a letter from this department stating that my loan is now out of forbearance and is converted to a standard loan, and now I owe ~ $420.00 every month. That is about 420 that I don't have. Currently I am accepting some charity from some of my family to get my pregnant wife and I through the medical expenses.
I work full time and my health is poor, so giving blood or picking up another job seems like a bad idea. I want to know what my options are. I'm hesitant to pay even a few dollars because I fear that may constitute some implied legal agreement.
- Should I try to argue in a certified letter that I should still be under forbearance given the previous agreement?
- Does any payment constitute an implied agreement on my part to pay the requested amount?
- Is there any good advice for people in my situation?