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Yes, they are subject to the same conditions as the federal loans, but they cannot take any of your disability money, if you are receiving that. They can garnish your $20/week checks, but they can only take a percentage--so even if they do garnish, they won't get much. If you don't own property other than a homesteaded residence and 1 car, they can't really do anything with that either. You also have the option of filing for bankruptcy and having your attorney argue that paying back any of these loans put you in extreme financial hardship. Or you can just wait until they sue you and you can do the same thing. I can tell you though rarely, if ever, is student loan debt eliminated. I have seen people in wheelchairs with terrible diseases get denied. It is worth a shot though.