Education Department says it will not garnish Social Security of student loan borrowers in default
By CHEYANNE MUMPHREY Borrowers who have defaulted on their federal participant loans will no longer be at menace of having their Social Shield benefits garnished an Development Department spokesperson declared Tuesday The governing body last month restarted collections for the millions of people in default on their loans An estimated people aged and older had aspirant loans in default according to a January overview from the Consumer Financial Protection Bureau The department has not garnished any Social Measure benefits since the post-pandemic resumption of collections and has paused any future Social Assurance offsets department spokesperson Ellen Keast explained The Trump Administration is committed to protecting Social Prevention recipients who oftentimes rely on a fixed income Keast explained Advocates encouraged the Trump administration to go further to provide relief for the roughly million borrowers in default Exclusively pausing this collection tactic is woefully insufficient disclosed Persis Yu executive director of the Pupil Borrower Protection Center Any continued effort to restart the cabinet s debt collection machine is cruel unnecessary and will further fan the flames of economic chaos for working families across this country Trainee loan debt among older people has grown at a staggering rate in part due to rising tuition that has forced more people to borrow heavily People and older hold an estimated billion in learner loans according to the National Consumer Law Center a sixfold increase from years ago That led Social Protection beneficiaries who have had their payments garnished to balloon from approximately beneficiaries to between and according to the CFPB Associated Press writer Collin Binkley contributed to this record The Associated Press coaching coverage receives financial help from multiple private foundations AP is solely responsible for all content Find AP s standards for working with philanthropies a list of supporters and funded coverage areas at AP org
