Federal Salary Offset Program Hearing
You May Request a FSO Review
If you have been notified that the U.S. Department of Education (the Department) intends to collect your debt through offset of your salary as a federal employee, you have the right to request a hearing of your account and circumstances before the offset begins.
To request a hearing, click here , complete the PDF form, save it to your computer, print, sign, and mail it to the address shown on the form.
Hardship: If you Cannot Afford to Pay 15% of your Disposable Pay
You may feel that making payments equal to 15% of your disposable pay will cause you an extreme financial hardship by preventing you from meeting the cost of food, housing, clothing, essential transportation, and medical care for you and your dependents. If you want to object on this ground, you must provide credible documentation to the Department that proves the costs incurred by you, your spouse, and any dependents for basic living expenses, and the income available from any source to meet those expenses. If you contend that collection at the rate of 15% of your disposable pay will cause an extreme financial hardship to you, you must include the following:
- a completed REQUEST FOR HEARING form and/or a statement of the reasons for your claim;
- an alternate repayment amount that you believe will satisfy the debt in a reasonable time without causing you extreme hardship; and
- a completed FINANCIAL DISCLOSURE STATEMENT together with documents showing the income, assets, liabilities and expenses of you, your spouse, and your dependents for last year and for each year of the proposed salary offset. To make payment arrangements, please call the FSO Unit at 312-730-1477 (option 2).
Disputing the Debt
You can dispute your responsibility for a defaulted federal education debt upon several grounds.These are listed on the REQUEST FOR HEARING form. Follow the instructions and timeframes provided in the Notice to request a hearing by an official who is independent of the Department.
Send all documentation to:
US DEPARTMENT OF EDUCATION
FEDERAL OFFSET UNIT
PO BOX 5227
GREENVILLE TX 75403-5227