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Student loan default collection resumes after 5 years
Posted
May 5, 2025
Views
646
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May 5, 2025
646
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1:19Now PlayingStarting Monday, the Education Department says student loans that are in default will be referred for collections.
Beginning May 5, the department will begin involuntary collection through the Treasury Department’s offset program, which withholds government payments — including tax refunds, federal salaries and other benefits — from people with past-due debts to the government. After a 30-day notice, the department also will begin garnishing wages for borrowers in default.
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