Federal student loans in default will be sent for collection, wages garnished
April 23, 2025
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10:20Now PlayingFederal student loans in default will be sent for collection, wages garnished
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as posted by the channelThe Department of Education will begin collection in May for federal student loans in default, the Trump administration announced. There are currently approximately 5.3 million borrowers in default. The government will be able to garnish wages, pension, and other income to collect those debts. No federal student loans have been sent for collection since March 2020, when the COVID-19 pandemic prompted a pause on student loan payments and interest. Dr. Shaan Patel, CEO and Founder of Prep Expert, joins LiveNOW's Austin Westfall to discuss what Americans can expect when this goes into effect.
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