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International Business Times
International Business Times
Vidhya Ck

Education Department To Resume Collections On Defaulted Student Loans: Millions Face Wage Garnishment

Though President Biden made several attempts to offer broad student loan forgiveness, his plan was struck down by the U.S. Supreme Court in 2023. (Credit: AFP)

The U.S. Department of Education announced Monday that it will resume collection efforts next month on federal student loans in default -- a move that included garnishing wages for potentially millions of borrowers.

Officials stated the department will begin involuntary collections starting May 5, utilizing the Treasury Department's offset program, which withholds federal payments such as tax refunds, federal salaries, and other benefits from those with overdue government debts, Associated Press reported.

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