My grandfather who is getting SSDI had got a loan for the amount of 650.00 dollars from money key and he did not pay them back its been a year and now he is receiving phone calls regarding the repayment of the installment loan and what the other person on the other end really upset the family . The representative from money key stated that she was going to report my grandfather for getting the loan and she stated that his benefits would be terminated for that reason. I did look up the guidelines under the loan and it clearly states that no creditor loan or credit card in not considered a loan because he did not work for it and otter key indications that it was an agreement to pay. So I our concern is can a pay day loan get your benefits taken from him.

Hi,

No, taking out a loan would have no effect on Social Security disability (SSDI) benefits. Nor can a loan company or collection agency garnish Social Security benefits to recover a missed loan repayment.

Best, Jerry