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Millions Face Debt Shock: Student Loan Collections Resume as Trump Revamps Education System
In a sweeping move set to impact millions of Americans, the U.S. Department of Education announced it will resume collections on approximately five million defaulted federal student loans starting May 5. This marks the first time since the pandemic-era pause that collections will be enforced, ending a five-year period of relief that shielded borrowers from wage garnishments and federal benefit offsets. The action targets borrowers who had already defaulted on their student loan
Millions Face Debt Shock: Student Loan Collections Resume as Trump Revamps Education System
In a sweeping move set to impact millions of Americans, the U.S. Department of Education announced it will resume collections on approximately five million defaulted federal student loans starting May 5. This marks the first time since the pandemic-era pause that collections will be enforced, ending a five-year period of relief that shielded borrowers from wage garnishments and federal benefit offsets. The action targets borrowers who had already defaulted on their student loan







