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When approved who gets paid first?

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    When approved who gets paid first?

    I have an attorney handling my ssdi claim and this is my second denial. I was wondering who gets paid first? I owe 10,000 in students loans which are in deferment, I will owe the state of CT because they have been giving me cash assistance since i cannot work, and then theres the attorney fee. I know my attorney seemed concerned when i told him about the student loans.If im approved eventually who will SSA pay first, second and third?

    #2
    Your attorney will be paid first as most likely the money will go to him. After attorney you must pay the student loans (have you tried to get a deferment because of your disability?) Student loans in default will cause the IRS to come down on you. Even if you declare bankruptcy the student loans must be paid. The state money may be a forgivable debt.

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      #3
      student loans

      Please look into having your loans forgiven. If you are permanently disabled for three years, (important--they must be in deferment--forms evey year) your doctor can sign the form, (see the website orcontact your loan provider) and you attest that you have no income(other than SSDI) you can get them erased. It takes some time, but they were the nicest/most helpful people I worked with during the entire disability process.

      www.direct.ed.gov/cancellation.html

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        #4
        just trying to bump this up

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          #5
          The Lawyer is first, your are second, but you may have to pay back the State for any time that you get back pay for. The State may want to take their share before you get anything. If your SSDI is not very high the State may not have you pay them back.
          Bill
          Scuba, true meaning of Life! USS Wilkes Barre 91, USS Monitor 96, 97, 99 .. Andrea Doria 96, 98 .. San Francisco Maru 09

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            #6
            Hellp

            What Wkikta said is correct about your lawyer gets if first, but if you a were on state I have be told by others that were too while waiting for their SSDI to go through they had to pay the State back and they got what ever was left over after their lawyer did. Don't worry about the loans I didn't have it taken out of my SSDI claim but do take care of it like everyone is telling you or they will come after you.

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              #7
              Hello, everyone. In some cases, federally insured student loans, as well as money owed the IRS or child support payments can be paid from one's past due benefits before anyone else is paid. Additionally, if one has signed a repayment agreement to pay back one's state for money receive, the money owed may be repaid from SSI benefits before those benefits are realized, too. Of course, if one owes the Social Security Administration for a prior overpayment, SSA can reduce one's past due benefits before the claimant would receive any funds (and thus before the attorney would be paid, because the attorney is paid from the past due benefits, too). This is just general information which of course may not apply to your specific situation. As I obtain more specific information in this regard, I'll be sure to post.

              Rich
              Attorney Richard Feingold concentrates his law practice in helping disabled individuals obtain the monthly Social Security disability benefits and health insurance that they need to survive. Although based in Chicago, Illinois, Rich helps disability claimants nationwide. He has been answering posts in this forum since June 11, 2003. Twitter handle: @RichFeingold.

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