Student Loans in Default Will Be Referred to Debt Collection Next Month
The Department of Education announced Monday that it will resume collections on student loan debt next month, including by garnishing the wages of borrowers in default.
Collections, which have been paused since March 2020, will resume on May 5 and are expected to impact roughly 5.3 million borrowers currently in default on their federal student loans.
“American taxpayers will no longer be forced to serve as collateral for irresponsible student loan policies,” Education Secretary Linda McMahon said in a statement.
Read More at the New York Post
